Ethereum’s ‘capitulation’ suggests ETH price is undervalued: Fidelity report
Fidelity Digital Assets reports a cautiously optimistic outlook for Ethereum despite a 45% decline in Q1, which erased post-US election gains. A death cross occurred in March, indicating bearish momentum, but the MVRV Z-Score dropped to -0.18, suggesting Ether is undervalued. The Net Unrealized Profit/Loss ratio fell to 0, indicating capitulation among holders. ETH's realized price is $2,020, 10% above its current value, reflecting unrealized losses for holders. Ethereum's market cap ratio to Bitcoin is at 0.13, declining for 30 months. Meanwhile, unique addresses interacting with Ethereum's layer 2 networks reached 13.6 million, a 74% increase in a week, driven by Unichain's growth. ETH price has also risen above the 12-hour Ichimoku cloud indicator, signaling potential bullish sentiment.
