According to PANews, CryptoQuant analyst ShayanMarkets has highlighted that Bitcoin's market value to realized value (MVRV) ratio, an indicator of whether the asset is overvalued, has recently fallen below its 365-day moving average. This suggests that the Bitcoin market may be forming a 'cyclical bottom.' In a report released on Monday, the analyst noted, 'The MVRV ratio is currently near 1.9, slightly below its 365-day moving average. Historically, each time this ratio falls below the 365-day simple moving average (SMA), it signals a buying opportunity and a local bottom.' This pattern was last observed in mid-2021, June 2022, and early 2024, after which Bitcoin prices rose by 135%, 100%, and 196%, respectively. This ongoing trend indicates that Bitcoin is once again entering an 'undervalued phase, where long-term holders typically begin to accumulate.' If history repeats itself, Bitcoin prices may embark on a long-term recovery, with analysts predicting a short-term target price of approximately $115,000, potentially reaching as high as $190,000 if the final phase of the bull market begins.#MarketPullback $BTC

Key TakeawaysBitcoin’s Market Value to Realized Value (MVRV) ratio has dropped below its 365-day moving average, signaling a potential cyclical market bottom.Historically, similar drops have preceded major accumulation phases and triple-digit price gains.Analysts forecast BTC could target $115,000 in the short term, and up to $190,000 if the next bull market leg begins.Bitcoin Market Nears Undervaluation Zone, Says CryptoQuant AnalystAccording to PANews, CryptoQuant analyst ShayanMarkets noted that Bitcoin’s MVRV ratio — a key indicator used to measure whether BTC is overvalued or undervalued — has fallen below its 365-day simple moving average (SMA).“The MVRV ratio is currently near 1.9, slightly below the 365-day SMA,” ShayanMarkets wrote in a recent report. “Each time the ratio has dropped below this level in past cycles, it has signaled a buying opportunity and local bottom.”Historical Data Points to Major Upside PotentialThis signal has appeared during major market turning points — mid-2021, June 2022, and early 2024 — each followed by strong Bitcoin rallies of 135%, 100%, and 196%, respectively.The analyst suggested that Bitcoin is once again entering an “undervalued phase,” where long-term holders typically begin accumulating positions. If the pattern repeats, BTC could be setting up for a multi-month recovery, potentially mirroring previous bull cycle trends.Analysts Eye $115K–$190K as Potential Recovery TargetsIf historical performance holds, Bitcoin could initially target $115,000, with a maximum upside near $190,000 as the final phase of the bull market unfolds.Analysts emphasize that while the MVRV ratio is not a short-term trading signal, it remains one of the most reliable on-chain indicators for identifying macro market bottoms in Bitcoin’s price cycles.