According to the Bloomberg crypto e-newsletter, a key on-chain indicator suggests that Bitcoin (BTC) is presently significantly undervalued.
Bitcoin energetic addresses, the 30-day common. Supply: Glassnode.
Bloomberg’s crypto analyst Mike McGlone believes that the current all-time highs in Bitcoin’s hashrate and extra importantly, the 30-day common of energetic Bitcoin addresses, suggests a $15,000 worth stage for the asset:
“The Bitcoin hash price continues to improve and lately reached new highs. Additionally advancing are addresses used. A high metric for adoption, the 30-day common of Bitcoin addresses is equal to the value nearer to $15,000 when measured on an autoscale foundation since 2017.”
McGlone has remained optimistic about Bitcoin all through its ups and downs. He says that Bitcoin seems to be a frontrunner in “paradigm shift towards digital cash and shops of worth” and though he admits that it could possibly nonetheless fail, he believes this to be unlikely, concluding:
“Our graphic depicts main on-chain metrics that would want to reverse for Bitcoin to not hold appreciating in worth — the hash price and energetic addresses.”
It’s true that regardless of the current downward momentum, Bitcoin’s on-chain fundamentals have seemingly remained robust, although there isn’t a means of understanding when / if these indicators will lead to a worth correction.