Analyst Ali Martinez says a key Bitcoin (BTC) indicator is now flashing green.
Martinez tells his 42,900 followers on the social media platform X that Bitcoins Market Value to Realized Value (MVRV) indicator shows the price of the flagship crypto asset is likely to go up, if past is prologue.
MVRV is the ratio of Bitcoins market capitalization relative to its realized capitalization (the value of all BTC at the price they were bought at) and is used to assess whether the crypto asset is undervalued or overvalued.
“Every time the Bitcoin MVRV Ratio fell below its 90-day average in the past year, it signaled a buy-the-dip opportunity.
Currently, with the BTC MVRV Ratio again below its 90-day average, it suggests that now might be an opportune moment to buy BTC.”
Bitcoin is trading at $42,203 at time of writing.
Next up is Dogecoin (DOGE). Citing data from blockchain analytics platform IntoTheBlock, Martinez saysthe leading memecoin has witnessed remarkable surge in growth over the past week with new addresses rising by approximately 1,100%.
According to the crypto analyst, the continued growth in the number of Dogecoin addresses is a strong fundamental sign that bodes well for the memecoin’s potential.
“On January 29th alone, a record-breaking 247,240 new DOGE addresses were created, marking an all-time high. A sustained uptrend in network expansion could soon reflect positively on DOGE prices.”
Dogecoin is trading at $0.0791 at time of writing.
Check Latest News Headlines
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: DALLE3
This article was originally reported on The Daily Hodl.