This run saw the MVRV-Z score metric climb as high as 3.07, which was nowhere near the previous cycle tops.has stalled after the recent breakout past the $67k resistance. The bullish move last week reached $72k on the 21st of May but has receded by 5.7% to trade at $67.8k at press time.The recent dip has cut short bullish sentiment, and it appeared that the bulls might not be ready for a move past $71.5k yet.
MVRV stands for market value to realized value to compare the asset’s market capitalization to the cumulative capital inflow into the asset. When the former is much higher, it signals a potential top.The MVRV Z-score compares the MVRV difference with the standard deviation of the market cap of Bitcoin. In the previous cycles, an MVRV-Z score of 7 or above has marked the cycle tops.
This run saw the metric climb as high as 3.07, which means it is highly likely that we see further price gains in the coming months.The cohort of BTC holders aged six months and above saw a flurry of activity on the 28th of February. The 3-6 month age band was particularly active and illustrated the profit-taking activity from that group.
However, most of the older holder groups did not see intense selling activity to exchanges in April and May. This was likely due to expectations of a price rally post halving, and this expectation has not worn out yet.Akashnath Sumukar works as a Senior Journalist at AMBCrypto. Based in Chennai, India, he has been an avid follower of the cryptocurrency market since Bitcoin’s boom and bust cycle of 2017. A graduate in Chemical Engineering, he is an expert in technical analysis.
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