Analysts: The Bitcoin MVRV ratio has recently fallen below the 365-day MA, which may indicate a "cyclical bottom".

PANews, October 22 news, CryptoQuant analyst ShayanMarkets stated that the market value to realized value ratio (MVRV) of Bitcoin is an indicator for measuring whether the asset is overvalued. This indicator recently fell below its 365-day moving average, indicating that the Bitcoin market may be forming a “cyclical bottom.” The analyst mentioned in a report on Monday: “The MVRV ratio is currently close to 1.9, slightly below its 365-day moving average. Historically, each time this ratio falls below the 365-day simple moving average (SMA), it marks the arrival of buying opportunities and local bottom signals.” The last occurrence of this was in mid-2021, June 2022, and early 2024, after which Bitcoin prices rose by 135%, 100%, and 196% respectively. This persistent pattern indicates that Bitcoin is again “entering an undervalued phase, where long-term holders typically start accumulating.” If history repeats itself, Bitcoin prices may initiate a long-term recovery. The analyst expects that if the final phase of the bull run begins, the short-term target price will be around $115,000, and it may even reach as high as $190,000.