- Bitcoin’s price just crossed the 365-day MA, mirroring the trend that signaled the arrival of the 2019 and 2023 bull markets.
- The move supports the strong fundamentals noted by Bitmine Chair Tom Lee.
Fundamentals and technical metrics suggest that Bitcoin (BTC) and the broader crypto market are at the cusp of a bull season. In fact, Bitmine Executive Chairman Thomas “Tom” Lee has boldly claimed that the transition phase began as early as June.
CryptoQuant’s latest readings reinforce this assumption as Bitcoin has reclaimed a level that signaled the entry point of past bull cycles.
Capital Rotation Into Bitcoin and Positively Correlated Crypto Assets
In Bitmine’s latest disclosure, Lee noted that capital rotation from AI to crypto started at the end of the first half of 2026. He also boldly declared that the bearish phase of Bitcoin’s four-year cycle is over, indicating the launchpad for the premier crypto asset and other tokens positively correlated with it.
Lee believes the final quarter of the year will likely add “meaningful upside” to the previous quarter’s gains. It could be fortified by the incoming enforcement of the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act and the Securities and Exchange Commission’s (SEC) Project Crypto.
Meanwhile, Bitcoin’s rise amid the ongoing oil crisis and rising inflation shows that investors are starting to treat it as a safe-haven asset and a digital hedge against geopolitical and economic uncertainty, akin to gold. Despite its long-term potential, though, it remains sensitive to sudden liquidity contractions of broad risk assets in the short term.
A Major Confirmation in the 365-Day MA
CryptoQuant noted in a report on Tuesday that Bitcoin just crossed above its 365-day moving average (MA) at $80.5K. Now, it’s trading in the $86K range.
The onchain data and market analytics platform said the trend reflects the same pattern that served as a harbinger of bull markets in past cycles, particularly in 2019 and 2023. It pointed out that this is the first time BTC has made this move since March 2023.
On top of that, the source revealed that its Bull Score Index and Bull-Bear Market Cycle Indicator have flipped to the early stages of a new bull market since mid-August. Moreover, heavy selling by long-term holders and seven-year-old “OG” coins this year has cleared the heaviest near-term resistance, strengthening the bullish thesis.
Nonetheless, CryptoQuant warned that Bitcoin’s next price action in the $88K-$90K range could make or break its momentum. A definitive move past those numbers will likely confirm a bullish fourth quarter. On the other hand, its failure at that point could drive it down to the well-defined supports at the 200-day and 365-day MAs at $70.6K and $80.4K, respectively.
Disclaimer: The compiled data, analysis, and commentary featured in this article are for informational purposes only. They do not constitute financial advice or a product recommendation from the author or the Blockzeit team.
