Bitcoin (BTC) Surges 5%, Crosses $111K as Bulls Regain Control

• Bitcoin surged above $111,000 as traders regained confidence and risk appetite returned to the crypto market.
• Analysts predict the bull run may be nearing its peak, though some expect another upward leg if reaccumulation continues.

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Bitcoin has recovered significant ground above the $110,000 mark on Monday, rising by more than 5% as confidence in the crypto market returned. The recovery came after an 18% correction earlier this month, which had raised fears of a deeper downturn.

According to our data, Bitcoin gained 4.62% in the last 24 hours to trade at $111,123, which is a strong bounce back after spending almost a week below the level. Other major tokens then did the same, BNB and XRP increased by about 6% and Solana increased almost 5%.

Analysts Warn Cycle Top Nears as Reaccumulation Persists

While the recovery of Bitcoin has been optimism-inducing, some analysts believe the rally could be nearing its end. Cryptoanalyst CryptoBird said the current bull cycle is “99.3% finished” and, according to historical timing, a market peak should be reached within the next 10 days.

According to the analyst, Bitcoin is now 1,058 days away from its last cycle low, which is very close to the length of previous cycles. He added that the current pullback was part of a “classic pre-peak pattern,” in which weaker investors are shaken out before a final price surge.

Joao Wedson, another market analyst, predicted Bitcoin’s price would hit between $143,700 and $146,300 before the current cycle is over. His projection is based on how the asset has performed after halving events and the cycle behavior in the past.

Wedson said that Bitcoin is in a reaccumulation phase, pointing to a possible return to a leg up. “The $146,000 cycle top prediction is still valid as long as Bitcoin consolidates instead of distributing,” he said, suggesting that large holders have not yet started significant selling.

However, if the market is in distribution, Wedson warned the top could already have been passed at $126,000. Analysts continue to debate whether or not the latest correction in Bitcoin is a mid-cycle pause or the start of a larger reversal.

“Uptober” Faces a Challenge Amid Volatility

Despite the recent rebound, October has not lived up to the bullishness of Bitcoin. Traditionally known as “Uptober” for its robust performance history, the cryptocurrency is down 6.23% thus far this month, based on CryptoRank data.

In the last 14 years, Bitcoin has averaged a gain of 13.7% in October and has had six straight years of positive gains since 2019. Bitcoin increased 40% in the month of 2023. Analysts say the early slump this year is not necessarily the end of the pattern, but the market still has time to recover before the month-end.

Crypto market commentator Ted Pillows pointed out a rising Coinbase premium, which is an indicator of increased demand for Bitcoins on the US market. Positive premiums are usually associated with more institutional accumulation. Pillows said, “Institutional investors seem to be quietly stepping back again.”

Coinbase Bitcoin Premium Index | Source: TedPillows

Adding to the optimism, MicroStrategy CEO Michael Saylor gave a clue that his firm might increase its massive Bitcoin holdings, currently valued at 820,000 BTC, worth about $69 billion. Saylor’s past accumulation moves have often preceded strong upward price movement.

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