BlockBeats news, on August 27, CryptoQuant analyst Axel posted on social media that the annualized adjusted MVRV ratio of Bitcoin has reached the 1.0 range—this means that the short-term average (30 days) is basically on par 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 has cooled down in sync with the volatility and profit-taking speed, while the heavy 365-day average still contains the growth momentum of the past few months. The result is that the numerator and denominator move almost in sync, with the difference between the two contracting, and the basis line has neither declined nor accelerated upward—the market is substantively digesting the previous rise. This situation is more inclined towards a pause within a bull run structure rather than a cycle ending. As long as the annualized basis does not show a downward reversal, the current state should be viewed as a balance 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, what the market needs more is time rather than a directional reversal.
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Analyst: Bitcoin indicators suggest that the current phase is more likely a bull run pause rather than a cycle ending.
BlockBeats news, on August 27, CryptoQuant analyst Axel posted on social media that the annualized adjusted MVRV ratio of Bitcoin has reached the 1.0 range—this means that the short-term average (30 days) is basically on par 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 has cooled down in sync with the volatility and profit-taking speed, while the heavy 365-day average still contains the growth momentum of the past few months. The result is that the numerator and denominator move almost in sync, with the difference between the two contracting, and the basis line has neither declined nor accelerated upward—the market is substantively digesting the previous rise. This situation is more inclined towards a pause within a bull run structure rather than a cycle ending. As long as the annualized basis does not show a downward reversal, the current state should be viewed as a balance 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, what the market needs more is time rather than a directional reversal.