The price of Bitcoin has never been shy: it goes up, down, crashes, revives, and surprises again. At first glance, it seems chaotic, but behind these extreme movements are patterns that repeat themselves time and time again, as if the cryptocurrency had its own seasons.
Bitcoin cycles are often associated with the so-called halving , an event that occurs approximately every four years and reduces the reward for mining new blocks by half. This decrease in supply usually generates expectations, speculation, and almost always, a gradual increase in price.
After the halving, the market usually enters an accumulation stage. Long-term investors begin to buy steadily, betting that the lower supply will push the price upward. At this point, the movement is slow but solid.
Then comes the most striking phase: euphoria. This is the time when the media talks nonstop about Bitcoin, prices skyrocket, and many people enter the market for fear of missing out. This period is marked by sharp rises and new all-time highs.
But every boom has its hangover. After reaching significant peaks, the price usually enters a period of sharp correction. Excessive speculation bursts, impulsive investors panic and sell, and Bitcoin can lose much of its value in weeks or months
After that crash comes the capitulation stage. It's the moment when many consider Bitcoin dead (again), negative comments abound, and enthusiasm disappears. Paradoxically, it's here that more experienced investors begin to see opportunities
Once the pessimism subsides, the market enters a stabilization phase. Prices stop falling, interest slowly returns, and confidence begins to rebuild. It is the prelude to the start of a new cycle.
As technology evolves, so does the dynamics of these cycles. The entry of institutions, clearer regulations, and derivatives markets have added new layers of complexity to price behavior, although the basic patterns remain.
Understanding these cycles does not guarantee profits, but it helps avoid impulsive decisions. Bitcoin is a volatile asset, with movements that can frighten even the bravest. However, those who understand its cyclical nature usually navigate its ups and downs more calmly
Beyond charts and predictions, Bitcoin's price cycles reflect something simple: human interaction with a new, powerful, and constantly evolving technology.
