Bitcoin bear market nearly over? Key BTC metric undercuts 2022 low

💡 DMK Insight

Bitcoin’s MVRV Z-score hitting a two-year low signals potential undervaluation, and here’s why that matters: When the MVRV Z-score dips, it often indicates that the asset is trading below its intrinsic value, suggesting a buying opportunity for savvy traders. Historically, similar dips have preceded significant price recoveries, making this a critical juncture for BTC holders. With Bitcoin currently at $78,564, traders should monitor for a reversal pattern on the daily charts, especially if it can hold above key support levels. A bounce from this undervalued zone could attract institutional interest, potentially driving prices higher. But don’t overlook the flip side: if the broader market sentiment remains bearish, even undervalued assets can continue to decline. Keep an eye on related assets like Ethereum, which often moves in tandem with Bitcoin. Watch for any signs of correlation or divergence in their price movements, as this could provide insights into market sentiment. The next few weeks will be crucial; if BTC can reclaim and sustain levels above $80,000, it could signal a more robust recovery phase ahead.