An analysis of Bitcoin's current state reveals that its MVRV Z-Score is significantly below historical euphoria levels, suggesting a sustained bullish trend. This article discusses the analysis results, realized cap growth, and network activity.
MVRV Z-Score Analysis Results
Current data shows Bitcoin’s MVRV Z-Score hovering between 2 and 3.5. Analysts point out that this level indicates that Bitcoin is not in an overheated zone. Historically, maximum price levels were reached when the Z-Score exceeded 7, which has not been recorded in the current cycle.
Realized Cap Growth
Currently, Bitcoin's realized cap exceeds $500 billion and continues to grow. This reflects that investors are holding their assets rather than making speculative sales, thereby supporting the bullish market structure.
Bitcoin Network Activity
The level of Bitcoin’s active addresses remains stable, with a daily count exceeding 900,000. This indicates that the current price growth is not associated with speculative euphoria, as seen in previous cycles. Furthermore, the lack of dramatic spikes in additional participant activity confirms a more mature market.
In conclusion, Bitcoin's current state provides a pessimistic view of the absence of market manias. With an active user base of over 1 million and rising capital inflows, the bullish trend appears to have further potential for growth.
