According to CryptoQuant's recent report, the crypto bull market is still in its early stages, making it premature for investors to consider selling their Bitcoin. The report, authored by analyst Tarek On-Chain, focuses on the Market Value to Realized Value (MVRV) indicator to assess whether Bitcoin is in a "distribution zone" or a good buy point.

Key Points:

- MVRV Indicator: MVRV measures the ratio between Bitcoin’s market cap and its realized cap, providing insights into whether Bitcoin is overvalued or undervalued. An MVRV below 2.0 suggests an accumulation zone, while values above 3.5 indicate potential market peaks.

- Current MVRV Score: Bitcoin’s current MVRV score is 2.3, indicating it is still below its true value and not yet in a peak zone. This suggests there is room for significant price increases, potentially above $100k in this cycle.

- Historical Trends: Historically, Bitcoin’s MVRV has stayed above 1.0, with bear market exceptions like late 2022. Bull cycle peaks generally occur when MVRV exceeds 3.5, leading long-term holders to take profits.

- Mt. Gox Bankruptcy Impact: The report reassures that recent movements of Bitcoin related to the Mt. Gox bankruptcy do not pose immediate selling pressure. The coins are being moved within the trustee’s addresses and are not yet available on the open market.

Conclusion

CryptoQuant’s analysis using the MVRV indicator suggests that Bitcoin’s current price is still in an accumulation phase, indicating further potential for growth. Investors are advised to hold their Bitcoin until the MVRV approaches 3.0, signaling a market peak. The anticipated creditor repayments from Mt. Gox are not expected to create immediate selling pressure on Bitcoin.