$ETH
Ethereum most ‘undervalued’ in 17 months — Can ETH return to $4K?
Ethereum’s MVRV Z-Score, a key metric for assessing its valuation, has dropped to its lowest level since October 2023. Historically, such low levels signaled strong accumulation phases and preceded major bull runs.
Ethereum’s MVRV Z-Score signals undervaluation
The MVRV Z-Score, which compares Ethereum’s market value to its realized value, is nearing the green zone—an area historically linked to undervaluation. The last time ETH was at this level, it surged nearly 160% to $4,000.
CryptoQuant data also shows a spike in ETH inflows to accumulation addresses, suggesting that institutional investors and long-term holders are buying at a discount. Ethereum whales, holding between 1,000 and 10,000 ETH, have been accumulating aggressively since July 2024, coinciding with the launch of spot Ether ETFs in the US.
Can ETH price reclaim $4,000?
As of March 6, ETH is trading near $2,291, testing key support at the 200-week EMA ($2,294). A rebound from this level could trigger a move toward $3,650, aligning with the symmetrical triangle’s upper trendline.
Key resistance levels include:
• $2,518 (0.382 Fib)
• $3,000 (0.5 Fib)
• $3,420 (0.618 Fib)
A breakout above $4,063 (0.786 Fib) would confirm a bullish trend. However, a drop below the triangle’s lower trendline could push ETH down to $1,050.