According to Odaily Planet Daily, CryptoQuant researcher Axel Adler focused on two key indicators in a recently released report: bubble vs broken market structure and MVRV Z-score as a signal that Bitcoin's current price trend is moving in a healthy direction.
Adler said that the current bull market cycle is quite stable, with no obvious anomalies or large jumps. The first indicator has dropped to 1.02 points, indicating that Bitcoin is not experiencing a bubble.
When the market value of Bitcoin grows faster than its realized capital, the market forms a bubble. When Bitcoin reached its all-time high of $73,679, the indicator showed a bubble with a score of about 1.5.
Bitcoin’s 30-day moving average MVRV Z-Score is 1.8, slightly above the annual average of 1.6, indicating minimal overvaluation.
