Signs of the Bull Market in Cryptocurrency

The rules of a bull market in cryptocurrency mainly manifest in the following aspects:

In the early stages of a bull market, there will be a leading surge, followed by a period of consolidation, and then altcoins begin to rise. After a period of increase, altcoins enter consolidation, and mainstream coins take over to launch an attack.

The longer it accumulates, the faster it will rise: If the price fluctuates within a narrow range for several consecutive days, forming a dense area, once it breaks upwards or downwards, it will result in a skyrocketing rise or a flooding decline. However, bull markets are likely to be breakthroughs.

Trading volume constrains price trends: Observe the three-day and weekly lines appearing to accumulate, as the coin rises slowly with increasing volume.

Moving averages underfoot: Everyone knows the bull-bear boundary MA120. After a long period of consolidation, if the daily line stands above MA30, MA60, MA120, and other moving averages, it indicates that the major trend is determined.

Technical adjustment: No matter how sharp the rise, it cannot shoot straight to the top in one go; typically, it advances two steps and retreats one. When the market starts to experience FOMO, a phase peak will be reached, initiating the washout of profit-taking positions; this consolidation is technically referred to as a technical adjustment.

Late-stage bull market: It will definitely be led by Ethereum, with altcoins surging, reaching a market climax.

So how to identify if a peak has been reached? Technical analysis may not be very useful here; market sentiment can be used to judge, or when friends or relatives outside the crypto circle start discussing or asking you how things are going in the crypto world, rest assured, it is definitely a peak. Even if it’s not, it is basically at the point.