5 On-Chain Metrics Indicate Bitcoin Price Remains Undervalued at ATH

Highlights,The BTC bulls have been confidently defending the $75,000 levels following the Donald Trump victory and the Fed rate cut this week. Earlier today, the Bitcoin price made a new all-time high above $77,000 leading to a similar surge in the altcoin space. However, investors remain curious as to what’s next for Bitcoin and if there’s more fuel in this rally.,With the Bitcoin price hitting a new all-time high, the asset has entered into a price discovery zone with no history of previous technical charts. However, on-chain metrics can help us make the right decision as to what investors should do next. Let’s take a look at five metrics that prove Bitcoin is undervalued.,Blockchain analytics platform Lookonchain showed that the BTC rainbow chart is a long-term valuation tool that will leverage a logarithmic growth curve projecting future BTC price trends. As per the updated Rainbow2023 chart, the Bitcoin price remains still undervalued.,Currently, the Relative Strength Index for BTC is 70.83, which, in comparison to the previous data shows that the price hasn’t reached its peak yet. RSI is a crucial indicator in deciding whether the asset remains in the overbought or underbought zone.,The 200-Week Moving Average Heatmap reveals that Bitcoin’s current price point remains in the blue zone, signaling that the price peak has not yet been reached. According to the heatmap, this indicates a favorable environment for holding and potentially buying.,As per the below chart, when the Bitcoin price touches the orange line, it indicates an undervalued market, presenting a favorable buying opportunity. Current CVDD (Cumulative Value Days Destroyed) data suggests that the BTC price has not yet reached its peak.,According to the 2-Year MA Multiplier, the BTC price currently sits between the red and green trend lines, signaling that it has not yet reached the red line associated with market tops. This suggests that the market has room to grow before reaching a potential peak.,In the week leading up to the US elections and the FOMC meeting, BTC has registered quick 10% gains with some market analysts expecting the rally to pause for a while. Blockchain analytics platform Santiment reports a shift in social sentiment following Bitcoin’s ascension to new all-time highs.,Historically, when enthusiasm for an $80,000+ BTC grows too intense, prices have tended to pull back. Investors are advised to monitor this trend and leverage the crowd’s FOMO (fear of missing out) and FUD (fear, uncertainty, and doubt) reactions, it noted.,However, in the latest Bitcoin vs Gold comparison, the VanEck CEO said that the Bitcoin price can easily touch $300,000.,