Bitcoin Trading at 40% Discount, According

Bitcoin is currently trading at a 40% discount based on a widely-followed on-chain metric, sparking renewed interest among long-term investors and market watchers.

The indicator in question is the MVRV Z-Score (Market Value to Realized Value), which compares Bitcoin’s current market price to the average price at which coins last moved on-chain. When the MVRV Z-Score dips below a certain threshold, it often signals that Bitcoin is undervalued relative to historical norms.

As of today, the MVRV Z-Score hovers near levels not seen since the 2022 and early 2023 bear markets. Analysts interpret this as Bitcoin trading at roughly 40% below its "fair value", based on historical trends.

“Historically, these zones have represented prime accumulation opportunities,” said a lead analyst at Glassnode.

Despite recent price corrections and regulatory uncertainty, long-term holders continue to increase their BTC exposure. On-chain data shows that wallet addresses holding Bitcoin for longer than 155 days — typically considered "smart money" — have steadily grown in volume over the past month.

The current market dynamics mirror previous cycles where undervaluation periods were followed by strong bullish recoveries.

Bitcoin is currently trading at $47,200, down 15% from its March high but up over 85% year-over-year.

Market Outlook: Traders and analysts are eyeing the $45,000 support level closely, with many citing this discount as a potential buy-the-dip moment. However, volatility remains high, and macroeconomic pressures continue to weigh on crypto sentiment.