What is a Bull Market in Crypto? – Definition for 2025

Even if you’re not an active trader, you’ve likely heard of bull markets. But what is a bull market, exactly? While there isn’t complete agreement on the metrics, a bull market refers to a market in which asset prices rise, fueled by investor optimism. Bull markets are a normal part of the market cycle. However, in crypto, bull markets can be particularly explosive. Early bull runs led to gains of as much as 8,000% for Bitcoin.

In this guide, we’ll explore crypto bull markets in detail, including their history and how to spot the next bull run. Let’s begin with some key takeaways before we explore the bull market definition and characteristics in more detail and contrast it to bear markets.

What is a Bull Market?

The bull market is a period of sustained increase in asset prices, driven by strong investor confidence and buying activity. Rising prices help fuel the rally, and buyers push prices higher as optimism builds. Bull markets typically see notably higher trading volume as previously sidelined investors join the fray. In crypto markets, price moves can be dramatic.

The term originates from the way a bull attacks by thrusting its horns upward. Bull market charts resemble this motion and often exhibit similar ferocity. This contrasts with a bear market, where prices tend to fall, mimicking a bear’s swiping motion downward with its paws.

However, understanding the bull market meaning is not enough to take full advantage of its opportunities. A Bull market definition is one thing, while recognizing its distinct characteristics is what gives you the tools to capitalize on market trends. Bull markets don’t last forever, and understanding the details of a bull and a bear market can be key to maximizing profits in crypto.

Characteristics of Crypto Bull Markets

Crypto markets see the same trading cycles as stocks, but turn the volatility up to 11. Bullish markets often follow a period of consolidation, building into parabolic movements and economic growth that would make traditional financial market and stock market traders envious. However, this isn’t true for all cryptocurrencies, and the timing of moves generally follows a distinct pattern: Bitcoin first, then altcoins (other cryptocurrencies).

Typical Market Behavior and Investor Sentiment

During a crypto bull market, the overall market behavior is marked by a strong upward price trend, often accompanied by high volatility and increasing trading volume.

Investors generally feel optimistic, believing that prices will continue to rise. This optimism can create a feedback loop. Increased buying activity drives prices higher, attracting even more investors and further fueling the rally. Fear of missing out (FOMO) brings sidelined buyers back into the market and attracts new investors.

The crypto market bull phase is often characterized by:

• Rapid and substantial price increases
• High trading volumes
• Increased media attention and public interest
• A sense of FOMO (fear of missing out) among investors

What Sets Crypto Bull Markets Apart

Crypto bull markets are known for their explosive gains in short periods. Gains can far outpace those seen in traditional markets. Let’s explore some factors that help drive gains in crypto bull runs.

• 24/7 Trading: Unlike traditional markets, crypto markets operate around the clock. While volume dips outside of business hours in the US, crypto markets never sleep.
• High Volatility: Cryptocurrencies are notoriously volatile, with price swings of 10% or more in a single day not uncommon.
• Comparatively Low Liquidity: Although the crypto market capitalization has grown to more than $3 trillion, this still pales in comparison to traditional financial markets, such as stock markets. Lower liquidity can lead to dramatic price movements.
• Leverage: Borrowing to trade is much more common in crypto than in stocks, for example, amplifying price movements.

Influence of Bitcoin on Altcoins

The historical performance of Bitcoin often sets the tone for the broader crypto market, with other assets moving in sync. However, specific patterns tied to the Bitcoin halving cycle help drive crypto bull runs.

As past performance tells us, during a bull market, Bitcoin’s price performance can have a significant influence on altcoins. Here’s how:

• Leadership Role: Bitcoin often leads the market, with its price movements preceding those of altcoins. When Bitcoin is in a bull run, it tends to lift the entire market, including altcoins.
• Bitcoin Halving: Bitcoin halves its mining subsidy every 210,000 blocks (about 4 years). Crypto bull markets often happen around the halving event, as demand slowly increases.
• Altcoin Seasons: After Bitcoin dominance (market share) peaks, buyers already profiting from Bitcoin look for higher-risk, higher-reward opportunities in altcoins.

