By continuing to browse or by clicking “Allow all cookies”, you agree to the storing of cookies on your device for analytical purposes and to enhance your site experience.
Crypto bull cycle
What is a Bull Run in Crypto: Full Guide
10 minutes read | 04-08-2025
The cryptocurrency market often swings between bull and bear runs over time, with bull runs characterized by rising prices and bear runs known for falling prices. Various factors influence the crypto market’s investor sentiment, whether positive or negative.
Identifying the start of a bull run lets you get in early and benefit from rising prices. However, doing this can be tricky, and we’re here to help. This guide explains what a bull run is, how it unfolds, and the indicators that signal the beginning of a crypto bull run.
Identifying the start of a bull run lets you get in early and benefit from rising prices. However, doing this can be tricky, and we’re here to help. This guide explains what a bull run is, how it unfolds, and the indicators that signal the beginning of a crypto bull run.
Table Of Content
What is a bull run in crypto?
How does a crypto bull run work?
Stages of a bull run
Key indicators of a bull run
Historical crypto bull runs: What can we learn?
What triggers a bull run in crypto?
How long does a bull run typically last?
Common mistakes during bull markets
Bull run vs. Bear market: Key differences
Predictions: When is the next bull market run?
FAQs
What is a bull run in crypto?
A bull run is a sustained period of increasing prices for cryptocurrency assets. It's an optimistic phase with high expectations, encouraging investors to buy various digital assets. Some assets, such as Bitcoin, outshine others during a crypto bull market, but most mainstream coins experience significant increases.
How does a crypto bull run work?
A crypto bull cycle is fueled by several factors, including investor optimism, favorable regulations, and technological advancements. General economic conditions and inflation can also fuel bull runs, as economic uncertainty leads investors to seek a safe haven in digital currencies.
For example, the U.S. government passed a bill this June to create a regulatory framework for stablecoins, which are digital coins tied to the U.S. dollar. This favorable regulation has fuelled increased interest in cryptocurrencies by institutional investors, driving Bitcoin and other cryptocurrencies to record highs.
The factors influencing a crypto bull run feed off each other. Favorable regulations spur increased adoption, leading to higher investor sentiment and the release of new products by blockchain companies. These factors can combine to sustain a bull market for an extended period.
For example, the U.S. government passed a bill this June to create a regulatory framework for stablecoins, which are digital coins tied to the U.S. dollar. This favorable regulation has fuelled increased interest in cryptocurrencies by institutional investors, driving Bitcoin and other cryptocurrencies to record highs.
The factors influencing a crypto bull run feed off each other. Favorable regulations spur increased adoption, leading to higher investor sentiment and the release of new products by blockchain companies. These factors can combine to sustain a bull market for an extended period.
Stages of a bull run
A cryptocurrency bull run follows a general pattern, with Bitcoin leading the way, followed by other mainstream coins like Ethereum, then an alternative coin (altcoin) frenzy. Let’s explore these phases below.
Phase 1: Bitcoin leads the rally
Bitcoin is the most popular cryptocurrency and the one most commonly used by institutional investment firms. Hence, Bitcoin is the first asset that traders rush to during a bull cycle.
In our example of favorable U.S. regulations leading to increased interest in cryptocurrencies, Bitcoin recently notched an all-time high of $123,000. It’s the safest digital asset for both retail and institutional investors due to its widespread adoption and high liquidity. Thus, Bitcoin always kickstarts a bull market run before other tokens follow.
In our example of favorable U.S. regulations leading to increased interest in cryptocurrencies, Bitcoin recently notched an all-time high of $123,000. It’s the safest digital asset for both retail and institutional investors due to its widespread adoption and high liquidity. Thus, Bitcoin always kickstarts a bull market run before other tokens follow.
Phase 2: Ethereum and large-cap altcoins surge
Bitcoin’s bull run is often followed by Ethereum, the second-largest cryptocurrency by market capitalization, and other altcoins, including Ripple, Binance Coin, Solana, and Tron.
