A prominent cryptocurrency analyst has declared that Bitcoin’s (BTC) established four-year cycle no longer dictates the dynamics of the crypto market. For several months, both Bitcoin and key altcoins have struggled to reclaim their former peaks, while traditional markets continue to thrive. This disparity has ignited debates about whether the traditional cycle principle is still relevant and what may lie ahead for the wider market.
Analyst Claims Bitcoin’s 4-Year Cycle is Over
A well-known crypto analyst with more than 227,000 followers on X, @theunipcs, has declared that the Bitcoin four-year cycle is over. He pointed out that this market cycle is no longer reliable for predicting BTC’s movement and that of major altcoins.
Related Reading
Historically, Bitcoin’s four-year cycles have hinged on the halving events to decrease supply and incite price increases. However, according to Unipcs’ analysis, these factors are losing their relevance as monetary policy, Spot ETFs, liquidity movements, macroeconomic conditions, and significant liquidation events have shifted the landscape considerably.
Unipcs highlighted that the market is experiencing a prolonged consolidation and accumulation period, showing little of the typical explosive growth usually witnessed post-halving. He noted that Bitcoin and leading altcoins have remained at depressed levels for several months, trading approximately 30% or more below their previous all-time highs.
This decline sharply contrasts with other major asset classes, which continue to rise. The analyst remarked that Silver has been reaching record highs nearly every day, while Gold continues to reach new heights. Furthermore, major US stock indices like the S&P 500 are achieving new highs, while the crypto sector lags significantly behind.
Notably, this prolonged weakness was exemplified by Bitcoin’s plunge below $85,000 earlier this month after peaking above $126,000 in the first week of October. Many altcoins, including Ethereum, Solana, XRP, and others, have mirrored this trend, experiencing rapid surges followed by declines to new lows.
Technical indicators, such as the Fear & Greed Index, suggest that investor sentiment remains profoundly negative, while analyst insights indicate a bearish market structure. Overall, Unipcs’ analysis hints at the potential end of the historically consistent four-year cycle, although he believes it might signify the beginning of a new bullish era for crypto.
What Lies Ahead for BTC and the Crypto Market?
Despite the extended downturn, Unipcs believes that the current accumulation trend could soon conclude, sparking a vigorous rally in the crypto market. He anticipates that following this shift, Bitcoin and major altcoins could experience explosive growth and reach new all-time highs as the market transitions into a new bullish phase.
Related Reading
While the timing of this optimistic outlook is uncertain, the analyst maintains confidence in the market’s potential for a significant breakout and recovery. Unipcs asserts that the crypto market will eventually catch up and may even surpass all asset classes soon.
Featured image from Pexels, chart from TradingView
