Bull Run in Crypto Market

The cryptocurrency market is once again experiencing a bull run, attracting both retail traders and institutional investors. The growing demand for digital assets is accompanied by high volatility, making the market appealing to both short-term speculators and long-term investors. Historically, crypto bull runs have been characterized by sharp price increases, significant trading volumes in Bitcoin and other digital assets, and notable shifts in market sentiment.

However, to invest and trade successfully, it is crucial to recognize when the ongoing bull run may end and what factors point to its onset. Let’s explore this issue using past cycles and current market trends. Otherwise, there is a risk of buying cryptocurrency at the peak of a bullish trend or missing out on the opportunity to profit from the upcoming bull run.

The article covers the following subjects:

Major Takeaways

• A crypto bull run is a period of rapid price growth in the digital asset market.
• The duration of a bull run depends on such factors as Bitcoin halving, interest from institutional investors, and the macroeconomic situation.
• Historically, bull runs in the cryptocurrency market have coincided with a surge in demand and increased liquidity.
• Cryptocurrency prices largely depend on macroeconomic conditions, including low interest rates and US regulation.
• Technical indicators such as trading volumes, moving averages, oscillators, and market volatility help pinpoint potential trend reversals.
• One of the key tools for identifying a bull run is the Wyckoff Accumulation pattern, which reflects the behaviour of institutional investors.

What is a Crypto Bull Run?

A crypto bull run is a prolonged period of rising cryptocurrency prices. These crypto bull markets happen when investors massively buy assets, anticipating further increases, fueled by positive market sentiment. Key features of a bull market include increased liquidity, strong interest in new projects, and active implementation of cryptocurrency strategies. Moreover, technological advancements, such as the integration of blockchains into various areas of the economy, contribute to the further development of the industry and boost the capitalization of cryptocurrency projects. Additionally, large companies and institutional investors show greater interest in venture capital investments, leading to an additional capital inflow into the market.

Crypto bull runs have historically led to setting new all-time highs. However, despite rapid gains, the market can experience short-term corrections that do not disrupt the overall positive trend.

Bitcoin Bull Cycles

Bitcoin follows regular cycles, switching between bull and bear markets, linked to its halving event, a twofold cut in block rewards that happens every four years. The chart below highlights the major historical bull runs and their duration:

Image 1: Bitcoin halving and subsequent growth

Each growth cycle includes several repeating phases that follow a predictable pattern. After a halving event, where Bitcoin mining rewards are cut in half, the initial phase begins. During this period, the market gradually accumulates assets. Bitcoin typically trades within a narrow range while large investors build up their positions, anticipating future price increases.

After that, an active growth phase starts, when the BTC price skyrockets. This period is characterized by an influx of new investors, higher trading volumes, and positive market sentiment. Increased interest in Bitcoin and other crypto assets enhances liquidity and promotes wider adoption of digital assets. Besides, this stage is often accompanied by positive news, rising popularity of cryptocurrency strategies, and the development of new technologies.

The peak of the cycle occurs when Bitcoin hits its highest price. This phase is marked by high market volatility, a surge in speculative trading, and early signs of market overheating. After the climax, a bear market inevitably follows, with prices declining as investors lock in profits. This stage can last for months or even years, until the market returns to the accumulation phase and a new cycle begins.

Image 2: Bitcoin bull run following halving in April 2024

Following the Bitcoin halving on April 20, 2024, which reduced the block reward to 3.125 BTC, the market entered the initial accumulation phase. This phase lasted six months, until October 2024, when a brief bull run began. Between October and December, Bitcoin experienced remarkable growth from $65,000 to $101,000, gaining around 50% in value.

The consolidation that started in January 2025 can be classified as a Wythoff distribution phase, which often signals an upcoming bearish trend. However, it is too early to say for certain that the crypto bull run is over. While the chances of a downturn are high, this scenario can only be confirmed after it unfolds. Investors should avoid jumping to conclusions and focus on reacting to actual market developments, rather than trying to predict them.

When Will the Crypto Bull Run End?

The ongoing bull run in the cryptocurrency market may end due to diminishing investor interest, shifts in macroeconomic conditions, and weakening technical signals. The following factors may indicate that the rally is losing momentum:

• Reaching historic highs and subsequent high volatility, followed by a distribution phase when major players begin to offload their assets.
• Interest rate hikes by the US Federal Reserve System (Fed) or maintaining them at high levels for a long time, which reduces demand for cryptocurrencies.
• Fiscal pressures, such as a debt crisis in one of the world’s major economies.
• Stricter cryptocurrency regulations and potential bans in a number of leading countries.
• Lack of significant technological innovations, cash flow generation, or profitability to attract new investors.
• Negative market sentiment caused by adverse news and economic instability.
• A sharp decline in stock indices, primarily in the US, and the subsequent liquidation of leveraged positions.