The above altcoins have the largest market capitalizations, so naturally, they are the next options for investors looking to grab a slice of the crypto market. A Bitcoin boom fuels increased investment in these altcoins as investors seek to diversify their holdings.
The above altcoins have the largest market capitalizations, so naturally, they are the next options for investors looking to grab a slice of the crypto market. A Bitcoin boom fuels increased investment in these altcoins as investors seek to diversify their holdings.
Phase 3: Altcoin season and speculative frenzy
After Bitcoin and large-cap altcoins experience a bull run, smaller altcoins usually follow. These include moderately popular coins, such as Algorand and Arbitrum, as well as lesser-known coins like Tensor and Aurora.
Small-cap altcoins aren’t traded as much as their larger counterparts. Still, many traders flock to them during bull runs to diversify their bets and potentially get big returns.
“A rising tide lifts all boats” rings true in the crypto world. During bull runs, many coins across different blockchains experience price increases, opening many opportunities for investors to earn rewards.
Small-cap altcoins aren’t traded as much as their larger counterparts. Still, many traders flock to them during bull runs to diversify their bets and potentially get big returns.
“A rising tide lifts all boats” rings true in the crypto world. During bull runs, many coins across different blockchains experience price increases, opening many opportunities for investors to earn rewards.
Key indicators of a bull run
Higher trading volumes
Trading volume is a leading indicator of an impending bull run. When you observe increasing trading volumes of Bitcoin and other mainstream assets, it’s a sign of growing adoption by retail and institutional investors, which can have a positive impact on the broader crypto market.
Increasing investor sentiment
If institutional investors start piling into cryptocurrencies, such as the recent trend of everyday companies buying Bitcoin reserves, it’s a sign that other institutional and retail investors will likely follow suit, creating a bull market.
On-chain data
Positive metrics recorded on a blockchain, such as increasing wallet creations and deposits, are signs of good things to come in the general cryptocurrency market.
New projects
If companies, especially non-blockchain companies, begin releasing new blockchain products, it can spur increasing crypto adoption, which naturally leads to price increases.
Historical crypto bull runs: What can we learn?
“Those who fail to learn from history are doomed to repeat its mistakes” is a relevant quote in the cryptocurrency sector. Past bull runs provide a hint of when future bull runs can occur and how to benefit from them. Let’s examine two events we can learn from:
2017-2018 bull run: Ethereum’s rapid rise
The 2017-2018 bull run was driven by technological advancements and growing cryptocurrency adoption. It was a period of the initial coin offering (ICO) frenzy, during which many projects raised money to solve real-world problems.
Around this period, Ethereum became the go-to blockchain for new cryptocurrency projects, and its native token soared as a result. Ethereum soared from $10 in early 2017 to $1,400 in January 2018. The growing demand for blockchain technology encouraged this bull run, and many traders who spotted this trend early made good money.
Around this period, Ethereum became the go-to blockchain for new cryptocurrency projects, and its native token soared as a result. Ethereum soared from $10 in early 2017 to $1,400 in January 2018. The growing demand for blockchain technology encouraged this bull run, and many traders who spotted this trend early made good money.
2020-2021 bull run: Pandemic economic policies
2020 is mainly known as the year of the COVID-19 pandemic, which turned the global economy on its head and caused governments to react with economic policies designed to slow the pandemic's effects.
Many traders feared imminent inflation and ran to cryptocurrencies as a haven. Bitcoin crashed to $3,700 in March 2020, but rose to $29,000 by December. In March 2021, Bitcoin reached $69,000, then its highest ever.
Many traders who invested in Bitcoin and other tokens benefited from the bull run. They secured substantial gains by observing economic trends and diversifying into alternative assets to protect themselves against inflation.
Many traders feared imminent inflation and ran to cryptocurrencies as a haven. Bitcoin crashed to $3,700 in March 2020, but rose to $29,000 by December. In March 2021, Bitcoin reached $69,000, then its highest ever.
Many traders who invested in Bitcoin and other tokens benefited from the bull run. They secured substantial gains by observing economic trends and diversifying into alternative assets to protect themselves against inflation.
