Is the Bull Market Already Over? (We Don’t Think So)

The latest bout of volatility in digital asset markets has commentators questioning if the bull market is over. Although recent moves have been violent, it is not unlike digital assets to experience sharp, painful drawdowns during bull markets. Even looking at Bitcoin, one of the less volatile digital assets, there have been 8 periods where its price has fallen more than 20% in a rolling 90 day period, since the latest up-trend began in November of 2022. The latest drawdown marks the 9th. Meanwhile, Bitcoin is still up over 440% since the trough.

Up markets are not without their pain points. Since the last cycle trough, we’ve seen a >20% drawdown nearly every quarter, despite a general trend upward. Don’t panic. Look for opportunities. In particular, current valuations on digital assets outside of Bitcoin (‘alts’) could present an attractive entry point if you retain a fundamental belief in the long-term disruptive potential of digital assets.

*The information herein is for general information purposes only, is not investment advice, and should not be used in the evaluation of any investment decision. You should consult your own advisers, including your own counsel, for accounting, legal, tax, business, investment or other relevant advice, including with respect to anything discussed herein. An investment involves a high degree of risk. Past performance is no guarantee of future results.