Fidelity Digital Assets recently revised its medium-term perspective on Bitcoin (CRYPTO:BTC) from "positive" to "neutral," while maintaining a positive short-term view.
The reassessment was influenced by the first quarter's performance and various indicators suggesting a reduced perception of Bitcoin as "cheap," along with emerging sell pressure.
Detailed in Fidelity's Signals report issued on April 22, the analysis also introduced the Bitcoin Yardstick, similar to a Price-to-earnings ratio for stocks, indicating Bitcoin's valuation.
The Yardstick revealed that Bitcoin remained outside the 'cheap' territory throughout the first quarter, fluctuating between negative one and zero deviations from a 51% mean.
This shift in assessment reflects a more cautious stance on Bitcoin's medium-term market position compared to earlier evaluations.