Bitcoin Price kept steady near the $ 120,000 mark today, but recently fell under this brand of $ 119,768. All this movement is after a fleeting and bullish start to October.
Some analysts point to signs that the market has entered what many describe as the “Euphoria phase” in the current bull cycle.
The Bitcoin award rose more than 30% since the beginning of the year, bent by persistent influx to US-listed Bitcoin-stock-transmitted funds, renewed investor confidence in digital assets and expectations that Federal Reserve will move towards cutting interest rates.
Bitcoin Price touched maps of $ 126,000 earlier this week-the highest ever-ever he ease slightly to $ 120,000- $ 123,000 series in the last few days when dealers digested macroeconomic and on-chain signals.
Bitcoin’s late phase rally
Despite the break, on-chain analysts suggest that the wider uptrend can be far from over. Data frames like Bitcoin “Cycle Master” model indicate that the market is entering a late-phase rally, historically characterized by sharp price acceleration followed by steep corrections.
The model divides Bitcoin’s long-term price range into underrated, fair value and overestimated zones-and currently places the top “overrated” limit around $ 260,000, with a more conservative cycle tip near $ 180,000.
The short-term proprietor market value to realized value (MVRV) ratio-a goal of how much profits recent investors sit on-forces this view. When this metric has historically approached 1.7, Bitcoin has approached its top before major withdrawals.
At the current realized price levels, this ratio would correspond to a Bitcoin price between $ 180,000 and $ 195,000, which suggests space for continued upside before euphoria becomes excess.
Economic conditions affecting Bitcoin
Meanwhile, macro conditions remain mixed. Minutes from the Federal Reserve’s September policy meeting revealed that most officials still see scope for action cuts later in the year even when inflation relates.
The ongoing US government’s shutdown and stronger US dollars have hardened some of the tale of “down -based trade” that previously burned Bitcoin’s rise along with gold.
If the historic pattern applies, Bitcoin’s current Euphoria phase can carry it against $ 180,000- $ 200,000 zone before the mood changes.
Currently, with prices, which are stable around $ 120,000 and volatility compression, the traders close to the next leg is higher – and for the clues as to when excess can be excess.