Bitcoin traded above USD 111,000 to register a modern highest level of all time (ATH) last week, as Crypto Bull Run. Although since then the most crucial cryptocurrency has been experienced by a certain shock since then, largely driven by the US government announcement Of the potential modern trade tariffs, investors still remain stubborn, because the successful recovery of the previous ATH strongly signals the continuation of the current upward trend.

Interestingly, the cryptographic analyst Bilalhuseynov observed a infrequent development with market value to the realized value ratio (MVRV), which indicates a positive difference in relation to the current bull cycle from others.

Bitcoin MVRV remains at the level of 2.4 among the modern ATH – what can this mean?

IN Brisk post On May 23, Bilalhuseynov shares engaging insight into the Bitcoin market after the recent development of the chain. It is worth noting that the Prime Minister Cryptocurrency reached a modern highest level of all time on $ 111,970 on May 22 to finally confirm the validity of the current bull cycle.

Among this stubborn development, Bilalhuseynov notices an unusual event, because the MVRV ratio did not reach the peak numbers associated with this when Bitcoin has set a modern ATH in previous bull cycles. In the context of MVRV, it measures the Bitcoin market capital to a completed limit, i.e. the values ​​of all Bitcoins at the last purchase point. It is used to indicate the inverse trends, because the MVRV ratio by 1 suggests replacing, while the figure below 1 signals underestimation.

According to Bilalhuseynov, when Bitcoin reached a modern ATH in 2013, 2017 and 2021 bulls cycles, the MVRV factor reached the highest values ​​between 3.5-4.0. However, after an eclipse of USD 109,000, the MVRV indicator reached a peak value 2.4. The cryptographic analyst explains that the reduced MVRV number may be associated with the disproportionate raise in the CAP compared to the market capital. This development can be attributed to the fact that a gigantic amount of bitcoins circulated at higher prices, which caused higher costs.

Interestingly, Bilalhuseynov explains that this extraordinary development is a positive signal for the long -term development of Bitcoin, indicating a stable market even at ATH prices, which has smaller foam and lack of advantage. In addition, it is possible that stronger market hands, i.e. long -term owners and institutional holders, are part of these modern investors, which suggests long -term trust on the market without urgency to bring profits.

BTC price review

At the time of writing, Bitcoin trades for USD 108,397 after withdrawal in recent days. The premiere of cryptocurrencies dropped by 2.50% on the last day, but by 17.65% last month.

A distinguished picture from Pexels, chart from TradingView

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