Is the Bitcoin price on the verge of a bull market?

In recent days, Bitcoin (BTC) has exhibited an impressive price movement, managing to attract investors' interest once again. However, it is still possible to say that the current bull market continues compared to past cycles and has not yet reached a cyclical peak.

One of the analysts from CryptoQuant stated that the Bitcoin NVT Golden Cross indicator has provided significant signals in the current cycle as well. This indicator measures the relationship between transaction volume on the Bitcoin network and its market capitalization, revealing whether the price is overvalued or undervalued compared to the network fundamentals. According to the analyst, when the indicator moves into the negative zone, it indicates that Bitcoin is undervalued compared to its network fundamentals. This situation generally indicates a healthy market structure. However, when the NVT value exceeds 3, it means that Bitcoin has become overvalued and is approaching a potential peak.

Currently, the analyst notes that this cycle has lasted longer compared to previous years. In the past two market cycles, this indicator successfully marked the cycle peaks. However, this time, such a signal has not yet been received. This situation emphasizes that the Bitcoin bull market is still ongoing and has not yet reached the final phase.

The analyst also highlighted that "a crypto winter does not begin without a rise phase," underscoring that there is still potential for upward movement in the markets. This finding indicates that Bitcoin's current rally has not yet matured but has not reached its peak. A critical point that investors should carefully monitor is the state of Bitcoin's NVT value and the market dynamics.