Data: Bitcoin is in a historically undervalued range, MVRV has dropped to the 5th percentile

CryptoQuant analyst Darkfost stated that Bitcoin's current MVRV percentile is around the 5th percentile—meaning that historically, 95% of the time, this metric has been higher than it is now. This indicates that the Bitcoin price is currently in a very low range relative to its historical levels. MVRV is an indicator that measures the relationship between Bitcoin's market capitalization and its "realized value" (the price at which each BTC last moved).

The method used by Darkfost does not simply look at raw values but ranks the current MVRV within historical data to assess the current price's relative position in history. Previously, in February, when BTC fell below $60,000, this metric dropped below 10%, and it has entered a similar range again since June. Historical data shows that these periods often correspond to long-term bottom ranges.