According to cryptocurrency analytics firm CryptoQuant, an Ethereum (ETH) on-chain metric suggests the altcoin market could be gearing up for a bull run.
This company said on social media platform X that Ethereum’s Market Value to Actual Value (MVRV) indicator is increasing faster than Bitcoin’s (BTC) MVRV.
“This shows that the ETH market is heating up. According to the company, when Ethereum skyrockets, other altcoins tend to follow.
Source: CryptoQuant/X
MVRV is the ratio of a digital asset’s market capitalization to its physical capitalization (the value of all assets at purchase price). It is used to evaluate whether the token is undervalued or overvalued.
ETH is trading at $3,514 at the time of writing. The second-ranked cryptocurrency by market capitalization has been trading sideways this week.
CryptoQuant also note that Bitcoin is trading below key support at $65,800, which could see it correct another 8%-12% towards $60,000.
Source: CryptoQuant/X
BTC is priced at $64,148 at the time of writing. The leading cryptocurrency is flat over the past 24 hours and is down 3% over the past week.
Julio Moreno, head of research at CryptoQuant, said on social network X that the Bitcoin market is currently at its least bullish since September 2023, based on its bull market cycle index.
Source: Julio Moreno/X
You can see coin prices here.
Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.
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