CryptoQuant, a digital asset analytics firm, points to a potential surge in the altcoin market based on Ethereum’s MVRV (Market Value to Realized Value) indicator. Ethereum’s MVRV is rising faster than Bitcoin’s, historically a sign of opportunity for altcoins. MVRV helps assess if an asset is undervalued or overvalued.
Ethereum (ETH) is currently trading at $3,514 (as of writing) and has been relatively flat this week.
Bitcoin Correction on the Horizon?
CryptoQuant also suggests a potential price correction for Bitcoin. BTC is trading below a critical support level of $65,800, potentially leading to an 8-12% drop towards $60,000. Bitcoin is currently priced at $64,148 (as of writing) and has seen a slight decline in the past day and week.
CryptoQuant’s research head, Julio Moreno, claims the Bitcoin market is experiencing its least bullish phase since September 2023 based on their bull market cycle indicator.
In a nutshell, Ethereum’s MVRV might signal potential growth for altcoins, while Bitcoin could face a correction. The overall market sentiment for Bitcoin seems to be leaning bearish.
