‘Bitcoin’s bull cycle is over,’ warns CryptoQuant CEO as liquidity dries up

• CryptoQuant CEO Ki Younger Ju believes Bitcoin’s bull cycle has ended, predicting 6–12 months of bearish motion
• Historic tendencies recommend Bitcoin might surpass its all-time excessive by mid-2025

Bitcoin [BTC]‘s newest downturn has sparked a big shift in market sentiment, with specialists re-evaluating its trajectory on the charts.  Based on CoinMarketCap data, BTC was buying and selling at $81,896.71 at press time, after a 0.46% decline within the final 24 hours.

Ki Younger Ju’s Bitcoin warning

In response, CryptoQuant CEO Ki Younger Ju, who beforehand dismissed bearish considerations, is now warning that Bitcoin’s bull cycle might have ended.

Taking to X, Ju said, 

“#Bitcoin bull cycle is over, anticipating 6–12 months of bearish or sideways worth motion.”

Supply: Ki Younger Ju/X

What’s exec’s reasoning?

Ju’s newest evaluation hinted at a regarding shift in Bitcoin’s market cycle, with key on-chain metrics signaling a bearish or sideways pattern for the following six to 12 months. Sharing a chart on BTC’s Revenue and Loss (PnL) Index, he steered that bullish expectations for a robust rebound could also be misplaced.

Based on Ju, liquidity inflows are weakening, whereas newly emerged whales are offloading their holdings at decrease costs.

He additionally utilized Principal Part Evaluation (PCA) to indicators just like the MVRV, SOPR, and NUPL, utilizing a 365-day shifting averag,e to establish pattern reversals.

Supply: Ki Younger Ju/X

Nevertheless, some merchants stay skeptical, noting that Ju’s promote sign in 2020 didn’t play out as anticipated.

What’s extra?

Ju additional highlighted a serious warning signal for Bitcoin’s trajectory – The decline in contemporary liquidity, a key driver of worth stability and progress. He famous that newly emerged whale buyers are offloading their holdings at cheaper price ranges, a sample that has traditionally signaled the onset of bearish tendencies.

Including to the priority, institutional demand seems to be waning. Espcially as ETF inflows have remained destructive for 3 consecutive weeks. Episodes of sustained outflows can typically be seen as an indication of weakening shopping for stress, elevating doubts about Bitcoin’s potential to regain bullish momentum within the close to time period.

Offering additional insights, Ju added, 

“Sorry to vary my view, nevertheless it now seems fairly clear that we’re coming into a bear market.”

He concluded it finest when he stated, 

“I can’t hold sharing simply my hopes when the information retains signaling bearish. I’m not going to quick BTC and nonetheless maintain my spot.”

Is there any hope?

Regardless of present bearish alerts, historic tendencies recommend Bitcoin could possibly be on the verge of one other main rally.  Actually, an analysis of BTC’s worth actions since 2015 highlighted a seasonal progress sample, with the strongest positive aspects occurring between April and October.

If this pattern holds, Bitcoin might stabilize within the coming months earlier than resuming its upward trajectory. Some projections even point out that BTC might surpass its earlier all-time excessive by mid-2025.

Whereas short-term uncertainty stays, long-term indicators might trace at vital upside potential for the flagship cryptocurrency. 

Therefore, it stays to be seen whether or not Ju’s prediction holds or if Bitcoin can reignite one other bull run.