Indicators of a Bull Market

Recognizing the early signs of a bull market can help investors get in on the action before prices skyrocket. Potential indicators include the following.

• Increasing Trading Volumes: Following a bear market bottom, volume typically wanes. Watch for an uptick in volume that suggests accumulation.

• Price Breaking Above Resistance Levels: Later in the bull run part of the cycle, trend lines tell a story. Watch for prices to break resistance levels and look for bullish crossovers in the 50-day and 200-day moving averages.
• Positive News Cycle: News coverage often changes as bull markets emerge.
• Increasing Bitcoin Dominance: Bitcoin’s market share typically climbs at the beginning of a new bull market.
• Increased Optimism: Tools like the crypto fear and greed index measure market sentiment using social media, news, and other metrics.

How to Invest in a Bull Market

Investing in a bull market can be exciting and profitable, but it’s essential to have a strategy to maximize gains and manage risks. Here we list a couple of crypto bull market strategies that will help you make the right decision about your digital assets. While not necessarily different from traditional finance moves, there are nevertheless some specifics about crypto to keep an eye on when crypto bull markets happen.

Crypto’s volatility can make it difficult to know if a bullish market rally has legs or if it will be short-lived before a bear market makes a comeback. To take a position while managing risk, you can consider several strategies.

• Buy and Hold: This strategy involves purchasing and holding cryptocurrencies for an extended period. Buyers who bought BTC in 2023 after the bear market bottom enjoyed significant profits by early 2024, with BTC’s price doubling again by early 2025.

• Dollar-Cost Averaging (DCA): Dollar-cost-averaging refers to investing a fixed amount of money at regular intervals, such as $20 weekly or $100 monthly. This strategy can reduce the effects of volatility and automatically optimizes purchases for temporary market dips.
• Swing Trading: If you’re handy with charts and indicators, you can capture gains from short-term volatility by swing trading as short-term trends change. This strategy requires more active management and skills with technical indicators, but can be profitable during a bull market. Some crypto investors swing trade a portion of their position, holding the remainder for long-term gains. Crypto indicators like Parabolic SAR and Moving Average Convergence Divergence (MACD) can help identify short-term trend changes.

Timing: When to Sell and When to Hold

Active traders watch the market closely. But if you’re investing long-term, how do you know when, expecting a bear market, to sell versus when to keep holding your position?

• Hold: Consider holding your investments during a bull market if you believe the trend will continue. Watch the 50-day and 200-day moving averages to confirm the trend is still bullish. You can also consider using a trailing stop-loss order to protect against sudden reversals. The longer you hold, the greater the risk, so weigh this carefully against your risk appetite.
• Sell: Look for signs of a market top, such as decreasing trading volumes, price failing to make new highs, or a shift in market sentiment. You can also use a DCA strategy to exit your position. This eliminates the need to time your exit perfectly. Instead, you exit the position gradually, locking in profits before a bear market nullifies them.

Biggest Crypto Bull Runs

The crypto market has seen several significant bull runs since Bitcoin launched in 2009. Many early investors enjoyed stunning returns. Let’s revisit some of the biggest bull runs that helped make cryptocurrencies like Bitcoin a household term.

2013 Bull Run

The 2013 crypto bull run marked one of crypto history’s most memorable. Bitcoin, the dominant cryptocurrency at the time, rose from around $13 in January to an all-time high of $1,150 by December. This surge represented more than an 8,600% gain in just 12 months, attracting widespread media attention and piquing interest in the crypto space. Although the 2013 rally represented the most significant percentage gain, it now looks like a small increase relative to future rallies on the chart.

2017 Bull Run

Ethereum launched in 2015, helping to fuel the 2017 bull market in crypto as a wave of ERC-20 tokens gave investors more choices. Bitcoin kicked off the rally, rising from about $1,000 at the start of the year, later reaching an all-time high of nearly $20,000 in December. This 1,900% gain solidified Bitcoin in the mainstream consciousness. However, Ethereum rose from $8 at the beginning of the year to nearly $800 at its peak, a nearly 10,000% increase. Other altcoins, such as Litecoin, Ripple, and NEO, also experienced massive gains, with some smaller altcoins seeing increases of 10,000% or more.

