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According to the stock-to-flow deflection chart, today, bitcoin is the most undervalued with respect to the last 10 years of its history.
A similar situation occurred in the middle of the 2017 bull market. After which, the BTC price continued its exponential growth.
Additionally, bitcoin is deviating from its 11-year uptrend line. The deviation reaches 36% negative. This gives an additional signal that the value of BTC is undervalued and also shows room for upside. The peaks of previous bull markets led the major cryptocurrency high above this trendline.
A similar situation occurred in the middle of the 2017 bull market. After which, the BTC price continued its exponential growth.
Additionally, bitcoin is deviating from its 11-year uptrend line. The deviation reaches 36% negative. This gives an additional signal that the value of BTC is undervalued and also shows room for upside. The peaks of previous bull markets led the major cryptocurrency high above this trendline.
https://finance.yahoo.com/news/bitcoin-btc-most-undervalued-10-113300365.html
The strength of this model lies in its historical effectiveness and its accounting for halving cycles (colors). So far, the BTC price has surprisingly followed the stock-to-flow model accurately, so it seems that it can be used to predict the future valuation of the largest cryptocurrency.
Take it as it is because there is no guarantee that bitcoin will ever follow S2F like a clockwork but if we are in a similar stituation as July 2017, it is fine by me.