### Crypto Bulls Keep the Faith Amid Market Turbulence
Despite a recent downturn in digital asset prices, crypto enthusiasts are working hard to maintain a sense of optimism. Many traders are pointing to on-chain indicators and historical trends that suggest a potential rebound is on the horizon. However, overall sentiment has dipped to its lowest point in months, largely due to significant liquidations affecting thousands of traders. As of now, the total market capitalization of cryptocurrencies has fallen to $2.85 trillion, reflecting a further 2.4% decline today.
### Is The Cycle Top Ahead?
The crypto market is currently experiencing increased selling pressure, particularly after Bitcoin and leading altcoins have dropped below key resistance levels. In the midst of this selling frenzy, some traders are doubling down, hoping to ride the market back up to its anticipated cycle peak. A key focus for traders is the correlation between Bitcoin and hash prices, a metric that helps assess miner profitability and can indicate the flow of miner reserves and exchange activity. Notably, the hash price is not at its lowest point relative to Bitcoin’s price.
CryptoQuant’s CEO, Ki Young Ju, has emphasized that panic selling is not the best approach, encouraging users to stay the course. He pointed out that Bitcoin’s price fell by 53% before reaching an all-time high in 2021. Last week, he reiterated that a 30% drop would not necessarily signal the start of a bear market, citing historical data to support his view. “I don’t think we’ll enter a bear market this year. We’re still in a bull cycle. The price will eventually rise, although the range may be wide. I believe the bull cycle could persist even with a -30% dip from the all-time high (e.g., 110K → 77K), as seen in previous cycles.”
Digital asset advocate Cryptogit noted that bull runs typically last around 1,067 days, as evidenced in 2017 and 2021. Additionally, historical Bitcoin prices have reached cycle peaks approximately 525-550 days after halvings, suggesting that the current bull market could remain active until Q4 2025. Institutional interest, particularly in light of a favorable regulatory environment, continues to play a significant role for many large investors.
### Crypto Dip Bites Harder
The recent crypto dip, which began with a sustained decline below the $3.2 trillion mark, has taken a more pronounced turn. With billions of dollars wiped from the market, both institutional and retail traders are facing strong selling pressures. In the past 24 hours alone, thousands of traders have been liquidated, although many experts are still optimistic about a potential recovery. Currently, Bitcoin is trading at $85,913, marking an 11% drop in just one day, which has sent shockwaves through the altcoin market. Ethereum has also seen a significant decline of 14%, falling below $2,400, while XRP has dropped 18% this week after large investors offloaded over $400 million in assets.
