Fidelity has revised its mid-term outlook on Bitcoin from "positive" to "neutral," stating that Bitcoin is no longer seen as having a "low-price advantage."

ChainCatcher news, according to Cointelegraph, after the market volatility in the first quarter, Fidelity Digital Assets has adjusted its mid-term outlook for Bitcoin from "positive" to "neutral." This change is primarily based on information shown by several key indicators: against the backdrop of potentially increasing selling pressure, Bitcoin is no longer seen as having a "low-price advantage."

In the latest Signals report released on April 22, Fidelity Digital Assets specifically cited the Bitcoin Yardstick or Hashrate Yardstick indicator. This indicator works similarly to the price-to-earnings ratio of stocks, used to assess whether Bitcoin is undervalued. Fidelity noted that the deviation of this indicator, compared to the 51% average in the first quarter, lies between negative 1 and zero, which means "Bitcoin was not considered to be in a 'low-price' state during the first quarter."

Fidelity further stated that the current trading price of Bitcoin reflects its "fair value," thus adjusting the mid-term outlook to neutral. Additionally, other indicators cited by the company also support this neutral outlook, as long-term holders are increasing selling pressure, and up to 99% of Bitcoin addresses are in profit, which "may further exacerbate selling behavior."