Crypto Market Overview

In early Sunday trade, Bitcoin, Ethereum, and the rest of the crypto market saw profit-taking, with about $252 million reported in liquidations.

Bitcoin Performance

Bitcoin fell to a low of $101,221 before recovering to an intraday high of $103,292. However, it pared some gains, remaining up 1.6% in the last 24 hours to $102,796.

Ethereum Performance

Ethereum dropped to a low of $3,831 but rebounded to intraday highs of $3,906 after buying pressure. It has been attempting to reach $4,000 for four days, with bullish momentum stalling just above $3,900.

Resistance and Market Sentiment

Bitcoin is testing resistance above $100,000, increasing the likelihood of a breakout. Both assets see optimistic market sentiment. The MVRV indicator provides insights into potential market tops and bottoms for BTC and ETH.

What MVRV Indicator Suggests

The Market Value to Realized Value Ratio (MVRV) assesses if the price is higher or lower than the average cost investors paid, indicating overvalued or undervalued conditions.

According to IntoTheBlock, Bitcoin historically finds its market bottom when MVRV falls below 1 and peaks over 3. Currently, BTC's MVRV is at 2.5, suggesting warming conditions, though still far from its top.

Ethereum's MVRV offers a more complex perspective; with a current MVRV of 1.76, it has room to rise before reaching peak valuation levels. Historically, Ethereum’s bear market MVRV is around 0.7 and peaks at 2.7 in past cycles.

This article was originally published on U.Today.