CryptoQuant researcher: 2 key indicators show that the Bitcoin bull market cycle is developing steadily

On August 21st, CryptoQuant researcher Axel Adler highlighted two key indicators in a recent report: Bubble vs. Crush market structure and MVRV Z-score, as signals that Bitcoin's current price trend is developing in a healthy direction.

Adler added, "We can see that the current bull market cycle is developing quite steadily, without any obvious anomalies or significant leaps."

He emphasized that the first indicator has dropped to 1.02 points, which he believes is the "baseline," indicating that Bitcoin is currently not experiencing a bubble.

When the "growth rate" of Bitcoin's market value exceeds its realized capitalization, a bubble forms in the market. When Bitcoin reached its historical high of $73,679, this indicator showed the presence of a bubble with a score of about 1.5.

He also noted that Bitcoin's 30-day moving average (DMA) MVRV Z-Score is 1.8, slightly higher than Bitcoin's annual average level of 1.6, indicating the "lowest overvaluation degree."