Today, cryptocurrency prices soared, with Bitcoin surpassing the $42,000 mark. The digital token was trading at $42,263, up more than 3%. Ether, on the other hand, increased by more than 6% to $3,024. The price of Dogecoin increased by nearly 3% to $0.12, while the price of Shiba Inu increased by over 4% to $0.000024.
BTC Price Action
The price of bitcoin is currently $42,000. After breaking out over the weekend, the peer-to-peer digital asset appears to be consolidating before the next rise. On the macro chart, Bitcoin appears to be in the midst of a massive wave four.
Bear Cycle to end soon?
Bitcoin market cycles, according to on-chain expert and economist Willy Woo, have entirely transformed and are currently forming differently than in past periods. The data model implies that the present negative trend may be coming to an end.
Woo proposed “The Last Cycle” concept in October, claiming that Bitcoin’s bearish and bullish cycles no longer follow four-year patterns. The main driver of each cycle was halving: bitcoin accumulation increased just before the halving, active distribution followed, and the bearish cycle began in the period between halvings.
The cryptocurrency market’s ecology matured dramatically after the enormous entrance of institutional investment, and it began to move independently of Bitcoin halvings. The current “unpredictable walk” of Bitcoin is mostly due to natural supply and demand in the ecosystem, which explains the significant association with traditional markets.
The industry will most likely start moving in patterns similar to emerging market trends once the market finds more critical factors to follow.
The constant shortening of each Bitcoin wave adds to the case for the theory. The first wave of the cryptocurrency’s rapid price surge, which began in 2010, was the longest, while the second and third waves were substantially shorter.
Aside from shorter trends, Woo mentioned the 100-day correction that began in April, when most market participants expected the rebound to collapse and another years-long bear market to begin. That did not happen, as the price of the first cryptocurrency soared to about $70,000.