CryptoQuant analysts note that the current ‘bull’ cycle in the cryptocurrency market exhibits unusual behavior compared to previous years. Since 2024, there have been several waves of sharp increases followed by significant corrections. This dynamic, according to experts, may be a sign of artificial cooling of the market being carried out by influential players to prolong growth.
This is reported by Business • Media
Unusual Market Dynamics and Impact on Altcoins
Experts emphasize that the current cycle differs from previous ones not only due to frequent corrections but also because of the behavior of individual assets. Altcoins, in particular, have proven to be especially vulnerable, showing results that significantly fell short of expectations during market downturns. This affected overall investor sentiment, although the market still experienced short-term growth phases.
“Such movements are usually interpreted as attempts by influential players to cool down an overheated market, which may indicate an intention to extend the duration of the ‘bull’ cycle. Ultimately, it is expected that the cycle will end with an euphoric phase characterized by the formation of a large bubble.”
Differences Between the Current Cycle and Previous Ones
CryptoQuant analysts compare the current situation to market cycles of past years. Specifically, in 2017, the cryptocurrency market gradually rose with minor corrections, while deeper declines lasted about seven to eight months. In 2021, the cycle began with a prolonged downturn caused by the pandemic, but subsequently, the growth rate recovered, and the downturns were minimal.
Previously, CryptoQuant experts also noted that there is a lack of euphoria in the cryptocurrency market, which typically accompanies the final phases of ‘bull’ cycles.