The Bitcoin market is often described as a cycle of 'alternating bull and bear markets,' which means a cycle of rising and falling prices. This cycle is actually similar to traditional financial markets and is driven by a combination of various factors.

A 'bull market' represents market optimism, continuously rising prices, strong investor confidence, and a large influx of capital. A 'bear market,' on the other hand, signifies market pessimism, falling prices, and participants taking a wait-and-see approach or even exiting. Bitcoin's bull-bear cycle occurs roughly every 3 to 4 years and is closely related to the 'halving mechanism.'

Whenever the block reward is halved (meaning the number of bitcoins miners receive is reduced), the market supply decreases. If demand remains steady or even increases, prices may rise, triggering a new bull market. Conversely, when prices become too high and the speculative atmosphere overheats, the bubble may burst, capital begins to withdraw, and the market enters a bear market correction phase.

Additionally, the macroeconomic environment, regulatory policies, technological developments, and media hype also influence market sentiment and the length of the cycles. For example, in some years, the entry of institutional funds or the launch of new applications might extend a bull market, while global economic uncertainty or negative news could accelerate the arrival of a bear market.

Understanding the logic behind these cycles isn't about predicting price movements, but about helping us view the Bitcoin market more rationally. If you intend to explore the crypto world, remember that starting with education and compliance, and choosing a secure platform, is the first step to participation.

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