Crypto Market Cycle Slows – Market Data Reveals Flattening Uptrend

Crypto's Bull Run Hits Speed Bump as Momentum Cools

Market data signals a notable deceleration in the crypto rally—what traders are calling a 'flattening uptrend.' While the broader trajectory remains positive, the pace has clearly moderated.

Key Metrics Show Cooling Temperatures

Volume, volatility, and momentum indicators all point toward a market catching its breath. It’s not a reversal—just a slower climb. Think consolidation, not correction.

Institutional Players Stay Cautious

Big money isn’t panic-selling, but it’s not FOMO-ing in either. The smart money waits for clearer signals—or a juicier dip.

Retail Sentiment Shifts from Greed to Patience

Social volume and search interest suggest retail traders are stepping back, not stepping out. A little skepticism never hurt a bull market—it might even keep it alive longer.

Where’s the Next Catalyst?

Without a fresh narrative or a macro spark, the market may drift sideways. But let’s be real—when has crypto ever stayed quiet for long?

So the uptrend isn’t dead—it’s just taking a coffee break. And if history’s any guide, the next leg up might be brewing right now. After all, in a world where 'financial innovation' often means 'new ways to lose money,' crypto’s still one of the few games in town worth watching.

Why is the crypto market cycle slowing? Analysts point to new dynamics — from the rise of spot ETFs to growing institutional participation — as potential drivers reshaping how this cycle unfolds.

Why The Crypto Market Cycle Is Slowing Down

According to CryptoQuant analyst Dan, the slowdown in the current crypto cycle is closely tied to structural shifts in the market. One of the main reasons is the introduction of spot ETFs, which have changed how capital flows into Bitcoin. The involvement of large institutions and even some nations has further altered the rhythm, extending the length of the cycle compared to previous ones. These developments have created a more mature, but slower-moving, market environment.

Another factor is the way capital rotation affects momentum. In this cycle, whenever funds begin to FLOW heavily into altcoins, Bitcoin’s upward momentum tends to stall. This pattern has repeated multiple times, highlighting how diversification across assets has a dampening effect on the speed of Bitcoin’s rallies. Unlike the 2023–2024 period, when Bitcoin’s dominance was clear, today’s market is showing gradual but steady capital migration into altcoins.

Looking ahead, the macro backdrop also plays a key role. A rate cut expected in September, coupled with the potential approval of spot ETFs for altcoins in October, sets the stage for renewed Optimism into fall and winter 2025. From a cycle perspective, current consolidation and any further corrections could present attractive entry opportunities for investors positioning for the next leg higher.

Bulls Struggle To Hold $110K As Volatility Rises

Bitcoin is trading NEAR $110,000 after retreating sharply from its August peak around $123,200, with the daily chart showing a decisive shift in momentum. Price action has carved out a series of lower highs and lower lows, underlining the selling pressure that has weighed on the market since mid-August.

The chart highlights that BTC is now sitting just above the 100-day moving average at $111,700, with the 50-day moving average at $116,500 acting as a ceiling in recent sessions. As long as bitcoin remains below this zone, recovery attempts are likely to be capped by resistance.

The $110,000 level is proving to be a critical area of support. A confirmed breakdown here could expose BTC to further losses toward $106,000–$108,000, while the 200-day moving average near $101,100 remains a last line of defense for the broader trend.

Reclaiming $115,000 WOULD be the first meaningful step toward regaining control. Only then could Bitcoin make another attempt to challenge the $120,000–$123,000 range. For now, however, the market remains under pressure, and whether BTC can hold $110K will likely define the short-term outlook.

Featured image from Dall-E, chart from TradingView