The explanations about the crypto money market and bull market are constant. While some analysts are catastrophic, industry advocates say the bull season is ongoing, and they test some new highs.
When will Bull Season of the Bitcoin End? New Report Creates Excitement
While investors in China and Singapore, fleeing exchanges in the crypto money market, flock to decentralised finance (DeFi) platforms, these platforms gain value. At the same time, a green picture is present in the Bitcoin (BTC) and altcoin markets. Most DeFi platforms that have gained importance operate on the Ethereum (ETH) blockchain network. While dXdY and Uniswap (UNI) took the lead among these platforms, PancakeSwap (CAKE), connected to the Binance Smart Chain network, gained less value than these platforms.
Researchers in the cryptocurrency field state the new generation tends toward high-risk investment instruments. This tendency is more than in the previous generation, and the new generation’s interest in cryptocurrencies will increase. These researchers refer to the market’s long-term trends instead of the short-term trends. The successful economist is based on the investment habits of the new generation and states that the new generation prefers high-risk investment instruments more than the investors of the old age. Saying that the investment potential of the new generation increases by 2 trillion dollars every year, it is clear that this capital will enter the crypto money market.
What is a Bull Market or a Bear Market?
The bear market is trending downwards, and the bull market is trending chart upwards.
Markets that experience continuous or significant growth are called bull markets. Markets with constant or considerable decreases are called bear markets. Both have their unique opportunities and dangers.
Whether it’s cryptocurrencies, stocks, real estate, or any other asset, you’ll often find markets defined in bull and bear markets. A bull market is a market on the rise, and a bear market is a market that tends to decrease. Because markets often experience daily (even momentary) fluctuations, these two terms are usually only used in the following situation:
- Mainly experiencing up or down movement in the long run.
- Significant upward or downward oscillation (20% commonly accepted).
Specifics of a Bull Market
A bull market is a period when most investors buy when demand outweighs supply, market confidence is high, and prices are rising. If you see prices trending upwards rapidly in a particular market, it may be a sign that most investors are optimistic or “bullish” about a further price increase. In this case, you may be facing the start of a bull market.
“Bulls” are the investors who believe that prices will increase over time. A positive cycle emerges as investor confidence grows. This cycle attracts more investment, causing prices to continue to rise.
Because people’s confidence in that asset heavily influences each cryptocurrency’s price, the key strategy of some investors is to determine investors’ optimism in a particular market (the metric known as “market sentiment.”)
What Happens During the Bull Market?
A bull market starts when the market starts to rise aggressively over a short time. As the market increases, more and more hunger appears in the stock market. We see an increase in people who think, “Let’s invest money in the stock market because it is going up.” While many factors contribute to a bull market, the biggest ones are usually a strong economy and high employment levels.
Simply put, a bull market refers to an emerging market. A continuous increase in market prices is apparent. At times like these, investors often believe that the uptrend will continue in the long run.
Its name is a bull market because the bull moves upwards during the attack. This event has been a market metaphor representing the rise.
One of the most significant samples of a bull market can is the rise of the gold market from 800 USD/ONS to 1900 USD/ONS in the early 2000s.
What Happens During the Bear Market?
The definition of a bear market is the opposite of a bull market and indicates pessimism in the market. The markets have remained in a downtrend for a long time, and there has been a 20% downward movement. This issue signals a bear market, and when it happens, people start to get scared about investing in the stock market. This event is because people do not know how to invest in this situation. The economy usually slows down during a bear market, and companies start laying off workers.
In general, a bear market shows signs of bearishness. A bear market occurs as investors believe that this downward trend in share prices will continue, at least for the foreseeable future. It is also more dangerous to invest in a bear market because most stocks lose value. In this case, most investors withdraw their money from the markets and hold it until the trend reverses.
How long bear markets last depends on the situation. Some may only last a few weeks, while others may take years. A cyclical bear market can last for several years.
There have been eight bear markets since 1926. Their length was variable; one took six months and the other almost three years. The worst was when the S&P 500 saw an 83% drop.
One of the most famous examples of a bear market is the Black Monday event on Wall Street in 1987, which lasted about three months and ended with a 29.6% drop. Black Monday expresses the most significant one-day percentage drop in stock market history. The Dow Jones Index fell 22.61% alongside the S&P 500 index on October 19, 1987. It fell 508 points to 1738.74. After two years, the Dow Jones index could come out of this loss and regain its value.
