Bitcoin returned to undervalued territory again. Is this the bottom?
As the macro environment is still developing into even more unfavorable circumstances for risk-on assets, bitcoin returned to the undervalued territory. So let’s check five key on-chain valuation metrics to bolster our argument.

1. The MVRV ratio is below 1 again, indicating that the average bitcoin holder is at a loss (green area).
2. Bitcoin holders experience a 1% loss at the current bitcoin price, as shown by the NUPL metric (line in blue).
3. The long-term bitcoin holders spend their coins at a 44% loss.

4. The total supply in profit has fallen sharply in the last week, standing at 56% of the total supply.
5. The Puell Multiple (measures 1-year miner revenue growth) also indicates bitcoin is in the accumulation zone (green area).

Overall, it’s a favorable accumulation zone for a dollar cost averaging. However, is this a bottom? Unfortunately, a price bottom is still far from being entirely formed as these valuation metrics are still considerably below their 1-year MA.