FameEX Hot Topics | Has the Bitcoin Bull Market Peaked? Analysts Offer Their Perspectives

10x Research, led by CEO Markus Thielen, has recently adopted a more cautious view on Bitcoin (BTC), prompting a reassessment of market conditions. In a market update published on December 29, 2024, the firm acknowledged Bitcoin’s resilience but highlighted emerging technical patterns that could indicate a shift in its trajectory. As a research service supporting asset managers and cryptocurrency providers, 10x Research has raised concerns over the past two weeks about whether Bitcoin’s bull market may have reached its peak.

Historical data from previous bull markets, such as in 2017 and 2019, show a recurring pattern of early-month rallies followed by end-of-month profit-taking. Analysts identified a “shooting star” candlestick pattern in December 2024, characterized by a long upper wick and a small body—often viewed as a bearish signal. Similar patterns appeared before major downturns in December 2017 and November 2021, suggesting the market could be nearing an intermediate peak.

Thielen emphasized the significance of the “shooting star” pattern, describing it as a bearish reversal signal that reflects weakening buying pressure and the potential for price corrections. He noted that such patterns often indicate shifts in investor sentiment, requiring traders to closely monitor price movements and prepare for heightened volatility in the coming months.

Bitcoin reached a record high of $108,364 on December 16, 2024, before pulling back to $92,000. Analysts highlight the importance of the $90,000–$92,000 support range, warning that a break below this zone could lead to further declines. While an early rally in January 2025, potentially influenced by Donald Trump’s inauguration, is possible, analysts caution that additional profit-taking by month-end could confirm bearish signals and raise concerns about market stability.

Despite these warning signs, 10x Research does not believe the bull market is definitively over. However, as 2025 begins, investors should prepare for increased volatility, with sharp rallies and corrections expected. The firm stresses the importance of disciplined risk management, encouraging traders to closely monitor technical indicators and adopt strategies to navigate Bitcoin’s evolving market landscape.

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