Bitcoin enters Power Law 4% quantile undervaluation zone, signaling accumulation

Bitcoin slips into a rare undervaluation zone. A long‑term model shows BTC trading below its historical trend band.

Bitcoin’s multi‑week selloff pushed price near $60k. The Power Law model now signals “extreme undervaluation,” per analyst Darkfost’s X post highlighting a drop below the 4% quantile.

Darkfost notes BTC has spent less than 4% of its history this low relative to its trend. Similar readings appeared around 2016, 2020, and 2022, periods that later saw recoveries according to the same post.

This is a long‑term valuation signal, not a timing tool. It tracks whether price deviates from the growth path, not immediate direction.

At writing, Bitcoin trades near $61,592. The Fear & Greed Index sits at 12, showing extreme fear per Coincodex.

Coincodex’s model projects $69,489 for next month per their forecast page.