Odaily Planet Daily News CryptoQuant analyst ShayanMarkets said that Bitcoin's market value to realized value ratio (MVRV) recently fell below its 365-day moving average. This signal has appeared many times in history before the market formed a cyclical bottom.

The analyst noted that the current MVRV ratio is around 1.9, slightly below its 365-day simple moving average (SMA). Historically, each time the MVRV dipped below the 365-day SMA, Bitcoin prices rebounded significantly: a 135% increase in mid-2021, a 100% increase in June 2022, and a 196% increase in early 2024.

ShayanMarkets believes that this pattern indicates that Bitcoin may have re-entered an undervalued range, where long-term holders typically begin to accumulate again. If history repeats itself, Bitcoin prices are expected to reach the $115,000 to $190,000 range in the late stages of a bull market.