Bitcoin's 'P/E ratio': market cap relative to on-chain transaction volume (smoothed over 90 days). It measures whether the network's value is high relative to its actual use.
High = the market prices the network very richly relative to what flows through it (potentially overbought); low = modest valuation against strong activity (potentially undervalued). Our on-chain volume is RAW (it includes 'change' and internal movements): absolute levels are therefore lower than the 'adjusted' NVTs published elsewhere. Read as a trend and never alone.