The Bitcoin Combined Market Index (BCMI) offers a comprehensive view of Bitcoin's market health by integrating key on-chain and sentiment metrics. The index, weighted by MVRV (30%), NUPL (25%), SOPR (25%), and Fear & Greed (20%), serves as a barometer for market conditions.

Currently, BCMI remains below 0.5, indicating a pivotal market phase. This suggests two potential scenarios: a normal correction within a bull market, presenting buying opportunities, or an early transition into a bear market, deviating from historical trends. Monitoring the BCMI’s 7-day and 90-day moving averages will be crucial for discerning future market direction.