📚 TIP MVRV
How can you tell if the average Bitcoin investor is in profit or loss? The MVRV tells you that.
It's the ratio between market cap (current price times supply) and realized cap (sum of each BTC valued at the price it last moved). When MVRV falls below 1, the average market is underwater. Historically, crosses at 0.8 marked cycle bottoms: covid March 2020, FTX November 2022.
🎯 How to apply it NOW:
BTC at 63k, miners with an average cost of 80k, Strategy reports 12 billion in unrealized loss. The pressure is on, but the MVRV hasn't hit the historical bottom zone yet. If it continues to drop with BTC near 60k, it's a context that matters for long-term accumulation.
How can you tell if the average Bitcoin investor is in profit or loss? The MVRV tells you that.
It's the ratio between market cap (current price times supply) and realized cap (sum of each BTC valued at the price it last moved). When MVRV falls below 1, the average market is underwater. Historically, crosses at 0.8 marked cycle bottoms: covid March 2020, FTX November 2022.
🎯 How to apply it NOW:
BTC at 63k, miners with an average cost of 80k, Strategy reports 12 billion in unrealized loss. The pressure is on, but the MVRV hasn't hit the historical bottom zone yet. If it continues to drop with BTC near 60k, it's a context that matters for long-term accumulation.