MAC_D
ETH MVRV 1: Reaching a Highly Undervalued Zone
The recent crash in the cryptocurrency market has spread fear and disappointment among Ethereum holders. However, examining on-chain indicators such as MVRV (Market Value to Realized Value) and the Realized Price of whale investors reveals that the current Ethereum price is significantly undervalued. MVRV Below 1 MVRV is the ratio of Market Value to Realized Value. When MVRV falls below 1, it signals entry into an undervalued zone in the cycle, indicating an opportunity to buy at a level close to the average purchase price of all holders (including whale investors). In past bull cycles, reaching below 1 has led to significant uptrends Surge in Daily ETH Accumulation Addresses We can observe a recent sharp increase in the amount of ETH held by accumulation addresses - addresses that have only received ETH and never withdrawn. This demonstrates large-scale accumulation activities by institutional investors in the current undervalued zone where MVRV is 1. concentrated realized price Realized Price is the average price calculated based on the price at which each coin last moved. Currently, the realized price of whale investors is concentrated around $2.2K-$2.3K. This is likely to act as a strong support level, and even if the price falls below this level, buying pressure may outweigh selling pressure. The factor currently having the greatest impact on cryptocurrency market prices is U.S. liquidity policy. The Trump administration's high-intensity tariff policies and tight monetary policy relative to inflation rates could be a downward pressure on asset markets for the time being, and may sometimes lead to sharp price drops (crashes). However, Ethereum still maintains its position as the second-largest cryptocurrency by market cap and is a proven network with thousands of mature DeFi projects. As such, institutional investors are likely to accumulate more in this undervalued zone. Therefore, from a long-term perspective, the outlook for Ethereum remains positive.