Drivers and Signals of a Crypto Bull Market

The key factors that may trigger the upcoming bull run:

• Bitcoin halving cycles, which have historically fueled market rallies. However, each new bull run after a halving tends to have a smaller amplitude than the previous one.
• Burgeoning interest from institutional investors who view cryptocurrencies as digital gold and a hedge against economic uncertainty.
• The expansion of decentralised finance (DeFi), non-fungible tokens (NFTs), and new blockchain technologies, offering fresh investment opportunities.
• Greater market liquidity through the introduction of ETFs, investment funds, and banking solutions that bring new investors to the market.
• Low interest rates, encouraging capital inflows into high-yield assets like cryptocurrencies.
• Improved market sentiment and stronger investor confidence in the future of digital assets.
• The inclusion of cryptocurrencies in state reserves and changes to international legislation.
• The fragmentation of global financial markets and the tokenization of traditional assets such as stocks and bonds.

History of Crypto Bull Runs

Previous Bitcoin bull runs have been accompanied by significant price surges. Therefore, this information can be valuable for predicting future crypto bull markets. Analyzing previous cycles offers deeper insights into possible scenarios while considering key factors like halving, market sentiment, and macroeconomic conditions.

Bitcoin’s First Major Bull Run

The first crypto bull run occurred in 2013, when Bitcoin jumped from $13 to $1,100. This pivotal period not only marked a significant milestone for the market but also captured the wider public’s attention toward digital assets. Noteworthy events during this bull run were:

• A rapid appreciation of BTC, fueled by the influx of retail and institutional investors.
• The launch of the first cryptocurrency exchanges, making trading more accessible to a broader audience of crypto enthusiasts.
• Extensive media coverage of Bitcoin, which significantly boosted its popularity and public awareness.
• Growing demand for BTC from the general public, who decided to purchase digital gold back then.
• The first major correction after hitting a high, marking the end of the cycle. In 2015, the Bitcoin price plummeted to $180 after climbing to $1,100. The official reason for the slump was a hacker attack on the Mt. Gox exchange, which declared bankruptcy after losing 850,000 Bitcoins.

Image 3: The first crypto bull run

The first bull run showed that the cryptocurrency market moves in cycles and that rising interest in Bitcoin can trigger sharp price increases.

BTC Gains Media Attention

In 2017, one of the most remarkable moments in the history of Bitcoin occurred when its price skyrocketed to $20,000. This surge sparked massive interest in cryptocurrencies from the media and drew millions of new investors to the cryptocurrency market. This bull run was marked by:

• A major influx of private investors hoping to profit from the BTC boom.
• Greater media and social media attention, which helped promote Bitcoin and other cryptocurrencies.
• The advent of large crypto exchanges and the start of futures trading on the CME and Cboe exchanges in Chicago in December 2017.
• Rising interest from traditional financial companies and funds, unable to ignore such a rapid increase in the price of digital gold.
• High market volatility, resulting in a correction after the price reached its high of $19,343 in December 2017. By December 2018, its price had plunged to $3,323.

Image 4: The second crypto bull run

COVID Intervention and the Birth of DeFi

In early 2020, the COVID-19 pandemic disrupted the world. In response, governments across the globe instituted lockdowns, leading to a wave of cheap money circulating through the economy via public benefits and business incentives. This period spawned numerous cryptocurrencies, many of which continue to thrive today. At that time, a significant number of secondary applications emerged on the Ethereum cryptocurrency platform, sparking the development of various cryptocurrency projects across different sectors. Key factors driving this growth include:

• Massive economic stimulus measures introduced by the US Federal Reserve and central banks worldwide in response to the COVID-19 pandemic. As a result, the combined balance sheets of major central banks expanded 2.5 times, reaching $25 trillion.
• Supply chain disruptions and rising inflation, which reignited investor interest in cryptocurrencies as alternative assets offering higher returns than traditional savings and investment vehicles.
• The rapid expansion of decentralized finance (DeFi), providing users with new ways to invest and earn income outside of traditional financial institutions.
• The 2021 NFT boom, which injected billions of dollars into the blockchain ecosystem and popularized non-fungible tokens as a new class of digital assets.
• A surge in liquidity through digital assets, which fueled the next phase of the cryptocurrency bull market.

