American investment firm VanEck stated that Bitcoin may be approaching the final stage of the current downtrend.
In a recent analysis, VanEck noted that Bitcoin's decline from a peak of approximately $125,000 to a level of $60,000 aligns with the traditional cyclical bear phase observed in the post-halving period.
In this context, VanEck points out that signs of exhaustion are appearing in Bitcoin's current bear season, and some metrics are beginning to show positive momentum again.
Impressive Chart in the Company's GEO Indicator!
VanEck analyzed the GEO (Global Liquidity, Ecosystem Leverage, On-Chain Activity) framework it uses to assess the Bitcoin market.
According to the company's analysis, the model consists of three signals, two of which are at neutral levels. The third signal, the ecosystem leverage indicator, is said to show a constructive outlook.
In this context, VanEck stated that these indicators, considered together, signal the formation of cyclical lows in Bitcoin and could serve as a basis for investors to begin gradually increasing their positions.
Not a Passively Bearish Partner!
However, the company notes that it cannot be said with certainty that Bitcoin has reached its bottom.
According to VanEck, Bitcoin is in a traditional bear phase related to its four-year halving cycle. In this context, the company asserts that the sharp decline observed in the current cycle aligns with historical patterns rather than indicating a structural failure in the Bitcoin market.
In conclusion, VanEck added that market cycles are based on past behavior, and there is no guarantee they will repeat in the future in the same way.
*This is not investment advice.
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