Banner cycles are not magical forecasts of astrologers, but an economic theory based on many years of observation: markets and crises repeat themselves according to a clear schedule, approximately once every 7-11 years. How does this relate to the crypt? And this is where the fun begins.
What are Banner Cycles and why does it sound so serious?
The bottom line is that the economy has its own "natural" dynamics. The inventor of the theory, Joseph Benner, as early as the 19th century, observed that cycles of prosperity and decline occur at equal intervals of time. Benner said: "Everything in the economy is like in nature: summer is always followed by winter." And we're like, "Okay, but how does this work with crypto?"
Banner + crypt = perfect pair
The theory also works in the crypto market, because even our beloved $BTC breathes in cycles. True, they are a little shorter due to the "youth" of the asset: 4-year halving cycles are more suitable here. And now attention, intrigue: the last big cycle began in 2020. Does it match? And how!
What it looks like:
1. Boom phase: Bitcoin grows, everyone becomes a millionaire (on paper). It was, for example, 2021.
2. Stagnation phase: the market stabilizes, investors digest what happened. This is 2022.
3. Crisis phase: everything falls, altcoins look like candy bars, and investors look like sad memes. Yes, it was 2023.
4. Recovery: as it is now - the market is recovering, but has not yet reached its maximum.
How to use these cycles in practice?
1. Don't panic in a crisis: when everyone shouts "crypto is dead!", quietly buy BTC. It's like a Black Friday sale, only cheaper.
2. Don't buy at the peak: If your grandma asks how to download Binance, that's a signal to sell.
3. Remember the halving: in 2024, it brought up the price of bitcoin again, and in 2025 we will see something interesting (yes, maybe $200 thousand).
4. Play for the long haul: Banner cycles are a marathon, not a sprint. Those who have patience and strong nerves make money here.
What could go wrong?
The government may step in with new laws, exchanges may freeze accounts, or, as always, Elon Musk will tweet something "brilliant." So be prepared for surprises.
Result
Banner cycles are a good framework for strategies. But remember that the cryptocurrency market is chaotic and unpredictable. Use theory as a beacon, but don't forget to keep your finger on the pulse of the market. And remember: in the crypt, the one who is not afraid to take risks, but does it wisely, wins.
