Bitcoin: Why the Bear Market May be Over
Bitcoin (BTC-USD) has been in the midst of a tumultuous bear market for roughly a year now. The world’s best known digital asset topped out at about 19,500 late last year, and had declined by 84% to a low of $3,170 in recent days. However, since then Bitcoin has amassed an impressive rally, registering five consecutive up days and gaining 30% in the process.
Bitcoin is now trading around $4,000, and could be in the opening stages of its next bull market. It appears that the period of maximum negativity and pessimism concerning Bitcoin has passed, and the next bull cycle could elevate Bitcoin’s price to fresh, new all-time highs over the next several years.
Why the Bear Market May be Over
Bitcoin’s decline has been epic this year, as the digital currency gave up nearly 85% of its value. However, the declines seem so epic primarily because this is the first time a Bitcoin bear market has been in the spotlight in the mainstream media and the general public. The truth is that Bitcoin has been through several bull/bear cycles in which the digital asset had appreciated considerably, only to deflate by 80% – 90%.