Bitcoin Market Cycles

Definition ∞ Bitcoin Market Cycles describe the recurring patterns of price movements and investor sentiment observed in the Bitcoin market. These cycles typically consist of periods of accumulation, upward trends, distribution, and downward corrections. Recognizing these patterns helps analysts understand the broader trajectory of Bitcoin’s valuation over time. These movements are often influenced by fundamental and psychological factors.
Context ∞ Bitcoin Market Cycles are a constant point of analysis in cryptocurrency news, with reports frequently attempting to identify the current phase. Understanding these cycles provides context for price fluctuations and investor behavior. Critical future developments include how institutional involvement and increasing market maturity might modify or dampen the historical volatility associated with these cycles.