A key technical indicator shows Bitcoin is highly undervalued as it begins moving to the low-$9,000 region

In spite of Bitcoin begins moving to the low-$9,000 region following strong rejection at $10,000, one technical indicator seems to suggest that the cryptocurrency could soon be on the cusp of seeing further upside, as it may be highly undervalued at the moment. Glassnode, a blockchain research and analytics platform, spoke about Bitcoin’s MVRV Z-score in a recent tweet, concluding that it has “much room to grow.”

“The MVRV Z-Score is used to assess when Bitcoin is over/undervalued relative to its fair value. It can be used to identify market tops (red) and bottoms (green). Current value indicates there’s much room to grow for BTC.”

It is certainly a strong possibility that Bitcoin’s ongoing selloff will cut deeper, but its mid-term outlook still appears to be highly bullish.

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