Characteristics of the Bullish and Bearish Markets
Even though stock prices characterise a bull or bear market situation, there are also different features that investors should be aware of each. We’ve explained some of these factors to you below.
While most investors want to buy securities, some tend to sell them. On this occasion, share prices will rise as investors compete for appropriate capital. In a bear market, the opposite is true, as traders sell more shares than they buy. The demand becomes significantly lower than the supply, and share prices fall.
Since market behaviour is affected by how individuals perceive this behaviour, investor psychology and sentiment also affect whether the market will rise or not. Stock market performance and investor psychology are interdependent. In a bull market, investors willingly hope to make a profit. Market sentiment is negative during a bear market as investors expect a positive move in the stock market as they start withdrawing their money from stocks and fixed-income securities. In summary, the fall in stock prices undermines the investor’s confidence, which causes the investors to keep their money away from the market.
Change in Economic Activity
There is a strong relationship between the stock market and the economy, as the stocks of businesses trading in the stock market contribute to the economy. A business’s inability to profit with consumers not spending enough is a sign of a weak economy. This event is also associated with the bear market. This decrease in profit directly affects the market values. Conversely, in a bull market, because people have money to spend and are willing to pay, they stimulate and strengthen the economy.
Measuring Market Changes during Bull Market or Bear Market
The key element determining whether the market is bull or bearish is the complex reaction of the need to a particular event and how it performs in the long run. Small movements only represent a short-term trend or market correction. It takes a long time to know if there is a bull or bear market.
Both bear and bull markets will have a significant impact on your investments, so it may take some time to understand the state of the market when making any investment decision. But remember that the stock market always provides a positive return in the long run.
What Determines the End of a Bull Market?
Even during a bull market, there will be volatility, dips, and corrections. Traders might easily make mistakes interpreting the short-term downward moves as the end of a bull market. That’s why it’s essential to examine price action over a longer time frame and consider a broader perspective for possible signs of a trend reversal. (Investors working on shorter timeframes often talk about “buying at the bottom.”)
History has shown that bull markets do not last forever, and investor confidence will start to wane at some point. Anyone can trigger it, from negative news like unfavourable legislation to unforeseen circumstances like the COVID-19 pandemic. A sharp downward price move could set off a bear market where more investors believe prices will continue to drop, causing a downward spiral as these investors sell to prevent further losses.
What Is a Bear Market?
A bear market is when supply is more significant than demand, confidence is low, and prices are falling. Pessimistic investors who believe that prices will continue to fall are called “bears.” Trading in bear markets can be difficult, especially for inexperienced traders.
It is difficult to predict when the bear market will end and when the lowest price will appear. A rebound is usually a slow and unpredictable process that can be affected by external factors such as economic growth, investor psychology, and world news or events.
But these markets can also bring with them various opportunities. After all, if your investment strategy is longer-term, buying in a bear market can pay off as the cycle reverses. Investors with short-term strategies can also benefit from temporary price increases or corrections. For more advanced traders, there are strategies such as short selling. This kind of selling is a strategy based on playing that the price of an asset will fall. Another strategy many crypto traders use is the average dollar cost you invest a certain amount (for example, $50) each week or month, regardless of whether the asset rises or falls. This strategy spreads your risk and allows you to invest in bull and bear markets.
Where Are the Origins of the Terms “Bull” and “Bear”?
Like many financial terms, their origins are unclear. But most people think these terms derive from the way the animals involved attack: bulls attack with their horns up, bears with their claws swinging down. Of course, there is a long history of theory and evidence regarding the origin of the terms. This explainer from Merriam-Webster is a good starting point if you’re curious.
Traders Set Bitcoin (BTC) Bull Cycle Ending Date
Some experts and cryptocurrency analysts, and traders have revealed the date that they believe the Bitcoin (BTC) bull cycle will end.
They believe that Bitcoin’s mega-bull run is not over yet, but BTC holders should be prepared for its finale because once the leading cryptocurrency does, it will drop quickly:
“It happened to countless people in 2018… I watched my destroyed portfolio grow. Why? Because I didn’t understand market psychology back then. I didn’t realise that the most exciting point collapsed at that very moment. It’s a smart move to get out of here when you don’t want to sell the most.” A professional trader says.
