While the Bitcoin price remains below the $90,000 mark at the end of the year and many market participants are already talking about a disappointing cycle, a much-watched on-chain indicator is now providing a completely different picture. The so-called Bitcoin Energy Value Oscillator is currently signaling massive undervaluation, at a level that was last reached over ten years ago.
The indicator puts the Bitcoin price in relation to the energy actually contributed to the network. Among other things, hash rate, mining difficulty and the long-term computing power built up are taken into account. Unlike classic technical indicators, this approach does not measure market sentiment or short-term liquidity, but rather the physical basis of the network itself. This is precisely why it is considered one of the most robust valuation measures for Bitcoin among institutional analysts.
Energy as the foundation of Bitcoin value
In the Bitcoin network, energy is not an abstract factor, but the basis of security. Every block, every transaction and every new unit of Bitcoin is the result of real energy expenditure. The Energy Value Oscillator makes it clear whether the market is currently pricing in this effort fairly or not.
Historically, there is a clear pattern: whenever the indicator reaches very low values, Bitcoin marks long-term lows. Conversely, the final high phases of previous bull markets only occurred after the oscillator had moved significantly into the red zone.
This is actually pretty crazy.
Bitcoin hasn’t been this undervalued based on energy since 2015.
This metric is a big one.
It’s the Bitcoin Energy Value Oscillator.
It shows us the current nature of Bitcoins value in relation to the amount of overall energy that has been… pic.twitter.com/fmruo838bt
— Sycodelic
(@Sykodelic_) December 27, 2025
That’s exactly what hasn’t happened in the current cycle so far. Despite several strong climbs, there was no real overheating.
Why this cycle is different
According to several analysts, this constellation suggests that the current Bitcoin cycle is structurally longer than previous ones. Although there have been rallies, there has so far been no broad, euphoric expansion phase. Other macro indicators also fit into this picture: the liquidity cycle, the economic trend, the ratio of Bitcoin to gold and the development of copper against gold also show that the market is in a late accumulation phase rather than in a top range.
What is particularly noticeable is that Bitcoin is moving comparatively stable sideways despite the sharp increase in mining activity and record hash rate. From an energy perspective, this means that the network is becoming more and more valuable, while the price has not yet reflected this development. For long-term investors, this is exactly what is considered a classic undervaluation signal.
Bitcoin Hyper is coming into greater focus
In this environment, there is also growing interest in projects that directly focus on the structural development of Bitcoin. Bitcoin Hyper ($HYPER) is currently particularly frequently mentioned. The project is developing a Layer 2 solution that will connect Bitcoin for the first time with fast, cheap transactions and direct access to DeFi applications. Technically, the Hyper Chain relies on the Solana Virtual Machine as the execution layer, while security is still guaranteed by the Bitcoin network.
In the future, Bitcoin holdings could not only be held, but also actively used, for staking, lending or decentralized exchanges. At the center of the ecosystem is the $HYPER token, which is required for transaction fees, liquidity and other network functions. The token is currently still in presale, in which almost $30 million has already been invested. Many analysts see this as a strong signal of interest from institutional and private investors.
($HYPER Token Presale – Source: Bitcoin Hyper website)
If the thesis that Bitcoin itself is still significantly undervalued is confirmed, projects like Bitcoin Hyper could benefit additionally. The greater the fundamental importance of Bitcoin in the coming cycle, the greater the demand for scalable solutions that enable new use cases based on BTC.
Get in now and buy $HYPER in the presale.
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