Bitcoin (BTC) is flashing deep value signals as intense selling from recent buyers pushes the price to a three-month low below $65,000.
On-chain metrics show the Mean Reversion Index at Q18, placing it in the bottom 18% of its distribution and below the Q20 threshold considered the deep value zone, according to on-chain strategist Checkmate.
This marks the fourth capitulation event since the all-time high, with daily realized losses doubling from $420 million the prior day to more than $850 million, says the on-chain analyst.
According to the analyst, the vast majority of this activity, over 85%, comes from short-term holders who purchased in the high $80,000s. These investors are now realizing losses at levels they had hoped to buy at three months earlier.
“The majority of people taking the L are Short-term holders. Folks who: – were indecisive and didn’t buy enough at $67k in July-August – FOMO aped in too large a buy above $80,0000 – are now selling at the very price they wish they had taken advantage of three months ago.”
In contrast, longer-term holders sitting in profit are holding steady with little to no selling.
“If Bitcoin were finally dead, buried, and ready for another obituary, these folks would be exiting stage left. They are not.”
Source: Checkmate/XThis distinction highlights that the current pressure stems mainly from indecisive recent buyers rather than widespread exits by established participants.
“When Bitcoin gives you a big bag of lemons like it has this week, you have two choices: curl up, feel sad, depressed and regretful of your past decisions. Or paint a sign and make some fucking lemonade. Bitcoin is in the deep value zone. Most will lower their price targets.”
At time of writing, Bitcoin is trading at $64,905.
 
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