CryptoQuant analysts caution investors as Bitcoin approaches cyclical highs, while others predict record-breaking gains.
CryptoQuant’s Warning on the Bull Cycle
According to CryptoQuant, the cryptocurrency bull market that began in January 2023 is entering its final stages. The firm expects the market to peak by the first or second quarter of 2025.
A Jan. 6 report highlights that Bitcoin traded for less than a month spiked to 36% in Q4 2024, a pattern consistent with prior market tops. This ratio could rise further, potentially doubling or quadrupling before a bear cycle begins.
“Nevertheless, from a conservative standpoint and with risk management in mind, caution is advised.”
While substantial gains in Bitcoin and altcoins are still possible, CryptoQuant urges investors to proceed with caution.
Contrasting Views on Market Trajectory
While CryptoQuant advises caution, other analysts have a more optimistic outlook. Steno Research predicts 2025 will be the best year ever for cryptocurrency, with Bitcoin and Ethereum surpassing all-time highs.
Similarly, VanEck projects the market will reach a medium-term peak in early 2025 but hit record-breaking values by year’s end, forecasting Bitcoin at $180,000 and Ethereum above $6,000.
Betting Markets Share Optimism
Betting platforms Polymarket and Kalshi align with bullish predictions, anticipating new crypto exchange-traded funds (ETFs) and strategic Bitcoin reserves in the U.S., further fueling market growth.
Balancing Optimism and Risk
The divergence in predictions underscores the need for balanced strategies. Investors should weigh CryptoQuant’s cautionary stance against other bullish forecasts to navigate the market’s final bull stages effectively.
Disclaimer:
The information provided on 13Desk is for informational purposes only and should not be considered financial advice. We strongly recommend conducting your own research and consulting with a qualified financial advisor before making any investment decisions. Investing in cryptocurrencies carries risks, and you should only invest what you can afford to lose. 13Desk is not responsible for any financial losses incurred from your investment activities.
