A Closer Look at the Trend

• Bitcoin’s MVRV Z-Score and Puell Multiple indicate continued growth toward a $158K target.
• Current indicators suggest Bitcoin has room to rise before reaching the market cycle peak.
• Bitcoin’s bullish momentum points to a $158K target by 2025, supported by on-chain data.

Recently, Bitcoin (BTC) reached $103,647, setting a new all-time high on December 5. While prices briefly dipped, the cryptocurrency rebounded strongly, forming higher lows and nearing previous highs. Analysts now believe the $158,000 target for 2025 remains firmly in place. Key on-chain indicators, including the MVRV Z-Score and Puell Multiple, suggest further growth is likely before the current market cycle ends.

MVRV Z-Score Hints at More Room to Grow

The MVRV Z-Score compares Bitcoin’s market value to its realized value. This metric highlights whether Bitcoin is undervalued or overbought. Readings near 7 have historically marked the end of market cycles, with previous highs recorded at 12.52, 11.01, and 7.55.

In this cycle, the MVRV Z-Score currently sits at 3.2. The descending resistance trendline connecting past highs lies at 4.5, leaving room for further increases. Even if the current trend persists, the indicator has yet to reach overbought levels. This suggests the market still holds potential for further gains.

Puell Multiple Supports a Bullish Outlook

The Puell Multiple evaluates miner profitability by dividing daily Bitcoin issuance by a 365-day moving average. In earlier cycles, this metric reached an initial high before halving, followed by a higher high at the market’s peak.

This cycle has seen the Puell Multiple hit 2.20 before halving, later dropping to 1.22. If the historical pattern repeats, the metric will surpass 2.20 again, signaling that the market cycle has further to run. This aligns with the expectation of continued bullish momentum.

Both the MVRV Z-Score and Puell Multiple emphasize Bitcoin’s room for growth. Combined with strong price action, these indicators suggest the $158,000 target for 2025 remains achievable. Bitcoin’s trajectory inspires optimism as it approaches new milestones.