Bitcoin Bear Market Analysis Suggests Mid-Term Stage

A recent analysis by CryptoQuant suggests that Bitcoin may have entered its mid-term bear market phase.

The NUPL–MVRV harmonic composite indicator, which measures the relationship between the Net Unrealized Profit Loss and Market Value to Realized Value, is currently at 0.33. This value indicates a moderate level of selling pressure, but not yet at the level typically seen during cycle bottoms.

Historically, the NUPL–MVRV harmonic composite indicator has reached as high as 0.5 during bear market cycles. However, the current reading suggests that Bitcoin is still in a state of significant decline, with extreme sell-off situations becoming less severe but not yet abating.