Bitcoin (BTC) has been struggling in the past few\u00a0days.<\/p>\n
It almost touched the psychologically important $100,000 barrier last Friday, stopping just $200\u00a0short.<\/p>\n
BTC then dropped 8% to\u00a0$91,500.<\/p>\n
This has many investors convinced that this bitcoin bull market just reached its\u00a0peak.<\/p>\n
But as I\u2019ll show you that\u2019s not the case. This is a buy-the-dip opportunity.<\/p>\n
Crypto prices tend to follow a predictable 4-year cycle dictated by the bitcoin halving\u00a0event.<\/p>\n
This preprogrammed event\u200a\u2014\u200awhich automatically cuts the new supply of bitcoins in half (hence the name halving)\u200a\u2014\u200ahas created a predictable upcycle every time it\u2019s happened.<\/p>\n
Crypto prices tend to bottom 12\u201318 months before bitcoin undergoes a halving. They then rally into the halving\u2026 then rally harder in the year following the\u00a0halving<\/strong>.<\/p>\n Source: ChartsBTC<\/em><\/p>\n BTC jumped 8,000% after the first halving\u2026 almost 30X in the year following the second one\u2026 and it handed out 6X gains after the most recent halving four years\u00a0ago.<\/p>\n Bitcoin is right on script for this cycle. Prices bottomed 17 months before the halving and have now jumped 500%+ off the\u00a0lows.<\/p>\n If you look at the above chart again, you\u2019ll see that the US Presidential elections are the event that sends bitcoin\u00a0soaring.<\/p>\n You could divide the bitcoin cycle into roughly four phases as\u00a0such:<\/p>\n As the above chart shows, the euphoria phase is where things get truly silly to the upside and the lions share of the profits are\u00a0made.<\/p>\n During the accumulation and growth part of the cycle, bitcoin leads the charge. Big money floods in, pushing BTC to new\u00a0heights.<\/p>\n During the altseason, bitcoin still does well, but it\u2019s other cryptos that really start to\u00a0surge.<\/p>\n During the last altseason, for example, Ethereum<\/a> outperformed bitcoin about 8 to 1. And many altcoins did even\u00a0better.<\/p>\n Two altcoins worth investing in are Helium<\/a>, or Hivemapper<\/a>. You\u2019ll find many more in my crypto advisory\u00a0Venture<\/em><\/a>.<\/p>\n Bottom line: now is the time to buy crypto, not to\u00a0sell.<\/p>\n Here\u2019s a comparison of this bitcoin bull market (black line) with the four previous\u00a0ones:<\/p>\n You can see the current one mirrors the last two market cycles (green & blue) most closely. This would mean bitcoin should peak around October\u00a02025.<\/p>\n Here\u2019s another way to look at the 4-year\u00a0cycle:<\/p>\n Source: AurelienOhayon on\u00a0X<\/em><\/p>\n Again, the comparison above shows crypto prices should keep rallying higher in 2025 and peak towards the end of the\u00a0year.<\/p>\n In August 2023, when bitcoin was trading for $27,000, I told my RiskHedge Venture<\/em><\/a> members it was headed to $150,000 in this\u00a0cycle.<\/p>\n It\u2019s becoming more and more evident I lowballed it.<\/p>\n No matter what you think of the election results, know this: <\/strong>Trump\u2019s victory is unquestionably and extremely bullish for crypto\u00a0prices.<\/p>\n And we don\u2019t just have a crypto-friendly president now. Over 250 pro-crypto candidates were elected to the House. Crypto critic Sherrod Brown (the man behind the legal assault on crypto dubbed Operation Choke Point 2.0) lost his Senate seat in\u00a0Ohio.<\/p>\n Trump also said he plans to fire hostile SEC Chairman Gary Gensler\u2026 encourage bitcoin mining in America\u2026 and create a bitcoin strategic reserve by acquiring up to 5% of all\u00a0bitcoin.<\/p>\n This will be the most pro-crypto Congress\u00a0ever.<\/strong><\/p>\n When tens of millions of Americans get paid every other week, they buy stocks on autopilot through retirement accounts. This creates a continuous demand for stocks and constant upward pressure on\u00a0prices.<\/p>\n Crypto lacked this \u201cinfinite bid\u201d\u2026 until the ETFs arrived. Now, many of the world\u2019s largest money managers are having their clients buy and hold BTC in their\u00a0401(k)s.<\/p>\n And the demand is off the charts. Last week saw the largest weekly inflows on record, totaling US$3.13bn:<\/p>\n In total, over $100 billion have poured into crypto ETF in 2024\u00a0already.<\/p>\n Bottom line: I expect 2025 will be another record-breaking year for crypto. The current pullback is a buy-the-dip opportunity.<\/strong><\/p>\n For more insights, <\/strong>subscribe to my investing letter The\u00a0Jolt\u26a1<\/em><\/strong><\/a>.<\/em><\/strong><\/p>\n I publish fresh research on stocks and crypto every Monday and\u00a0Friday.<\/p>\n Click here to subscribe<\/a>.<\/p>\n Also, I run a crypto advisory called Venture<\/em><\/a>. <\/em>You can learn more about it by clicking\u00a0here<\/a>.<\/p>\n \u2014 Stephen McBride, Chief Analyst at <\/em>RiskHedge<\/em><\/a><\/p>\n Where are we in the bitcoin cycle?<\/a> was originally published in Coinmonks<\/a> on Medium, where people are continuing the conversation by highlighting and responding to this story.<\/p>","protected":false},"excerpt":{"rendered":" Bitcoin (BTC) has been struggling in the past few\u00a0days. It almost touched the psychologically important $100,000 barrier last Friday, stopping just $200\u00a0short. BTC then dropped 8% to\u00a0$91,500. This has many investors convinced that this bitcoin bull market just reached its\u00a0peak. But as I\u2019ll show you that\u2019s not the case. This is a buy-the-dip opportunity. We\u2018re […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-23983","post","type-post","status-publish","format-standard","hentry","category-interesting"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/23983"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=23983"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/23983\/revisions"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=23983"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=23983"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=23983"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}We call this part of the cycle the euphoria\u00a0phase.<\/h3>\n
Euphoria phase also represents the start of the so-called altseason.<\/h4>\n
The real question investors should be asking is how long will this cycle\u00a0last?<\/strong><\/h3>\n
It\u2019s why I recently updated my bitcoin price target to $250,000.<\/h3>\n
#1 We just got the most pro-crypto government ever.<\/h4>\n
#2: The infinite bid comes to\u00a0crypto.<\/h4>\n