What triggers a bull run in crypto?
As mentioned, bull runs are triggered by a combination of different factors. Common ones include:
Favorable regulations
Government regulations that normalize digital assets lead to increased adoption by institutional investors, whose massive bets can draw other traders and fuel bull runs.
Macroeconomic policies
Economic policies can prompt investors to buy cryptocurrencies as a hedge against inflation. This increased buying often fuels bull market runs.
Technological innovation
When companies release new decentralized finance (DeFi) applications, everyday consumers get introduced to cryptocurrencies, and their activities lead to price increases.
Network upgrades
When a blockchain network gets upgraded to enable faster transactions, more people tend to use it, creating potential bull runs.
How long does a bull run typically last?
Crypto bull runs often last 1 year, as illustrated in our examples of the 2017-2018 and 2020-2021 bull runs. However, it can be shorter, from 3 to 4 months, or even longer, for up to 2 years.
The period of a bull run depends on its underlying factors. Bull runs driven by macroeconomic policies tend to last longer than those driven by hype, as the latter tends to fade more easily than the former. Bull market runs are often followed by bear market runs, during which prices can drop unpredictably.
The duration of a bull run is unpredictable, so you should be able to spot the signs of an imminent price reduction. These signs include decreasing trading volumes, negative news, and unfavorable regulations. When you observe these signs, you can begin selling your crypto holdings to protect yourself against an expected bear market.
The period of a bull run depends on its underlying factors. Bull runs driven by macroeconomic policies tend to last longer than those driven by hype, as the latter tends to fade more easily than the former. Bull market runs are often followed by bear market runs, during which prices can drop unpredictably.
The duration of a bull run is unpredictable, so you should be able to spot the signs of an imminent price reduction. These signs include decreasing trading volumes, negative news, and unfavorable regulations. When you observe these signs, you can begin selling your crypto holdings to protect yourself against an expected bear market.
Common mistakes during bull markets
Bull markets are exciting times, and you can be excited enough that you’ll overlook some mistakes. These mistakes shouldn’t happen, so it’s essential to note what to avoid during bull market phases. They include:
Overexposure to speculative coins
Some small-cap, highly speculative coins rise drastically during bull runs. You may be tempted to invest too much capital in such coins, but that is a risky strategy. These coins can fall just as much as they rise, wiping away your capital.
You can buy small-cap coins, but they should be part of a diversified portfolio that also includes mainstream coins like Bitcoin. Putting too many eggs in one altcoin basket isn’t a winning strategy.
You can buy small-cap coins, but they should be part of a diversified portfolio that also includes mainstream coins like Bitcoin. Putting too many eggs in one altcoin basket isn’t a winning strategy.
Ignoring fundamentals
Hype doesn’t necessarily translate to substance. A coin may be popular, but that doesn’t mean its rise is based on increasing adoption and technological upgrades. Before buying a token, research its fundamentals, including trading volume, adoption, partnerships, team members, and relevant regulations. Due diligence is a key part of smart investing.
Lack of risk management
Avoid the mistake of not considering risk management when trading cryptocurrencies during bull market runs. Despite rising markets, adhere to the standard risk management methods, including stop-loss orders that sell tokens below a specific threshold, diversification to avoid losing too much money from a single wrong trade, and cashing out profits regularly to reduce your risk of future losses.
At Hash Hedge, prop traders have risk management features that minimize losses and maximize profits. You can choose Hash Hedge for crypto prop trading and keep 80% of your trading profits.
At Hash Hedge, prop traders have risk management features that minimize losses and maximize profits. You can choose Hash Hedge for crypto prop trading and keep 80% of your trading profits.
Bull run vs. Bear market: Key differences
A bear market is the opposite of a bull market. In a bear run, investors have negative sentiment and cryptocurrency prices fall. Stablecoin liquidity typically increases during bear markets, as more traders flock to stablecoins to preserve the value of their tokenized assets.
On the bright side, bear markets last shorter than bull markets. Prices can stabilize or rise further within shorter periods than bull market runs.