Image 5: DeFi protocol liquidity growth

Rising NFT Interest

A Non-Fungible Token (NFT) is a unique digital asset that represents ownership of a specific item or piece of content, like a work of art, a piece of music, videos, or virtual items in games, etc. Unlike other cryptocurrencies, which are interchangeable (one bitcoin is always equal to another), every NFT is one-of-a-kind, with its own unique properties that make it non-interchangeable.

NFTs are used to verify the authenticity and ownership of digital and physical assets using blockchain technology, enabling content creators and artists to sell their work in digital format and buyers to own and trade unique digital assets. The increased adoption of NFTs in 2020–2021 led to several significant developments:

• A surge in NFT project popularity, drawing attention from both investors and artists.
• A growing number of cryptocurrency users, exploring the potential of digital assets.
• Rising NFT trading volumes which fueled the growth of specialized marketplaces for buying and selling NFTs.
• The integration of NFTs into industries like gaming, fashion, and art, broadening their scope of application.
• The development of new standards and technologies that made creating and managing digital assets easier.

Image 6: NFT trading volume at its peak in 2021–2022

NFT trading hit its stride during 2021-2022, with collections like CryptoPunks and Bored Ape Yacht Club selling for staggering amounts, often reaching hundreds of millions of dollars. However, interest waned significantly following that peak, and by the winter of 2022, it had nearly vanished.

As of February 2025, the NFT market capitalisation stands at just $4.8 billion, with daily trading volumes no higher than $20 million, which is a sixfold decline from the peak in 2021, when daily trading volumes surpassed $125 million.

Bitcoin and Ethereum ETF

The next Bitcoin bull run occurred in late 2023 and early 2024, triggered by the US Securities and Exchange Commission (SEC) granting approval for the creation of exchange-traded products based on cryptocurrencies.

Prominent global investment firms like BlackRock, Grayscale, Fidelity, and VanEck have begun launching their own exchange-traded products. This development is significant for several reasons:

• Bitcoin and Ethereum ETFs allow institutional and private investors to participate in the cryptocurrency market without owning the assets directly.
• Higher liquidity because of new market participants, including large funds and banks. By purchasing ETFs, any market participant can indirectly invest in cryptocurrencies.
• Enhanced credibility for cryptocurrencies thanks to the regulation and transparency of ETF structures. Bitcoin and Ethereum are becoming legalised in the banking environment, and their exchange for fiat money is becoming much easier.
• Long-term demand from pension funds and institutional investors ensures a steady inflow of liquidity from conservative institutions.
• Reduced volatility. As ETFs attract more stable capital, the share of long-term investments in the market increases.

Image 7: 2023 bull run: Bitcoin price up 2.5x

Political Optimism

Donald Trump’s victory in the 2024 election triggered another spike in cryptocurrency prices. Bitcoin took off and reached an all-time high of $110,000 in January 2025.

Bitcoin was first mentioned as a strategic reserve asset at the federal level, with lawmakers in several US states submitting proposals to add it to local reserves. Among Trump’s team, there are several prominent supporters of cryptocurrency, including Elon Musk, David Sacks, who has taken on the title of “Crypto Czar,” and US Treasury Secretary Scott Bessent. This growing support signals a promising future for the cryptocurrency market.

• Regulatory policy. Donald Trump’s administration may ease cryptocurrency regulations, creating more favorable conditions for the industry.
• Economic policy. Potential tax cuts and stimulus measures could lure institutional investors to the cryptocurrency market, providing it with strong upward momentum.
• Investor sentiment. Political stability and support for the tech sector may strengthen confidence in digital assets, including Bitcoin, Ethereum, and other cryptocurrencies.
• ETF expansion. Policy changes by regulators, particularly the US SEC, could pave the way for ETFs linked to a broader range of tokens such as XRP, LTC, SOL, TRX, and others.

Image 8: Trump’s victory propelled Bitcoin to $100,000 in 2024

Risks and Considerations

Although the future of cryptocurrencies looks quite promising at the moment, do not forget that optimism usually strikes at the end of a bull run. When euphoria prevails in the market, major holders distribute their assets among retail investors, locking in their profits. Technical indicators and chart patterns, such as Wyckoff distribution and accumulation, may serve as indirect confirmation of a possible correction. In light of this, it is crucial to adhere to the following money management rules when implementing crypto bull market strategies:

• Never invest all your funds in a single asset. Distribute them across different cryptocurrencies.
• Monitor market volatility and keep your investment portfolio diversified.

