With the possible approval of the Ethereum ETF in the US market, Ki Yong-ju, the CEO of blockchain analytics company CryptoQuant, shared his views on altcoins. In a recent publication, he emphasized the significance of the “Market Value to Realized Value” (MVRV) indicator for Ethereum. The MVRV indicator helps determine whether a cryptocurrency is undervalued or overvalued by comparing its market capitalization to its realized capitalization (the total value of all ETH at their purchase prices).
“We are entering the early phase of the altcoin season. The MVRV of ETH is increasing faster than the MVRV of Bitcoin (BTC), indicating that the Ethereum market is gaining momentum based on its fundamentals. Considering the current ETF scenario, this could be a period where ETH attracts attention. Historically, when Ethereum rises, other altcoins usually follow suit.”
Read more:
[Link to article]
While looking at the broader altcoin market, the CEO of CryptoQuant also noted a decline in the dominance of meme coins, which reached a 15-month peak in March. The dominance of meme cryptocurrencies compares their share of the total market capitalization to the market value of all altcoins.
“It seems that crypto enthusiasts on Twitter are moving away from speculative trading towards focusing on fundamental indicators, reminiscent of the situation a few years ago.”
[Image]