The Rise of the Next Crypto Bull Run: Unlocking the Past and Future Potential
Prices tend to move in one direction with sporadic variations during bull and bear markets for cryptocurrencies, which are frequently referred to as “bull markets” and “crypto winters,” respectively. The values of the majority of the biggest cryptocurrencies are currently down considerably from their peaks as we are still in a bear market.
Given this, it shouldn’t come as a surprise that many cryptocurrency investors are speculating about the timing of the next bull run.
Now let’s shift our attention to the history of Bitcoin’s market cycles as it currently dominates the cryptocurrency market.
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History of Crypto Bull Runs
Bitcoin has so far experienced three significant bull markets. 2013 saw the first significant Bitcoin bull run. The price of Bitcoin didn’t bottom out until January 2015, after reaching a top of $1,150 in December 2013. Around $171 was the price at which the bottom was reached; this was an 85% decline from the high. Coincidentally, your investment would now be worth more than $17,500 if you had purchased $100 worth of Bitcoin at those prices, which might have you scrambling over how to handle your crypto taxes since that seems to be the big topic nowadays.
When the price of Bitcoin surpassed $20,000 in December 2017, it marked the peak of this bull run. It’s interesting to note that the 2013 and 2017 Bitcoin bull runs’ peaks were separated by almost exactly 4 years.
It took until December 2018 for Bitcoin to reach a bottom as the 2017 cryptocurrency bull run started to wane. The third significant Bitcoin surge took place in 2021.
The Next Expected Crypto Bull Run
If past events are any indication, a fresh Bitcoin bull run will start to gain momentum in about 2024 and peak around late 2025. We must, of course, keep in mind that Bitcoin has only been existing for around ten years, making the sample size of Bitcoin market cycles quite tiny. As a result, the market may soon exhibit unanticipated behavior.
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What Will Contribute to the Next Crypto Bull Run?
In light of how quickly the cryptocurrency and blockchain industries are developing, it is now impossible to forecast what will happen in the upcoming months, let alone in the years or decades. However, there are a few catalysts that we can name that can help a new crypto bull run commence. The following Bitcoin halving is arguably the most significant fundamental event that might ignite a fresh crypto bull run.
Bitcoin Halving
A feature of the Bitcoin protocol called “Bitcoin halving” occurs about every four years. Bitcoin miners earn half as much BTC as a reward for adding a new block to the Bitcoin network when there is a Bitcoin halving. Since fewer new Bitcoin coins are entering the market, this is typically viewed as being bullish for the cryptocurrency.
Ethereum Scalability
In the cryptocurrency and blockchain sectors, there are also other significant projects, most notably Ethereum. While Ethereum goes beyond Bitcoin by offering robust smart contracts capability that enables anybody to develop decentralized apps, Bitcoin is largely focused on the peer-to-peer digital currency use case.
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Decentralized cryptocurrency exchanges, NFTs and markets for trading them, decentralized lending protocols, and many more new types of products are the outcome of this. Simply said, when there is a spike in demand for conducting transactions on the Ethereum blockchain, using Ethereum becomes very expensive. This became painfully clear during the cryptocurrency bull run of 2021 when the typical Ethereum transaction fee occasionally rose above $50. If Ethereum’s scalability increases enough, it might act as the basis for the upcoming crypto bull run.
Conclusion
According to the current Bitcoin price projection, the uptrend will start in October 2023 and pick up speed at the start of the following year. The projection predicts that BTC will set new all-time highs in the first quarter of 2024. However, it’s important to keep in mind that the further into the future we try to predict, the harder it is to estimate the Bitcoin price.
The Bitcoin Rainbow Chart is a useful tool for projecting future price movements for Bitcoin. The graph, which displays the range of Bitcoin price possibilities at any given time using colored bands, provides essential insight into potential predictions of a crypto bull run. The term comes from the rainbow-like progression of colors from deep red to blue. The red band is the priciest, and the blue band is the most affordable.