Avoid Repeating Past Mistakes

When investing and trading in the cryptocurrency market, it is essential to keep in mind that no one can predict the future. You are solely responsible for your decisions, and the only thing you can control is your own risk. Therefore, follow the risk management rules below:

• Never invest more than you can afford to lose.
• Use futures and options to hedge your trades.
• Do not average down a losing position.
• Buy low, sell high.
• What looks expensive today may become even more expensive tomorrow.
• What seems cheap today might get even cheaper tomorrow.
• Always set your take-profit and stop-loss levels in advance.
• Stick to your initial plan.

Forecasting the Next Bull Run

Predicting the upcoming cryptocurrency bull run requires analysing a variety of factors, including economic conditions, geopolitical events, technological innovations, and market behaviour. The example below shows a forecast and the methodology used to justify it:

The next crypto bull run is expected to begin in late 2025 or early 2026, following a market correction, as the economy adapts to the new reality of tariffs and trade restrictions. This development may be driven by increased investor interest in cryptocurrencies as an alternative asset.

Reasoning:

1. Economic conditions. A recovery from tariff restrictions and trade conflicts could drive renewed demand for cryptocurrencies. Investors may look for alternative profit opportunities, with digital assets becoming an appealing option for cross-border transactions.
2. Geopolitical events. Improved global relations and greater geopolitical stability may support fuel price gains. Market participants often respond to shifts in the geopolitical landscape, and a stable environment tends to strengthen confidence in digital assets.
3. Technological innovations. Breakthroughs in blockchain technology and enhancements to existing platforms may draw the attention of a wide range of investors. Upgrades in security, scalability, and user-friendly wallet interfaces could significantly lower entry barriers for those previously discouraged by technical complexities.
4. Market behaviour. Studying trends, chart patterns, and technical indicators can offer valuable insights into potential price movements. Signs of accumulation following a market correction could signal the early stages of an imminent bull run.

Forecasting methodology:

1. Economic data analysis. Evaluating key indicators such as GDP, inflation, and unemployment helps gauge the overall health of the economy and its growth potential. Investors are unlikely to put money into high-risk assets if they struggle to meet their basic needs.
2. Monitoring geopolitical and financial events. Stay informed about global news and assess its market impact. Pay special attention to central bank policies, as monetary easing tends to support cryptocurrency prices, while tighter policies typically put pressure on risky assets.
3. Tracking technological innovations. Analyze emerging technologies and their relevance to the crypto market. Consider whether these innovations can generate future cash flows, create new markets, and where these advances can be applied.
4. Technical analysis. Use technical tools to spot trends and identify potential entry and exit points. Chart patterns and indicators provide valuable insights that help investors make informed decisions and plan their investment horizons in the cryptocurrency market.

Preparing for and Maximizing a Bull Run 

Although a bull run in the cryptocurrency market presents significant opportunities for generating gains, it requires careful preparation and a strategic approach. Here are a few recommendations to help investors and traders maximise their profits:

• Research and analysis. Conduct thorough research and analysis before investing. Learn about ongoing trends, forecasts, and potential factors affecting the market. Assess the situation in conjunction with the behaviour of other assets, such as stocks, bonds, gold, and currencies.
• Portfolio diversification. Spread your investments across different cryptocurrencies to reduce risk and increase the likelihood of gaining returns.
• Technical analysis. Use technical analysis methods to identify trends and determine ideal entry and exit points. Pinpoint the prevailing trend and follow it. Avoid opening positions against the primary trend.
• Risk management. Develop and maintain a risk management strategy. Set stop-loss and take-profit orders, and limit the size of each trade. Do not move stop orders.
• News tracking. Do not overestimate the impact of news. It is impossible to predict price movements before news is released. Reduce your positions or even close them before major news breaks. Take into account the increase in volatility.
• Long-term outlook. Take a long-term approach to your crypto investments. Do not panic during short-term price fluctuations.

Following these guidelines will help you gear up for the next bull run and boost your profits.

Conclusion

A crypto bull run is not just a period of price growth, but a complex process that depends on many factors. Historically, bull markets have occurred during times of economic stability, technological breakthroughs, and increased institutional interest. However, remember that even during periods of strong gains, corrections are possible, and the end of a bull run inevitably leads to a bear market.

Nevertheless, the cryptocurrency industry continues to evolve, and with each new cycle, more mechanisms emerge to support sustainable growth. The next bull run will most likely be powered by new technological advances, the development of institutional products such as Bitcoin ETFs, and regulatory easing in key countries. Moreover, it is essential to monitor macroeconomic factors, investor sentiment, and technical indicators in order to react to changes in the cryptocurrency market promptly.

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