A bull run in crypto is a period characterized by strong, prolonged gains in the cryptocurrency’s price. It often follows an extended bear market where prices fall sharply, typically driven by increased investor confidence and speculation.
Bitcoin’s bull run usually happens during the halving season, which occurs every 4 years. There have been 3 Bitcoin halvings so far, with the most recent one occurring on May 11, 2020. The next halving is expected to occur in early 2024.
During a bull run, buyers dominate the market and push prices up as investors eagerly jump on board for the potential upside. It’s important to note that bull runs are not necessarily sustainable in the long term; if price gains become too great, a correction could follow. However, for those who invest during a bull run, there is potential for huge returns on investment. Therefore, investors need to monitor market trends and watch for signs of a new bull run.
When evaluating the potential of a bull run, it is also important to pay attention to fundamentals such as the development of new technology, use cases for cryptocurrency, and industry news that could affect prices.
Fundamentals anchor the ever-volatile world of crypto and provide investors with some sense of security in their investments. Therefore, investors should use caution when investing during a bull run and ensure that any decisions they make are backed by well-researched fundamentals.
Overall, a bull run in crypto can be an exciting opportunity for investors to reap large rewards if done correctly. However, it is important for investors to be aware of the risks associated with a bull run and to make well-informed decisions based on fundamentals. With the right knowledge and research, investors can make smart decisions and potentially capitalize on cryptocurrency during a bull run.