FameEX Hot Topics | 4 Key Bitcoin Metrics Indicate $80K Is Undervalued

Between March 28 and March 31, Bitcoin's price dropped from $87,241 to $81,331, wiping out gains accumulated over the previous 17 days. This 6.8% correction triggered the liquidation of $230 million in long BTC futures positions and mirrored the weakness in traditional markets, particularly as S&P 500 futures slipped to their lowest level since March 14. While Bitcoin struggled to remain above $82,000 on March 31, analysts highlight four key indicators that suggest continued investor confidence and possible decoupling from the broader financial market in the near term.

Concerns over a looming global trade war are contributing to market volatility, especially after the U.S. imposed a 25% tariff on foreign-made vehicles on March 26. This protectionist move led Goldman Sachs to lower its S&P 500 year-end forecast from 6,200 to 5,700. Barclays followed suit, revising its estimate down to 5,900 from 6,600. Meanwhile, safe-haven assets gained momentum—gold surged past $3,100 on March 31, while the U.S. dollar weakened against a basket of major currencies, with the DXY index falling from 107.60 in February to 104.10.

Despite current volatility, Bitcoin has outperformed the S&P 500 over the past six months, gaining 36% while the index declined 3.5%. Some critics have questioned Bitcoin’s narrative as “digital gold” or a non-correlated asset, but several on-chain metrics suggest otherwise. With central banks leaning toward more expansionary monetary policy to counter economic slowdowns, Bitcoin's positioning as an alternative store of value may continue to gain traction among long-term holders.

One of the clearest signs of continued confidence comes from Bitcoin’s network health. The 7-day average hashrate reached a record 856.2 million terahashes per second on March 28, up from 798.8 million in February. This growth indicates that miners remain profitable and are not under pressure to sell. Supporting this, Glassnode data showed that only 125 BTC were transferred to exchanges from miner addresses on March 30—significantly below the 450 BTC mined daily—contrasting with past cycles where price dips sparked miner capitulation fears.

Institutional and corporate behavior further supports the bullish outlook. Bitcoin miner MARA Holdings filed to sell up to $2 billion in stock to increase its BTC reserves. Meanwhile, exchange balances dropped to a six-year low of 2.64 million BTC on March 30, suggesting investors are holding rather than selling. Additionally, near-zero net outflows in U.S. spot Bitcoin ETFs between March 27 and 28 reflect continued institutional trust in the asset despite short-term market pullbacks.

Disclaimer: The information provided in this section is for reference only and does not represent any investment advice or the official views of FameEX.