CoinWire reports:
Bitcoin has undergone a significant correction, dropping below $54,000. While some view this as a potential end to the bull market, others suggest it’s a normal part of Bitcoin’s growth and advise maintaining stability. Many analysts predict a rebound based on historical patterns and recent halving, although others argue that events like the approval of Bitcoin ETFs and trends in meme coins may indicate the bull market has peaked.
Is the end of the bull market normal?
Major cryptocurrencies recently experienced one of their most severe corrections since early 2024. According to CryptoPotato, prices briefly fell below $54,000 for the first time since February.
While some may see this as a sign that the bull market could be ending, others consider this downturn normal and a part of BTC’s expansion trajectory. Prominent cryptocurrency analyst il Capo noted the market’s significant drop but advised investors against “turning bearish.”
“This is the time to zoom out and stay calm. It may feel wrong now, but stay strong. Time will prove everything,” the analyst added.
Crypto Tony also shares a similar stance, outlining how the latest market crash cannot be compared to the overall bull market in the cryptocurrency industry (so far):
“Take things into perspective. If you’re panicking, you likely bought too high and encountered resistance without a plan.”
Mikybull Crypto and Rekt Capital, both enthusiasts of cryptocurrencies, predict a near-term rebound for BTC based on its historical performance. The former recalls a similar adjustment in the third quarter of 2023, followed by a new bull market.
Rekt Capital believes that leading digital assets have yet to benefit from the BTC halving in April this year. The analyst points out that after halvings in 2016 and 2020, prices peaked over 500 days later:
“If history repeats, the next bull market peak could occur 518-546 days after the halving… This suggests Bitcoin could reach its peak in mid-September or mid-October 2025.”
Halving is a significant event occurring approximately every four years, halving the rewards miners receive for validating new blocks on the BTC blockchain. Historically, major cryptocurrencies and the entire market have seen substantial recoveries following this process.
Pessimistic Outlook
Notably, some analysts believe the upward trend of BTC may have concluded. One such example is analyst Ali Martinez, who suggests that the approval of Bitcoin ETFs, meme coin frenzy, and celebrity-launched tokens may represent the pinnacle of this bull market.
In this cycle, we’ve witnessed #BitcoinETF approvals, meme coin frenzies, and celebrities launching their own #altcoins! But what if… what if we’re already at the euphoria stage, feeling complacent now, thinking “we just need to cool off for the next rebound”? How do we proceed? pic.twitter.com/aTCuppjTPF— Ali (@Ali_charts) July 4, 2024