Analysis suggests that the worst phase of Bitcoin may be nearing its end, with key on chain indicators approaching historical lows According to BlockBeats, on June 8th, after experiencing a significant sell-off last week, an important on chain indicator for Bitcoin - MVRV Z-Score - is approaching the bottom of a historical bear market, indicating that market prices are gradually approaching on chain value realization, and the worst downward phase may be nearing its end. The data shows that the current Bitcoin MVRV Z-Score is 0.24, close to the zero axis historically considered the "green accumulation zone". During the bear markets of 2011-2012, 2014, 2018, and 2022, this indicator bottomed out after falling near zero or even briefly below zero, and then began a new upward cycle. MVRV Z-Score is used to measure the degree of deviation between the current market value and the realized value of Bitcoin. When the market price is significantly higher than the realized value, it means that Bitcoin is relatively expensive; On the contrary, when the price approaches or falls below the realized value, it means that the market has entered an undervalued region. However, analysts believe that the market may not have formed an absolute bottom yet. On chain data shows that short-term holder MVRV (STH-MVRV) is currently at 0.84, while long-term holder MVRV (LTH-MVRV) is still as high as 1.29, and the two have not yet converged like the bear market bottoms of 2015, 2019, and 2022. This means that long-term holders still hold significant unrealized profits, and the market may still need to undergo further adjustments to form a typical bear market bottom. However, after the cryptocurrency market evaporated hundreds of billions of dollars in market value last week, multiple historical signals of market recovery have begun to emerge. [Original link]