Bitcoin’s ongoing rally, which reclaimed the $62,000 price mark again today, has sparked new optimism in the cryptocurrency community. According to recent analysis by CryptoQuant analyst Crypto Dan, the current market is still in a bull cycle and the long-term outlook for Bitcoin holders looks bright. While the market faces some short-term volatility, key indicators suggest that more gains could be on the horizon. Bull Run Still Underway Insights shared by Crypto Dan on the CryptoQuant QuickTake platform highlight how Bitcoin’s current movement reflects patterns from previous bull cycles. Specifically, Dan noted that long-term investors realized profits twice during the bull runs in 2013 and 2020.
He further noted that the 2017 market peak was different and lacked the same period correction seen in other cycles. Dan suggested that if we follow the patterns of 2013 and 2020, the current market could be due for another major rally.
In addition to the cycle comparison, Dan also emphasized the global macroeconomic situation, especially the recent trend of global central banks cutting interest rates.
He explained that while it may take several months for liquidity to fully return to the market, prices often move ahead of these developments based on investor expectations.
This expected trend could set the stage for a significant price increase through 2025, offering the potential for significant gains for long-term investors.
You are more likely to get better results if you “invest” through the big picture rather than the short-term picture.
Bitcoin rebounds, Coinbase Premium points accumulate
Meanwhile, Bitcoin is showing signs of recovery after falling to $58,000 earlier this week. At the time of writing, the asset is trading at $62,666, up 3.36% over the past 24 hours.
This recovery is met with positive sentiment in the crypto community, especially when other indicators point to continued accumulation of Bitcoin.
Another CryptoQuant analyst, Avocado Onchain, provided further insights into Bitcoin’s price action, focusing specifically on Coinbase Premium, a metric that measures the difference in Bitcoin prices between Coinbase and other exchanges.
Avocado explained that Coinbase Premium fell to -100 points, which is usually a bearish signal. However, the price of Bitcoin has since rebounded, indicating a positive outlook.
According to analysts, historically, during bull runs, Bitcoin’s price tends to rebound after the Coinbase premium falls below -50. This pattern has persisted over the past year, with Bitcoin consolidating in a wide price range for the past eight months.
Avocado noted that in a bear market, this negative premium usually leads to panic selling, but this is not the case now. Instead, the data suggests that larger players may be hoarding Bitcoin at lower prices, indicating that the bull market "may not be over yet."
