1) If MVRV enters the red zone
It means:
BTC price is already too far above its fair value
The market is usually euphoric / FOMO
The risk of a local top / cycle top is increasing
➡️ Trader action: start taking profit gradually, don't FOMO into large entries.
2) If MVRV enters the green zone
It means:
BTC is cheap on-chain
Many holders are in a loss / capitulation condition
Often becomes a cycle bottom area
➡️ Trader action: focus on gradual spot accumulation, not panic selling.
For now:
The MVRV Z-Score is currently around a low level (close to 0–1)
Not yet in the red zone
Far from extreme euphoria conditions
This means it has not yet shown the peak of the major cycle
But it is also not an extreme bottom area like when entering the green zone
Current market conclusion:$BTC
➡️ BTC tends to be in the mid-late bull cycle phase, but not yet extremely overheated.
➡️ There is still room to rise, but the upside is not as 'safe' as when MVRV is in the green zone#OnChainAnalysis 