While the successful analysts admit that it is impossible to know precisely when Bitcoin will complete this cycle, they reveal that they believe it will happen within a certain period.
One other expert trader announces: “The most parabolic rally in the cryptocurrency cycle came at the very end of last month. I know exactly when the Bitcoin bull run will end, and yes, I can’t pinpoint the day of it. Yet we must know when it must end. It may end a week or two earlier or later, but a two-week period near the end of September is when you should consider quitting.”
“As it is clear, in the previous two cycles, the weekly candles between the two different segments of the bull run were exactly 51-49%. 51% of a bull run lasts until the Bitcoin halving. 49% of a bull run lasts from the halving date to the top of the market. Working on these dates gives you September 28, 504 days after the 2020 halving day, May 11.” One expert claims.
Of course, nobody guarantees that history will repeat itself. Traders point out that this cycle is eerily similar to 2017, which means that Bitcoin’s actual parabolic rally has yet to begin.
When will the “Bull Months” in the Crypto Markets Begin?
“Altcoin rallies may be the leading indicator of whether Bitcoin has started a new rally.”
The cryptocurrency market has lost its investors in the last 2.5 months. It is a process that pits even crypto money phenomena on social media. Are we still in the Bear Market? Or is it just a fix before a bull run that will lead to the final summit? Each analyst has their own opinion and indicators they respect. However, Bitcoin has managed to stay above 34 thousand, which analysts also note globally.
In his analysis of the crypto money markets, which have been in decline for a long time, one aware analyst wrote that the downward trend so far may last for three more months.
His analysis is as follows: A bear market will last at least six months because experience shows that the Bear Market (the most severe drop in prices) is at least six months for Bitcoin. The Long Bull Market can take up to 16 months. It is necessary to go through an assumption in this case. Of course, each investor is much more correct to listen to their analysis and feelings while making this assumption. Whichever belief you accept, that is, at best, even if the severity of the bear market decreases. The general expectation for Bitcoin is at least three more months for the trend to change, which has lasted three months until now. This expectation means that a challenging up rally will not start until mid-September.
But that’s the analysis for Bitcoin, of course. There are also altcoins, which more than Bitcoin investors are wondering about the reaction of altcoins.
Watch Out for the Lower Rally
Here, we come across an indicator called Bitcoin dominance: Bitcoin’s market dominance happens when investors turn to Bitcoin, and BTC dominates over the total market value with increasing volume. But before every dominance, there is an altcoin rally.
Altcoins herald Bitcoin’s bull runs with a leading rally. Investors who earn well in altcoins participate in Bitcoin’s rally by transferring their earnings to Bitcoin, enabling dominance to be experienced.
These periods mostly end with Bitcoin’s historical peak. In other words, altcoin rallies can be the leading indicator of whether Bitcoin has started a new rally. 2017, 2019, and 2020 rallies on ETH, XLM, LiLINK, TRX, and DOGE are among the best examples of this.
When Will Cryptocurrency Bull Season End
Cryptocurrency bull season is in full swing. Although there are small decreases, there is a severe price increase. Let’s see when this bull season will end and other details together.
First of all, let’s say that it is impossible to know for sure when the bear or bull season will end in cryptocurrencies. Some traders have made important statements on this subject.
Some investors think that the Bitcoin-centered bull season will end in 2022. However, a significant segment predicts that this will not be limited to 2022. Technically speaking, the Bitcoin bull run may continue longer than the previous 28-month bull season.
The Cryptocurrency Bull Market May Continue for a Long Time
The first prediction about the bull season in cryptocurrencies was that it would end in 2021. However, as we closed at the end of 2021, we could say that there was no such sign. Another part of the analysis predicts that this market will end in 2022.
Cryptocurrency Bull Season
The statements stated that the bull market will reach a quarter-million dollars in 2023 before falling 80 per cent. When traders were predicting 250 thousand dollars for Bitcoin, the bulls were more active these days. However, occasional tiny drops can discourage some investors.
Morale is High for the Bull Market
Especially the news of the restriction from China had eroded the bull market to a large extent. Immediately after that, negative statements came from Europe and the USA countries. This situation brought with it a 60 per cent decrease.
