[Analysis] "J.P. Morgan diagnoses Bitcoin as undervalued… On-chain indicators also support strength"

J.P. Morgan recently diagnosed in a report that Bitcoin (BTC) is undervalued, and on-chain indicators also appear to support this.

On the 30th (local time), XWIN Research, the author at CryptoQuant, said, "J.P. Morgan recently said in a report that Bitcoin is undervalued compared to gold and that its nature is changing from a risk asset to a mature macro asset. On-chain indicators also support this."

According to XWIN Research, the MVRV ratio, which measures Bitcoin's realized value relative to market capitalization, is currently around 2.1, much lower than 4 or greater, which was previously considered a sign of overheating. This suggests that holders are in profit, but it is far from a market overheating stage. A decrease in Bitcoin holdings on exchanges, selling reluctance among long-term holders, and capital absorption through ETFs were also cited as positive factors.

Regarding this, XWIN Research said, "With MVRV maintaining a stable level and volatility significantly reduced, it can be seen as entering a point where both institutional and individual investors can once again have confidence in Bitcoin's upside potential."