When will the bull market in the currency circle that everyone is currently paying close attention to really arrive? Why hasn’t there been a significant rise so far?

First of all, one fact that needs to be made clear is that the bull market has actually started quietly. This can be seen from the 49,000 turning point I predicted before. Although the world is implementing loose monetary policies, why is there no surge like the previous bull market? The reason is that the pace of monetary easing at that time was significantly different from now.

In 2020, in response to the impact of the epidemic, the Federal Reserve cut interest rates by 150 basis points in just one month, and other countries around the world quickly followed suit and implemented large-scale monetary easing policies. This rapid monetary easing directly promoted the explosive growth of Bitcoin price, which rose to US$65,000 near the top of the cycle in just half a year, an increase of up to 18 times. However, in late 2021, as the monetary easing policy failed to continue, the price of Bitcoin only reached $69,000 at the end of the year, which was almost the same as $65,000 in April, forming a double top pattern.

This cycle shows the characteristics of slow release. The Federal Reserve plans to gradually cut interest rates by 200 basis points in the next six months, rather than cutting interest rates as quickly as during the 2020 epidemic. Therefore, this bull market is more similar to the situation in 2017, which lasted for a full year and a half, and is expected to show a continued upward trend. Therefore, the reason why the currency circle performed flatly from March to September this year was mainly because the Federal Reserve had not yet started to cut interest rates, resulting in a lack of additional incremental funds in the market, which triggered a half-year-long sideways consolidation.

However, things are changing now. The United States, China, Europe and other major economies except Japan are gradually moving towards quantitative easing, and there will be more and more funds in the market. Coupled with the fact that the approval of Bitcoin ETF has opened the door for institutional investors, a bull market is already quietly brewing. Therefore, your task now is to hold your cryptocurrency firmly and be friends with time. I believe that you will get 3 to 10 times returns by next year.

As for the short-term flashpoint, it may occur when the results of the US presidential election are announced in early November.