Analyst Says Bitcoin Indicator Flashing Bullish Signal, Updates Outlook on Dogecoin

Analyst Ali Martinez says a key Bitcoin (BTC) indicator is now flashing green.

Martinez tells his 42,900 followers on the social media platform X that Bitcoin’s Market Value to Realized Value (MVRV) indicator shows the price of the flagship crypto asset is likely to go up, if past is prologue.

MVRV is the ratio of Bitcoin’s market capitalization relative to its realized capitalization (the value of all BTC at the price they were bought at) and is used to assess whether the crypto asset is undervalued or overvalued.

“Every time the Bitcoin MVRV Ratio fell below its 90-day average in the past year, it signaled a buy-the-dip opportunity.

Currently, with the BTC MVRV Ratio again below its 90-day average, it suggests that now might be an opportune moment to buy BTC.”

Bitcoin is trading at $42,203 at time of writing.

Next up is Dogecoin (DOGE). Citing data from blockchain analytics platform IntoTheBlock, Martinez says the leading memecoin has witnessed “remarkable surge in growth” over the past week with new addresses rising by approximately 1,100%.

According to the crypto analyst, the continued growth in the number of Dogecoin addresses is a strong fundamental sign that bodes well for the memecoin’s potential.

“On January 29th alone, a record-breaking 247,240 new DOGE addresses were created, marking an all-time high. A sustained uptrend in network expansion could soon reflect positively on DOGE prices.”

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Dogecoin is trading at $0.0791 at time of writing.

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