Bitcoin Nearing Undervalued Territory? CryptoQuant Flags Key On-Chain Signal
The post Bitcoin Nearing Undervalued Territory? CryptoQuant Flags Key On-Chain Signal appeared on BitcoinEthereumNews.com.
CryptoQuant sparked fresh debate in markets this week after posting a short-but-sharp take on a once-obscure on-chain gauge: the one-week-to-one-month holding ratio. The firm pointed out that this ratio, a measure of how much Bitcoin is being held for very short windows versus slightly longer ones, has plunged to levels that, in past cycles, clustered close to bear-market lows. That doesn’t mean it’s a guaranteed bottom, CryptoQuant cautioned, but it does suggest the market is inching into a zone that could be described as “relatively undervalued.” The timing of that observation matters because Bitcoin’s price action has been volatile but resilient. As of Wednesday, BTC traded near $69,200 after a run that briefly pushed the token above $70,000 earlier in the week amid easing geopolitical risk and a softer dollar. Prices are moving in a range rather than on a straight trajectory, which fits the picture painted by CryptoQuant: an environment where liquidity metrics flash caution even as broader risk appetite flickers back on. Is Bitcoin Near a Bottom? What makes the 1-week/1-month holding ratio noteworthy is its track record. When short-term holders shrink their share relative to slightly longer-term holders, it often signals a pause in speculative froth and a consolidation of supply into steadier hands. CryptoQuant’s historical lens shows that previous dramatic drops in this ratio coincided with points that later looked like local or cycle lows, not because the indicator predicted a rebound, but because it measured a change in the market’s internal plumbing: less churning, more stacking. That nuance is crucial for investors choosing whether to “wait for the bottom” or start scaling in. The on-chain narrative is being matched by pockets of demand off-chain. Large institutional moves and strategic buys have peppered headlines this month, underscoring that some allocators are using volatility as an entry…
Filed under: News - @ March 11, 2026 10:19 pm