The news seems to be good these days. In particular, we can say that the El Salvador factor is highly effective. However, it may be too early to rejoice. Cryptocurrency markets are highly volatile and can suffocate you. Therefore, even if everybody says we are in a bull market, still try to be cautious. So what do you think about this subject?
Seven Reasons That the Cryptocurrency Bull Season May Continue In 2022
Recent corrections in the cryptocurrency market have alarmed most investors. While many people were worried that the expected rises in the market did not come, crypto money analyst Lark Davis made promising statements about the market. The details of the explanations are in the continuation of our content.
Note that we have prepared this content in the Bitunivex team for informational purposes only. It does not contain any investment advice.
1- SEC’s Bitcoin ETF Decision
The SEC’s approval of Bitcoin ETFs in October caused cheerful graphics in the market, and the BTC price climbed to the level of $ 63,000. ETFs, also referred to as Exchange Traded Funds, are essential tools that allow Bitcoin to behave like stocks on traditional exchanges. Bitcoin ETFs, which insure investor funds and mean risk-free crypto trading, may gain popularity in 2022, according to Lark Davis, which could accelerate the market’s bull run. However, it may be proper to wait for a fast-paced bear season after that.
2- Prolongation of Market Cycles
Another positive indicator in the Bitcoin and cryptocurrency market can prolong the market cycles. The Crypto market has matured over time, and the bull season is getting longer as more institutions enter the system. According to this theory, a period that extends until 2022 can be like the old bull cycles that lasted 1-1.5 years on average. This period may herald new peaks to come in 2022, but the market cycle theory, which lasted for about four years, would be invalid in such a system.
3- Developments in the Ethereum Network
The evolution of the Ethereum network in the last few years is another positive news for the market. Ethereum has moved from an inefficient and expensive Proof-of-Work (PoW) system to a fast and next-generation Proof-of-Stake (PoS) algorithm generally outweighs the optimistic expectations. Accordingly, transactions on the Ethereum network, which received additional updates such as triple halving and limited sharding, are expected to accelerate by 3-4 times. According to the statements, the network, which also supports smart contracts, may become more dominant in 2022 and positively affect the entire crypto market.
4- Growth in Ethereum Competitors
One optimist expert who has seen positive developments in the market is the growth in projects shown as competitors to Ethereum. Units like Cardano (ADA) and Polkadot (DOT) are said to point to an emerging market and meet market needs. Also, the growth experienced in protocols such as Solana and Avalanche may continue in 2022. As a result, the continued progress of these networks could mean increased market incentives and pricing.
5- Gaming and Metaverse
There are those focused on the metaverse and the game among the most popular projects lately. There is a massive boom in the cryptocurrency industry, which earns as you play, can be staked, and allows various activities in the metaverse. This new market, a multi-billion dollar industry, could affect the overall market cycle and influence the adoption of crypto projects. Gaming and metaverse are growing the most in the coming years and can add millions of new users to the cryptocurrency ecosystem. In such a scenario, it may also be possible for the predicted bull season to extend into 2022.
6- Demand for the NFT industry
NFTs, considered immutable tokens, have destroyed the cryptocurrency market this year. These digital assets, sold at incredible prices, also attracted significant interest from global brands and world-renowned artists. According to Davis, very shortly, NFTs may serve as the first access point for new investors to enter the market. For this reason, it may be proper to expect the NFT industry, which has attracted the public’s attention, to continue to grow for the next few years.
7- Regular Money Flow During the Bull Market
Finally, Davis points out that there is a steady flow of money into crypto and that it is an investment in future technologies. He says he expects this influx to increase as more enterprises realise this. Because rising inflation and deteriorating economies worldwide seem to leave no choice but to invest in crypto, hedging from inflation and being part of a regularly growing market may mean more crypto investors in the future.
What Awaits the Future of the Crypto Market?
In summary, crypto advocates say that interest in this industry will continue to grow, and besides everything, the market will grow for many reasons with no stop. If such a scenario occurs, the expected mega bull movement, especially in altcoins, may come before 2022. However, what will happen in the next bear season is unpredictable. The market value can increase substantially over the next year, meaning an extended bull season. However, it may not be correct to predict the direction of the movement in a market that is accelerating so rapidly.
When Will the Bull Season Begin? How Many Dollars Will Bitcoin Be?
