Bitcoin Slides Toward $95,000, Long-Term Metrics Say ‘Undervalued’
Bitcoin is nearing $95,000 amid bearish divergence, but long-term metrics suggest the asset is undervalued.Summary
Bitcoin is trading near $95,000 following a steady decline, approaching a key psychological level. Technical indicators show bearish divergence, with Bitcoin's dominance falling and the Stochastic RSI signaling weakening momentum, suggesting potential for further downside toward a projected target of $89,407 if bearish sentiment persists following the breakdown of a head and shoulders pattern.
Conversely, long-term metrics like the MVRV Z-Score have dropped to a 14-month low, indicating that Bitcoin is significantly undervalued relative to historical norms. This low level typically precedes major accumulation phases by long-term investors, which could provide the necessary demand to stabilize the price and trigger a reversal toward $100,000 or even $105,000, invalidating the current bearish outlook.
(Source：BeInCrypto)