According to Santiment, a leading cryptocurrency market intelligence provider, despite recent recovery attempts since the market crash on Aug. 17, most altcoins are still seeing poor uptake.
According to Santiment, the MVRV Opportunity and Hazard Segregation Model, which measures average medium-term returns among traders, shows that AUCTION, LINA and SRM assets are currently particularly undervalued.
In addition, in the chart shared by Santiment, it is observed that REEF and QUICKSWAP tokens have similar data.
The MVRV model compares the market value of an asset (price multiplied by supply) with the realized value (the last price each coin moved). The difference between these two values shows how much profit or loss the average investor has.
Santiment's model identifies four zones based on the MVRV ratio: opportunity, neutral, hazard and extreme hazard. The opportunity zone indicates that an asset is undervalued and has high growth potential. The danger zone indicates that an asset is overvalued and the correction risk is high. Extreme danger zone means that an entity is in a bubble and may collapse soon.
*Not investment advice.