We are currently at the midpoint of the crypto bull market. The bear market ended back in November 2022 with a significant upward move, marking the first phase of the bull market. This phase paused right at the all-time highs, coinciding with the release of the BTC ETF. Since then, Bitcoin has been consolidating—a healthy sign.
The pullback has only been a -23% drawdown, much lower than in previous cycles. Bitcoin's resilience is impressive, considering how quickly it reached its all-time highs. In earlier cycles, it took BTC a couple of years to achieve this, whereas now it did so in just seven big green monthly candles. This kind of price action is typically seen in the last stage of a bull market. Instead of ending with a blow-off move, BTC had a correction, indicating strength, not weakness. This pause is essential for a sustained move higher, avoiding an early blow-off in this cycle.
In the short term, Bitcoin could still trade into the lower 60s. However, the past three months have shown a substantial number of buyers within the current range. Any sharp drop presents a massive opportunity. At this point in the cycle, a further correction is a signal to step in harder and ensure you are fully allocated into BTC or other altcoins for what's to come.
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Written by Timothy Assi, a popular investor on eToro. Follow & copy my portfolio:
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