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- The Bitcoin price stalls its correction trend at $60,000 as sellers take a breather to replenish bearish momentum.
- $BTC MVRV ratio at 1.1% hints that the asset is approaching undervalued region
- Crypto fear and greed index at 9% suggest a strong bearish sentiment among market participants.
The pioneer cryptocurrency Bitcoin jumped roughly 4% during the Friday’s U.S. market hours to reach $68,814. The buying pressure followed the recent report of January 2026 CPI at 2.4% annually, slightly below the 2.5% expected. This print indicates that inflation is trending lower which strengthens the case for more rate cuts from the Fed in 2026. In addition, the on-chain data shows that Bitcoin price is gradually heading to MVRV ratio’s undervalue region, suggesting a potential rebound in near future.
$BTC Nears Historic MVRV Reversal Zone
Over the past four months, the Bitcoin price has witnessed a significant correction from $126,272 all-time high to $68,900, registering a loss of 45%. The decline has driven the asset towards territory that may be regarded as providing a fundamental basis of value.
The Market Value to Realized Value (MVRV) ratio is a widely-tracked on-chain gauge that is currently around 1.2 as of mid-February 2026. Readings below 1.0 have traditionally highlighted periods during which the average holder is experiencing unrealized losses, oftentimes around cycle lows and recoveries. At its current level of approximately 1.1 to 1.2, the current metric is approaching (but has not yet entered) that historically significant undervalued band.
This cycle differs from previous cycles in the fact that the earlier rally failed to push MVRV into the extreme overbought levels of previous bull runs where it reached ratios of over 3 or more with violent euphoria. A lack of these extremes may play a role in how this downturn will play out in comparison to prior bear phases.
Historical chart patterns indicate MVRV dipping to similar lows around the year 2015, 2019 and 2022 respectively, all of which preceded significant price reversals. The current configuration is that of a more muted bull market structure and the realized price floor is around $55,000, which suggests more downside risk ahead of testing deeper support zones historically linked to undervaluation signals.
Bitcoin Price Coiling In A Narrow Range For Imminent Breakout
Following a sharp correction to $59,930 low on February 6th, the Bitcoin price has shifted to a sideways trend in daily charts. The consolidation, backed by low trading volume and rejection on either side of the range indicate lack of conviction from buyers or sellers to drive sustainable moves.
However, as the prevailing trend remains bearish, the market selling could use this lateral trend to recoup its bearish momentum. The momentum indicator RSI back to 35% indicates that the price is stabilizing after an overextending correction in the market.
With today’s jump of 4%, the Bitcoin price currently trades at $68,828 and gradually heading to overhead resistance at $73,175-$74,500. A potential breakout from this barrier could strengthen the buyer’s grip over this asset to drive a renewed recovery towards $84,338.
On the contrary, if the sellers breach the $60,000 level, the next support lies at the $55,000 mark.