Crypto prices have been wild for the last couple of\u00a0days.<\/p>\n
Top cryptocurrencies like bitcoin (BTC), Ethereum (ETH), and Solana (SOL)<\/a> all crashed by 20% or\u00a0more.<\/p>\n It\u2019s now been almost three months since bitcoin made new all-time\u00a0highs.<\/p>\n Many inexperienced investors are giving up on\u00a0crypto.<\/p>\n I hope you recognize they\u2019re making a mistake. This selloff is a buy-the-dip opportunity.<\/p>\n BTC prices have followed a \u201c3 up, 1 down\u201d pattern. We call it the bitcoin 4- year\u00a0cycle.<\/p>\n Every fourth year, crypto prices plunge. The last time that happened was in\u00a02022.<\/p>\n Markets then recover slowly, with the biggest gains being handed out in years 2 and 3, as this table of bitcoin\u2019s annual returns\u00a0shows.<\/p>\n Year 2 was 2024, and year 3 is\u00a02025:<\/p>\n Here\u2019s another way to look at the 4-year\u00a0cycle:<\/p>\n Source: AurelienOhayon<\/em><\/p>\n We\u2019re in what has historically been the best time to own crypto\u200a<\/strong>\u2014\u200athe \u201csweet spot\u201d that\u2019s typically produces the biggest\u00a0gains.<\/p>\n It compares this bull market with the last\u00a0two.<\/p>\n Source: Glassnode<\/em><\/p>\n Just look at how closely the current bull market (black line) mirrors the last two markets (green and blue\u00a0lines).<\/p>\n Would this be happening if the four-year cycle was dead? I don\u2019t think\u00a0so.<\/p>\n Based on what I\u2019m seeing, bitcoin price should peak around October\u00a02025.<\/strong><\/p>\n In August 2023, when bitcoin was trading for $27,000, I told members of my premium crypto advisory RiskHedge Venture<\/em><\/a> <\/em>it was headed to $150,000. Bitcoin price has more than tripled\u00a0since:<\/p>\n I think my bitcoin prediction was too conservative.<\/p>\n Trump has won the election, and his administration is the most pro-crypto administration ever<\/a>. Crypto will finally be free from regulatory handcuffs. For the first time in years, innovators and entrepreneurs can build useful crypto projects without fear of getting sued or subpoenaed.<\/p>\n To add fuel to the fire, Trump also announced the creation of a US crypto strategic reserve which will hold BTC, ETH<\/a>, XRP<\/a>, SOL<\/a>, and ADA. We\u2019re talking about hundreds of billions of dollars being unleashed on the crypto\u00a0market.<\/p>\n It\u2019s a perfect recipe for higher\u00a0prices.<\/p>\n Based on all this, I believe BTC could run to $250,000 in\u00a02025.<\/strong><\/p>\n But I wouldn\u2019t buy\u00a0bitcoin.<\/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 when things get truly silly to the upside and the lion\u2019s share of the profits is\u00a0made.<\/p>\n The euphoria phase also marks the start of the so-called altseason.<\/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 by about 8 to 1. And many altcoins did even\u00a0better.<\/p>\n But you don\u2019t want to buy just any altcoin. I wouldn\u2019t touch 99% of them, especially meme\u00a0coins<\/a>.<\/p>\n You want to choose quality cryptos with world changing potential. I\u2019m talking about real business models making real\u00a0money.<\/p>\n I just released a report on three such\u00a0cryptos<\/strong><\/a>.<\/strong><\/p>\n One crypto is disrupting Google. The second one has built an Airbnb for AI chips. And the third does business with big brands like Disney, Netflix, HBO, Apple, and\u00a0Nike.<\/p>\n Click here to read the full\u00a0report<\/strong><\/a>.<\/strong><\/p>\n For more insights, subscribe to my investing letter The\u00a0Jolt\u26a1<\/em><\/a>.<\/em><\/p>\n I publish fresh research on stocks and crypto every Monday and\u00a0Friday.<\/p>\n Click here to subscribe<\/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":" $250,000 BTC remains in\u00a0play. Crypto prices have been wild for the last couple of\u00a0days. Top cryptocurrencies like bitcoin (BTC), Ethereum (ETH), and Solana (SOL) all crashed by 20% or\u00a0more. It\u2019s now been almost three months since bitcoin made new all-time\u00a0highs. Many inexperienced investors are giving up on\u00a0crypto. I hope you recognize they\u2019re making a mistake. […]<\/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-49180","post","type-post","status-publish","format-standard","hentry","category-interesting"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/49180"}],"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=49180"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/49180\/revisions"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=49180"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=49180"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=49180"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}The best part of the bitcoin cycle is still ahead of\u00a0us.<\/h3>\n
If you think the four-year cycle is a myth, have a look at this\u00a0chart.<\/h3>\n
How high can bitcoin\u00a0go?<\/h3>\n
During the \u201ceuphoria phase,\u201d bitcoin is one of the worst cryptos to\u00a0own.<\/h3>\n