Analytics Firm Says “Early Bull Run Has Begun” for Bitcoin and Shares What It Expects Next

In its latest analysis evaluating the outlook for the cryptocurrency market in the coming years, The DeFi Report argued that Bitcoin may be entering the early stages of a new bull cycle. The platform, which divides the market cycle into four phases – “early bull,” “wealth creation,” “wealth distribution,” and “wealth destruction” – stated that the current market structure is signaling a transition to the first phase.

According to The DeFi Report, a critical indicator for confirming the early bull phase will be Bitcoin establishing support around the 50-week moving average at approximately $80,000. The analysis notes that this period historically lasts about 9 to 12 months, with crypto-focused investors starting to notice speculative activity before the broader investor base. The report also lists rising Bitcoin dominance from its lows, the return of new users, increased DeFi incentives and marketing spending, and the launch of new projects as other indicators to watch during the early bull period.

According to the platform’s assessment, the second phase of the bull cycle, the “wealth creation” period, is expected to see a more pronounced rise in Bitcoin, increased interest in cryptocurrencies from mainstream media, and accelerated influx of new investors. During this phase, demand for DeFi loans, leverage usage, stablecoin supply, and on-chain activity are expected to increase. The DeFi Report notes that trading volume on Solana decentralized exchanges increased approximately tenfold during this period in the previous cycle, and that funding rates and open positions in Bitcoin futures markets are also expected to rise.