Bitcoin is trading in a historically depressed zone based on its MVRV percentile, according to CryptoQuant analyst Darkfost. He said the current reading sits near the 5th percentile, meaning the indicator has been higher than it is now during roughly 95% of Bitcoin’s history. By framing MVRV against its historical distribution rather than looking only at the raw figure, Darkfost argued that Bitcoin’s current price stands at an unusually low level relative to past market conditions.
Darkfost explained that MVRV compares Bitcoin’s market capitalization with its realized value, defined as the price at which each BTC last moved. He added that when BTC fell below $60,000 in February, the percentile reading also dropped under 10%. Since June, the metric has moved back into a similar range. Based on historical data, he said such periods have often lined up with longer-term bottom zones.
Bitcoin’s MVRV percentile is now around the 5th percentile, according to CryptoQuant analyst Darkfost, placing the asset in a historically low relative valuation zone.
Darkfost said that for roughly 95% of Bitcoin’s history, the indicator has been higher than it is now. In his reading, that puts Bitcoin’s price at an extremely low level relative to its historical range.
MVRV ranked against its own history
MVRV measures the relationship between Bitcoin’s market capitalization and its realized value, or the price at which each BTC last moved. Rather than relying only on the raw MVRV reading, Darkfost said he ranked the current value against historical data to assess where the price stands in a longer-term context.
Similar zone seen after February drop below $60,000
He added that when BTC fell below $60,000 in February, the metric dropped below 10%. Since June, it has returned to a similar area. Historical data shows that such periods have often matched longer-term bottom zones.
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