BITCOIN VALUE DAYS DESTROYED MULTIPLE (VDD)

The Value Days Destroyed (VDD) Multiple chart is a key on-chain indicator for identifying potential Bitcoin market cycle tops and bottoms. It compares short-term spending value against the long-term baseline, acting as a momentum gauge for on-chain economic activity. By analyzing the ratio between recent and annual spending velocity, traders can effectively assess whether the market is becoming overheated or is in a period of accumulation.