BlockBeats news, on August 27, CryptoQuant analyst Axel posted on social media that the current annualized adjusted MVRV ratio of Bitcoin has reached the 1.0 range—this means that the short-term average (30 days) is basically in line with the annual average (365 days). The annualized basis remains positive, and its curve is horizontal, resulting from the mutual offset of two forces: after a strong rise, the 30-day indicator cools down in sync with volatility and profit-taking speed, while the heavy 365-day average still contains the growth momentum from the past few months. The result is that the numerator and denominator move almost in sync, and their difference shrinks, with the basis line neither declining nor accelerating upward— the market is substantively digesting the previous gains.
This situation is more inclined to be a pause in the bull market structure rather than the end of a cycle. As long as the annualized basis does not show a downward reversal, the current situation should be seen as a balanced state rather than a trend break: the network is reallocating risk from impatient holders to more patient holders, and there are no signs of panic selling. The market's reaction to the current position in the coming weeks is crucial. At this stage, the market needs time rather than a reversal in direction.
