According to Mars Finance, on January 26th, crypto market analysis firm Santiment posted on social media that if a cryptocurrency's MVRV (Market Value to Realized Value) ratio is negative, most ordinary traders are losing money on that token, presenting an entry opportunity because profits are below the normal "zero-sum game" level. The more negative the return, the lower the risk for investors to buy. Currently, the MVRV ratios for major cryptocurrencies are: ChainLink -9.5%, Cardano -7.9%, Ethereum -7.6%, XRP -5.7%, and Bitcoin -3.7%, all in the undervalued zone. Note: MVRV stands for Market Value to Realized Value Ratio. This indicator typically reflects whether the average investor holding the coin is making or losing money, and whether the overall market valuation is overvalued or undervalued.
Santiment: The MVRV indicator shows that some major tokens have entered an undervalued range.
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Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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