CryptoQuant said Bitcoin’s Bull Score fell to 0 out of 10 on Thursday, the first time the indicator has reached that level since January 2022. For traders who track on-chain signals closely, the message is blunt: momentum has weakened sharply and capital inflows are no longer supporting the market the way they did before.
Current data cited in the source shows BTC at $70,394.45 with a market capitalization of about $1.4 trillion. CryptoQuant said a reading this low usually points to fragile sentiment and slower liquidity entering the market, leaving conditions tilted toward caution instead of aggressive buying.
The indicator aggregates ten on-chain components
The Bull Score is a composite on-chain metric designed to assess the broader health of the crypto market. It combines 10 separate components, including profitability measures, liquidity conditions, and investor behavior, then uses that mix to judge whether the environment is leaning toward expansion or contraction.
Under CryptoQuant’s usual framework, readings below 40 are treated as bearish, while levels above 60 are considered bullish. A drop all the way to zero suggests the weakness is not tied to one isolated metric. The softness is broad and spread across the full set of inputs.
MVRV decline and weaker stablecoin liquidity are key drivers
CryptoQuant said all ten components are now below trend. One of the main pressures comes from a sharp decline in MVRV, or Market Value to Realized Value. When that ratio falls, it often means investor profitability is shrinking and the market is moving closer to the aggregate cost basis of holders.
As unrealized gains narrow, and some positions slip into temporary losses, enthusiasm for deploying fresh capital tends to cool. That shift in profitability can weigh on both sentiment and participation. The source also pointed to reduced stablecoin liquidity linked to the Bitcoin market, a sign that sidelined buying power may be limited for now.
Weak readings do not settle the next market phase
The report stops short of treating the signal as a guarantee of a prolonged downturn. CryptoQuant noted that extreme lows have historically appeared around transition periods rather than only at the start of sustained declines. Analysts generally look for improving liquidity, stronger profitability metrics, and renewed demand from long-term holders before calling for a healthier setup.
The source also listed several possible pressures behind the reading: profit-taking after earlier rallies, macro uncertainty tied to rate expectations and global liquidity, and pauses in accumulation by large players during unclear market phases. Those conditions can leave on-chain activity quieter and keep risk appetite contained.
On the indicator alone, though, the current message is clear. A Bull Score at zero reflects a market with limited confidence and softer network trends. Until liquidity and profitability begin to recover, the signal remains firmly cautious.