Sometimes markets experience sustained growth, which is called a bull market. On the other hand, when markets experience a sustained decline, it is called a bear market.
These are common terminologies used in cryptocurrencies, stocks, real estate, or any form of assets. However, markets can experience day-to-day fluctuations and are volatile and sometimes unpredictable. So, in this article, we will be talking about what a bull run is and answering the question, can the bull market last?
What Is A Bull Run?
A bull run, or a bull market is a period where many investors are buying and at this point, the market is considered to be at a peak, market confidence is high, demand is higher than supply, and even the prices will be rising.
At this peak point of the market, investors are said to be optimistic, or bullish about the increasing prices. This is the start of a bull market or a bull run.
Investors are also optimistic that the prices will increase over time and it is known as ‘bulls’. A positive loop in investment and buying emerges that causes the prices to rise.
The price of cryptocurrency is influenced by public confidence to a great extent. The strategy used by some investors also determines the high and low of the cryptocurrency.
As for the prices of Bitcoin, it makes up more than 50% of the market capitalization and influences the market to a greater extent, it is seen as an indicator of a bull run or a bear market. When Bitcoins are hitting the charts it indicates the start of a bull market. A
Apart from Bitcoin, Ethereum also plays a great role in determining the market.
Some of the factors that influence the crypto market are:
- Change in the demand and supply ratio
- The upcoming Bitcoin Halving event
- Bitcoin ETF in the US and its impact
Bitcoin Halving
Bitcoin Halving is a process in which Bitcoin’s mining is split in half. The last halving took place in May 2020, and the next halving is said to take place in April 2024.
The cycle lasts around four years and the event that is said to occur in 2024 is said to gain momentum and reach its potential by late 2025. Halvings will reduce the rate of new Bitcoins created and lower the supply of the coins.
It is important to note that not only Bitcoins but Ethereum are also said to be a part of the bull market. It not only paves the way for contract functionalities but also allows the launch of decentralized applications.
It is said to reach its potential due to the scalability of the crypto. Experts predict that when the prices of the Ethereum coins surge, there will be an increase in demand for making transactions on the Ethereum blockchain.
Crypto Bull Run Price Prediction
If we look at the current Bitcoin prices, it is already in the bullish phase and reached about $156,000 by the end of October this year. The prediction price is $175,319. The CoinCodex predicts that $67,344 is the lowest price prediction for Bitcoin during the crypto bull run.
The prediction high is $179,084, however, since the crypto market is highly fluctuating, it is important to understand and identify the risks before taking any steps.
Can The Crypto Bull Market Last?
We all know that the crypto market is highly volatile. The prices can go up or down within a very short time and because of its high volatility, it is considered to be one of the risk-on assets.
These assets also suffer during high-interest points, when the interest rates are increased to combat inflation in the market. It is important to remember that the prices also rise and go up before crashing down.
Investors should be careful to maintain their cool and be strategic instead of getting greedy and excited when the prices are at their peak. This is mainly because the future of Bitcoin is very unpredictable. The market can change within seconds. So, it is important to conduct a wide research before you invest or participate in the bull market.
