FameEX Hot Topics | Is the Bitcoin Bull Market Ending? Analysts Share Their Insights

10x Research and its CEO, Markus Thielen, have recently adopted a more cautious outlook on Bitcoin (BTC), prompting a reassessment of market trends. In a market update released on December 29, 2024, the firm acknowledged Bitcoin’s resilience but pointed to emerging technical patterns that may signal a shift in the market’s trajectory. As a research service for asset managers and cryptocurrency providers, 10x Research has raised questions over the past two weeks about whether Bitcoin’s bull market may have reached its peak.

Historical data from previous bull markets, such as 2017 and 2019, shows a recurring trend of early-month rallies followed by end-of-month profit-taking. Analysts observed a “shooting star” candlestick pattern in December 2024, characterized by a long upper wick and a small body, which is often a bearish indicator. Similar patterns occurred before major downturns in December 2017 and November 2021, suggesting the market could be nearing an intermediate top.

Thielen emphasized the importance of the “shooting star” pattern as a bearish reversal signal, indicating weakening buying pressure and potential price declines. He noted that such signals often reflect shifts in investor sentiment and may lead to price corrections. With this pattern emerging, traders are advised to closely monitor price movements and prepare for possible volatility in the months ahead.

Bitcoin reached an all-time high of $108,364 on December 16, 2024, before retreating to $92,000. Analysts stress that the $90,000–$92,000 range is a key support level, and a drop below this zone could trigger further declines. While an early rally in January 2025, possibly tied to Donald Trump’s inauguration, is expected, analysts warn that another round of profit-taking by month-end could confirm bearish signals and reinforce concerns about market stability.

Despite these cautionary signals, 10x Research believes the bull market may not be entirely over. However, entering 2025, investors should anticipate increased volatility, with sharp rallies and corrections likely. The firm highlights the importance of disciplined risk management, urging investors to track technical indicators closely and adopt strategies to navigate Bitcoin’s evolving market dynamics.

Disclaimer: The information provided in this section is for reference only and does not represent any investment advice or the official views of FameEX.