Bitcoin is nearing a potential price bottom as its Market Value to Realized Value (MVRV) Adaptive Z-Score reaches -2.66, indicating a capitulation phase. This metric, used to assess whether Bitcoin is undervalued, suggests that the cryptocurrency is approaching a historical accumulation phase, where prices typically bottom out before recovery. Despite a four-month downtrend, this development offers hope for a bullish turnaround if momentum shifts.
On-chain analytics from CryptoQuant highlight that Bitcoin remains in a capitulation zone, characterized by high volatility and a bearish trend. However, the MVRV Z-Score's current position suggests seller exhaustion, presenting a strong buying opportunity. While some analysts predict further declines, others see potential for a price rebound, adding to market uncertainty. The coming days are expected to clarify Bitcoin's next move.
Bitcoin Approaches Price Bottom as MVRV Z-Score Hits -2.66
Disclaimer: The content provided on Phemex News is for informational purposes only. We do not guarantee the quality, accuracy, or completeness of the information sourced from third-party articles. The content on this page does not constitute financial or investment advice. We strongly encourage you to conduct you own research and consult with a qualified financial advisor before making any investment decisions.