On the bright side, bear markets last shorter than bull markets. Prices can stabilize or rise further within shorter periods than bull market runs.
Predictions: When is the next bull market run?
Predicting the next bull market run can be challenging, but analyzing patterns can provide a valuable hint. Recent events indicate an increasingly favorable market for crypto assets.
U.S. regulators approved the first 11 Bitcoin exchange-traded funds (ETFs) in January 2024, and many more have emerged since then. In 2025, a new administration took office and has been more favorable to the crypto industry than previous administrations—a landmark bill normalizing and regulating stablecoins was passed in June.
Institutional investors have poured into Bitcoin ETFs, consequently driving Bitcoin’s price to a record high of over $120,000. Refer back to the stages of a bull run, and it’s Bitcoin first, followed by large-cap altcoins and small-cap altcoins.
With Bitcoin at a record high, other large-cap and small-cap altcoins will likely follow suit. If you’re wondering when the next crypto bull run is going to occur, the answer is that it’s already near.
Prop traders capitalize on the impending bull market run to earn rewards. Hash Hedge funds prop traders to execute their trading strategies, and traders keep 80% of the profits they generate. Join Hash Hedge today and pass the challenge to kickstart your prop trading journey.
U.S. regulators approved the first 11 Bitcoin exchange-traded funds (ETFs) in January 2024, and many more have emerged since then. In 2025, a new administration took office and has been more favorable to the crypto industry than previous administrations—a landmark bill normalizing and regulating stablecoins was passed in June.
Institutional investors have poured into Bitcoin ETFs, consequently driving Bitcoin’s price to a record high of over $120,000. Refer back to the stages of a bull run, and it’s Bitcoin first, followed by large-cap altcoins and small-cap altcoins.
With Bitcoin at a record high, other large-cap and small-cap altcoins will likely follow suit. If you’re wondering when the next crypto bull run is going to occur, the answer is that it’s already near.
Prop traders capitalize on the impending bull market run to earn rewards. Hash Hedge funds prop traders to execute their trading strategies, and traders keep 80% of the profits they generate. Join Hash Hedge today and pass the challenge to kickstart your prop trading journey.
FAQs
Several factors can trigger a bull run, including increased institutional investor adoption, favorable regulations, and technological innovations. These factors spur increased public interest in cryptocurrencies and, consequently, price increases.
A bull run often begins with Bitcoin, the world’s leading cryptocurrency, reaching record highs. An uptick in blockchain projects released by different companies is also another sign of an imminent bull market. These signs indicate an increasing adoption of cryptocurrency, and you can capitalize on this trend to earn trading and staking rewards.
It is generally safe to invest during a bull market. However, it is advisable to diversify your holdings and avoid putting all your eggs in one basket, so to speak, by risking everything on a single token.
Altcoin season is an index used to determine whether altcoins are in a bull or bear market. It measures the performance of the top 100 altcoins (by trading volume) relative to Bitcoin. It's officially altcoin season when 75% of the top 100 coins outperform Bitcoin over 90 days.
Crypto bull runs can’t be predicted with 100% accuracy. However, by studying past bull run patterns, analysts can forecast future bull runs to a high degree of accuracy.
- Сrypto Prop CompanyHash Hedge is the first crypto prop company founded in 2023. It is the only proprietary trading firm that provides traders with a choice of over 200 crypto assets to trade with a maximum leverage of up to 100. Every week, we list new assets recently introduced on Tier-1 crypto exchanges. Hash Hedge's mission is to rid traders of trading restrictions that prevent them from reaching their maximum potential. That's why we have no hidden rules, commissions, or restrictions on weekend trading and news trading.
Join our Newsletter
Stay updated with our newsletter!
Read also:
PRODUCT
Payment option
Our Partners
© 2025 HashHedge. All Right Reserved.
All information provided on this website is intended solely for the purpose of learning about trading in the financial markets and in no way constitutes specific investment advice, business advice, analysis of investment opportunities or similar general advice regarding trading in investment instruments.