Bitcoin’s bull-bear market cycle indicator has flipped back to bullish after a brief bearish phase when Bitcoin dipped below $50,000, following three days in the red. CryptoQuant CEO Ki Young Ju noted that most on-chain indicators now signal a return to a bull market.
What’s the key to Bitcoin’s next bull run?
Ki Young Ju recently stated on X that Bitcoin could hit a new record high within a year if it remains above $45,000. He noted that while some trends suggest a downturn, Bitcoin could recover if it stays above this level. However, Ju warned that a prolonged stay at or below this level could lead to a bear market, with recovery becoming harder if the decline lasts over a month.
Bitcoin bounces back from “Crypto Black Monday”
According to CoinMarketCap data, Bitcoin remained below the crucial $60,000 threshold until Aug. 8. As of now, it is priced at $60,726. CryptoQuant reports that the Bitcoin bull-bear market cycle indicator hasn’t shown a bear signal since Jan. 2023. On Aug. 6, the crypto fear and greed index dropped to an “Extreme Fear” score of 17, its lowest since the FTX crash, but has since recovered to a “Neutral” score of 48.
Some traders see the quick turnaround as a potential bear trap, where seasoned traders sell BTC strategically to lower prices and trap short-sellers temporarily. Opinions vary on the market’s future direction. Markus Thielen, head of research at 10x Research, recommended that the best entry point for the next bull market would be if the BTC price dropped to the low $40,000.
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