In 2025, the Bitcoin market continues to face pressure. The MVRV and NVT indicators play a crucial role in forecasting potential price changes in cryptocurrency.
Analysis of MVRV Indicator
The MVRV indicator has shown a negative trend since the beginning of the year. Values below the equilibrium point indicate market weakness and coincide with periods of price consolidation or decline. For instance, in March 2024, after the MVRV ratio rose to 2.4, the price dropped to $40,000. In May 2024, when the MVRV fell below 0.8, it signaled undervaluation, traditionally preceding recoveries. This trend is further substantiated by the 1-year MVRV oscillator oscillating around the 2.0 mark.
NVT Signals: Has a Local Bottom Formed?
The NVT indicator suggests that Bitcoin may have reached a local bottom. Since the beginning of 2025, the NVT signal fluctuates below historical peaks, indicating an increase in transaction volume against a stable market cap. In July 2023, a similar dip in the NVT signal was followed by a significant price recovery.
Impact of Large Stablecoin Deposits on Exchanges
A strong inflow of USDC into cryptocurrency exchanges led to price fluctuations in USDC, inducing additional market activity. Historically, such events have preceded both bullish and bearish market phases. If the USDC inflow continues, it may indicate growing trader confidence and market activity revival.
Current patterns indicate potential further price fluctuations for Bitcoin, dependent on market conditions and shifts in investor sentiment.
