-
Ethereum sits at -14.3% undervalued, Bitcoin at -6.9%, suggesting recent buyers face losses but long-term gains possible.
-
Most large-cap cryptos hover in mildly to strongly undervalued zones, hinting at limited short-term downside.
-
Santiment recommends dollar-cost averaging during periods of market pain for historically strong long-term returns.
Crypto traders may want to take note as major assets look undervalued, as per the latest analysis from Santiment. The crypto analytics platform pointed out the important information from the 30-day MVRV metric, which tracks whether new buyers are in profit or in loss.
The analysis concentrated on Cardano ($ADA), Ethereum ($ETH), Bitcoin ($BTC), XRP ($XRP), and Chainlink ($LINK). According to Santiment, Bitcoin is somewhat undervalued by -6.9%, while Ethereum is really overvalued by -14.3%. Cardano, XRP, Chainlink, and other cryptocurrencies are all trading below their fair value. Traders may therefore see this as a sign of a possible buying opportunity.
The MVRV (Market Value to Realized Value) ratio measures a coin’s current market price against the price at which it last moved on-chain. In simple terms, it shows whether investors are sitting on profits or losses. High MVRV numbers suggest potential profit-taking, while low or negative values show that holders are feeling the pain.
Consequently, Santiment recommends buying or dollar-cost averaging during times of widespread losses. “Buying and dollar cost averaging when on-chain data shows a lot of pain among the average wallet, as it does now, is historically a sound strategy,” the platform stated.
Market Analysis: Trends and Implications
Santiment’s chart divides the prices of cryptocurrencies into five categories: strongly overvalued, mildly overvalued, neutral, mildly undervalued, and strongly undervalued. Currently, most of the major cryptocurrencies are in the mildly to strongly undervalued category.
This means that most people who just bought the cryptocurrencies are probably losing money, which could reduce the pressure on the sellers to sell since they want to make money. When the price of cryptocurrencies is overpriced, it will be at its peak, and when it is underpriced, the market will be at its lowest point.
The lower valuations also suggest overall market sentiment has cooled compared to previous highs. In simple terms, the market is calmer and trading at quieter levels. Analysts note that downside risk may be limited in the near term, though this doesn’t guarantee prices will bounce immediately.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Culper Research shorted ETH, BitMine: Ethereum has entered a death spiral, Fusaka upgrade fee collapsed by 90%
Short-selling firm Culper Research publicly shorted Ethereum (ETH) and BitMine (BMNR), accusing the Ethereum Fusaka upgrade of causing transaction fees to plummet by 90%. The firm warned that the risk of a "death spiral" is increasing and questioned the sustainability of Ethereum's economic model. Culper cited Vitalik's recent sale of 20,000 ETH, indicating the founder's negative outlook on the current situation, and challenged the interpretation of active address growth, suggesting it may be the result of address poisoning attacks.
動區BlockTempo46m ago
Bittensor (TAO) Tests Crucial $180 Level Amid Renewed AI + Crypto Interest
Michaël van de Poppe's insights on TAO hint at a key resistance level at $180 that could lead to higher prices if surpassed. The token's tie to Bittensor and the AI-crypto narrative keeps it in focus as traders monitor its performance and volume for potential gains.
BlockChainReporter1h ago
HBAR Faces Renewed Pressure as $0.09 Support Weakens
Key Insights:
HBAR price repeatedly failed to clear value area high resistance, reinforcing overhead supply and weakening bullish momentum within the current range structure.
The $0.09 high timeframe support now defines short term direction as price rotates lower inside a clearly
CryptoFrontNews1h ago
Culper Research shorted Ethereum, citing the upgrade as the trigger for a death spiral
Culper Research report indicates that Ethereum's Fusaka upgrade caused excess block space, leading to a 90% drop in transaction fees, potentially entering a "death spiral" cycle, resulting in decreased staking demand and network security. The report mentions Vitalik Buterin selling large amounts of ETH, questioning Tom Lee's bullish outlook, and points out BitMine's loss risks held in Ethereum.
MarketWhisper1h ago
Pi Network Today's News: $0.20 Becomes the Bull-Bear Threshold, Token Unlock Adds Variables
Pi Network (PI) tokens recently surged in price, breaking through $0.1900, with a total increase of about 15%. Market sentiment has improved, and the fear index has risen back to 29. However, 20.8 million PI tokens will be unlocked on Saturday, which could increase selling pressure and pose a short-term risk to the price. If it can break through $0.1959, the target price is $0.2613; but a drop below the 50-day moving average could turn the trend bearish.
MarketWhisper1h ago
Glassnode: Bitcoin selling pressure has eased, but institutional demand remains in the testing phase
PANews March 6 News, Glassnode posted on X platform analyzing that the outflow trend of Bitcoin spot ETF funds has stabilized. The 14-day net flow trend has turned upward, indicating that as Bitcoin breaks through $70,000, selling pressure is easing. Institutional demand remains in a tentative stage, but early signs of reaccumulation are beginning to appear.
GateNews1h ago
