🚨 Ethereum shows signs of overheating

📌 The price of ETH has reached a new peak, causing the MVRV index to rise to 2.15 – a level indicating that investors are currently holding unrealized profits averaging 2.15 times their purchase cost.

📌 MVRV (Market Value to Realized Value) is a measure that compares market value to realized value, helping to determine whether the market is overvalued or undervalued. When the index gets too high, history shows it is often accompanied by strong volatility and profit-taking pressure.

📌 This level of 2.15 corresponds to periods in March 2024 and December 2020 – times that subsequently led to significant volatility and a wave of sell-offs. $ETH