The cryptocurrency market has increased investors’ bull season expectations in recent days. The massive increase in the prices of significant altcoin projects, especially Bitcoin, creates a festive mood in the markets. Finally, when the bull market in 2017 was a matter of curiosity, the world-famous successful analyst PlanB announced his expectations on this issue. It seems that the bull season’s beginning point is January 2021.
When a leading cryptocurrency like Bitcoin is trading at $ 18,550, it will be in a fixed price range for a few days; then, it will continue to maintain its momentum, and altcoin prices will also revive. Large coins such as XRP and ETH are performing this attack; it seems likely that other altcoins will also participate in this rise. The necessary environment for the bull season is ready with the continuation of the decrease in the dominance rate.
Bitcoin Will Be 100 Thousand Dollars
Some analysts created the plan with their predictions, claiming that the price of Bitcoin will exceed the level of 100 thousand dollars next year. They state that they expect a different process than the bull in 2017. They consider the price level of 100 thousand dollars in 12 months reasonable for Bitcoin.
Experienced Analysts Warns
While bull expectations are loud, some experienced analysts also warn their followers. They make reminders about the bull season in 2017 and emphasise the importance of conscious investment.
Altcoins Come to Life
While Bitcoin continued its rapid rise, there were tremendous increases in altcoin prices in the cryptocurrency market over the weekend. Many altcoins, especially Ethereum and XRP, made a splash and made their investors happy. If this remarkable rise of Ethereum continues, a wholesale “altcoin party” may come.
The Bull Season Could Last Until 2038
According to some wise traders, the new generation of investors prefers innovative and technology-based investment instruments instead of the more conservative investment instruments such as commodities and bonds, as in the next generation.
The new generation closely follows the rapidly developing and changing technology world and gains more knowledge about new investment tools. These experts state that if the new generation prefers cryptocurrencies as an investment tool, the bull season in the crypto money market may continue until 2038, especially Bitcoin.
Institutional investors have been more courageous in crypto investments, especially last year. The positive approach of Elon Musk, a hero by the majority of the new generation, as well as institutions such as MicroStrategy, Grayscale, and Galaxy Digital, makes the new generation more confident in this market.
According to the mentioned theory, as time progresses, many corporate companies will be headed by a new generation of individuals. In this way, there will be an increase in the investments of corporate companies in the field of technology.
First Choice of Institutions Are Bitcoin and Ethereum During the Bull Market
Solana (SOL), which attracted the attention of corporations with its performance during the summer months, attracted the attention of corporations in the first week of September. However, Bitcoin made a big difference to altcoins in investments outside of this process. Especially after MicroStrategy’s heavy purchase of Bitcoin, the difference between BTC and altcoins became even more.
Bitcoin and Ethereum Forecasts on Bull Market
Among corporate companies, Tesla, led by Elon Musk, was the company that invested the most in Bitcoin and Ethereum at the same time. Tesla started selling with Bitcoin a while ago. With the increasing transaction traffic in the first quarter of the year, the energy consumed by Bitcoin increased dramatically. After this increase, Tesla announced that it was suspending payments with BTC, citing environmental factors.
Bitcoin (BTC) Bull Cycle Will End On This Date
Cryptocurrency analysts and traders have revealed the date they believe Bitcoin (BTC) bull cycle will end.
A well-Known expert in the cryptocurrency market told his subscribers that Bitcoin’s continued rise has not yet reached the mega-bull run stage. However, BTC holders should wait for the expected finale because the leading cryptocurrency will quickly drop.
While one other famous analyst acknowledged that it is impossible to know precisely when Bitcoin will complete this cycle, he stated that it would happen within a short period.
As you can see, the weekly candles between the two different segments of the bull run in the previous two cycles have precisely 51-49%. Fifty-one per cent of the bull run continues until the Bitcoin halving, every 210,000 blocks produced. The remaining 49 per cent of the bull run continues from the halving date to the top of the market.
The experts talked about some dates and claimed that the following cycle completion of Bitcoin coincides with September 28, 504 days from May 11, the halving day of 2020.
Of course, there can be no certainty that history will repeat itself. Still, Bitunivex experts point out that this cycle is similar to 2017, which means Bitcoin’s actual parabolic rally has not yet begun.
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