The cryptocurrency market's recent volatility has prompted a reassessment of key indicators, suggesting that the current bull run may still have significant room for growth, according to a comprehensive analysis shared on X.
What Happened: Despite recent market turbulence, described as "the biggest liq flush since 2021," the analysis paints a bullish picture for the crypto market's future, opening with the words "don't think we're anywhere near a top."
The thread, posted by a crypto analyst on Tuesday, examines four crucial aspects:
Funnie pointed to the largest liquidity flush since 2021 over the past three weeks and detailed four core areas supporting his conviction: Despite growing nervousness in the market, the signals across on-chain metrics, regulatory developments, macro conditions, and market cap trends remain strongly bullish.
- On-Chain Metrics: indicators such as the Puell Multiple and Pi Cycle Top suggest the market is still in a healthy growth phase. Most metrics indicate that we are nowhere near a top, with key resistance levels in the market structure holding firm.
- Altcoin Consolidation: altcoins remain below previous all-time highs, similar to patterns seen in December 2020 and February 2021, preceding major breakouts. For example, Ethereum (CRYPTO: ETH) remains below its previous high of $4,800, still shy of an inflation-adjusted target of $6,000. Solana (CRYPTO: SOL) is stabilizing in the low $200s, with open interest resetting to lows, signaling potential for another leg up.
- Macro and Regulatory Tailwinds: a historic shift toward pro-crypto sentiment, underscored by Federal Reserve Chair Jerome Powell's acknowledgment of Bitcoin as "digital gold," adds to market optimism. Favorable interest rate policies and liquidity tailwinds further strengthen the market environment.
- Market Structure: the overall structure mirrors December 2020's bullish setup, suggesting another potential rally before any major correction.
Also Read: Bitcoin To $200,000, Ethereum To $7,000, Solana To $750 In 2025, Predicts Bitwise
Why It Matters: The analyst estimates the likelihood of this cycle topping at less than 1%, with cold on-chain indicators, accelerating regulatory progress, and supportive macroeconomic conditions providing strong backing.
He advises traders to remain confident but to manage risk effectively, noting that the market is likely setting up for another significant move.
"This is a time to stay convicted—not wobbly," the report concludes, urging traders to avoid letting short-term fear cloud long-term opportunities.
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