Bitcoin MVRV Ratio Signals Most Undervalued Levels Since $20,000 in 2023

Bitcoin is approaching its most “undervalued” level in over three years, according to fresh onchain data analyzing the Market Value to Realized Value (MVRV) ratio.

Research from CryptoQuant shows the MVRV ratio recently dropped to around 1.13 after Bitcoin fell below $60,000. This marks its lowest reading since March 2023, when BTC was trading near $20,000. The MVRV metric compares Bitcoin’s market capitalization with its realized capitalization, reflecting the average price at which coins last moved.

Historically, an MVRV ratio below 1 indicates undervaluation. While the current reading remains slightly above that threshold at roughly 1.1, analysts suggest price levels are approaching a potential inflection point.

Onchain Data Points to Possible Trend Reversal

Following its all-time high in October 2025, Bitcoin has remained in a downtrend for approximately four months. At its peak, the MVRV ratio reached 2.28, signaling overvaluation. However, the recent decline has not mirrored previous cycle tops or bottoms.

Additional Z-score models tied to the MVRV indicator suggest Bitcoin may be entering a capitulation or accumulation phase. Analysts note that statistical deviations now resemble historical market bottoms, increasing speculation that a long-term price floor could be forming.

Disclaimer

This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.