🚀🚀The main phases of a Bull Market🚀🚀
That we are in a bull market is now obvious to most investors.
The price of BTC has just exceeded $98,000 , and everything indicates that it could go higher. Here are the typical phases of a bull cycle based on data from previous cycles.
🔥🔥Phase 1: The domination of Bitcoin
👉At the start of every bull market, most of the liquidity entering the crypto market is focused on Bitcoin. This initial phase is marked by Bitcoin's outperformance compared to Ethereum and other altcoins, which often struggle to keep up with BTC.
🚀Phase 2: Ethereum regains ground
👉At some point, Bitcoin starts to slow down, and some of the liquidity then flows to Ethereum. Since its inception, Ethereum has often started to outperform Bitcoin in this phase, accompanied by the first rises of some promising altcoins.
🚀Phase 3: Start of the altseason
👉With the influx of liquidity and good performance of Ethereum, confidence is increasing towards other large-cap cryptos. In recent cycles, less capitalized altcoins have often seen rapid gains during this period.
Example: In the latest bull market, Solana (SOL) rose +1,200% from May to November 2021, and Avalanche (AVAX) jumped +1,500% between June and December 2021.
🚨Phase 4: End of the altseason
👉The end of the altseason is generally the riskiest. Mid- and small-cap cryptos often experience explosive price movements in this latter phase, but this is also where losses can be the greatest. Indeed, the market is nearing the end of the bull market, and investors risk being exposed to highly risky assets when prices begin to fall.
⚠️The final phase of the altseason can be compared to fireworks: intense but brief. Inexperienced investors, hoping for a continuation of the bull market, could suffer heavy losses if they do not follow a well-defined strategy.
$BTC $ETH $SOL