2020–2021 Bull Run

The most recent significant bull run occurred between 2020 and 2021, driven in part by the money supply expansion due to COVID-19 stimulus packages.

Bitcoin began the rally around $10,000 in September 2020 and reached an all-time high of nearly $70,000 by November 2021, marking a 600% increase. Ethereum surged from around $130 at the start of 2020 to over $4,800 at its peak in November 2021, a 3,592% gain. Other altcoins, including Binance Coin, Cardano, and Solana, also experienced substantial price increases, with some smaller altcoins achieving gains of 5,000% or more.

Although some crypto assets outperformed Bitcoin in bull markets following the 2013 bull run, Bitcoin sparked the rally.

The Difference Between a Bull and Bear Markets

Are we in a bull or bear market is probably the first question that comes to mind when choosing the right investment strategy. Understanding the distinctions between bull and bear markets helps investors plan their entry and exit points. Let’s briefly compare these two key stages of the market cycle.

• Price Action and Sentiment: Bull markets are characterized by rising prices and optimistic sentiment, while a bear market sees falling prices and pessimism.
• Market Dynamics: Bull markets experience high demand and liquidity, whereas bear markets face low demand and decreasing liquidity.
• Investment Strategies: In bull markets, effective strategies include buy and hold, swing trading, and dollar-cost averaging (DCA). For bear markets, consider short selling, hedging, and using DCA to buy the dip. Notably, the high volatility in both market types presents swing trading opportunities.

Learn more about bear markets in our bear market guide for 2025.

Conclusion

Crypto bull markets can provide outstanding profit opportunities through buy-and-hold strategies or swing trades that leverage the market’s volatility. However, it’s also essential to plan an exit strategy to avoid losing bull market gains as the market cycle changes the trend and bear market sentiment takes over.

Watch the Bitcoin market for clues that indicate a bull market is forming. Other key characteristics include high volatility, increasing liquidity, and market optimism. Many crypto investors buy with a decades-long investment horizon, but it may be prudent to sell part of your holdings during the bull market so you can buy back at a lower price when the bear markets return.

While we can’t give you investment advice, we hope to have given you enough information on crypto bull market strategies to help you make profitable financial decisions and maximize the worth of your crypto assets.

References

1. Crypto Fear and Greed Index (Alternative)
2. Cryptocurrency Prices by Market Cap (Coin Gecko)
3. Bitcoin Whitepaper (Bitcoin.org)
4. Dollar Cost Averaging (U.S. Securities and Exchange Commission)
5. 2013 to 2017: Comparing Bitcoin’s Biggest Price Rallies (CoinDesk)
6. Frontier (Ethereum.org)

FAQs

What is a bull market in crypto?

A crypto bull market is characterized by a sustained increase in asset prices, driven by strong investor confidence and high trading volumes. It typically involves rapid and substantial price increases, high volatility, and a sense of buying urgency among investors. It is the opposite of a bear market.

Are we in a bull market?

To determine if the current market is a bull market, look for signs such as significant price increases from recent lows, optimistic market sentiment, consistently building trading volumes, and key cryptocurrencies trading above their 200-day moving averages.

How long does a crypto bull market last?

The duration of a crypto bull market can vary widely, lasting from several months to more than a year, but eventually, bear markets always return.

What triggers a bull market in crypto?

Several factors can trigger a crypto bull market, including Bitcoin halving events, increasing institutional investment, positive regulatory developments, and growing mainstream adoption. This is the opposite to a bear market.

Should I invest during a bull market?

Investing during a bull market can be profitable, but it’s essential to have a strategy. Consider strategies like buy and hold, swing trading, or dollar-cost averaging (DCA) to capitalize on the upward trend. Always plan your exit strategy to secure profits before a new period of bear markets.

Why you can trust 99Bitcoins

10+ Years

Established in 2013, 99Bitcoin’s team members have been crypto experts since Bitcoin’s Early days.

90hr+

Weekly Research

100k+

Monthly readers

50+

Expert contributors

2000+

Crypto Projects Reviewed

Read more

Jose Aquino

Editor

Jose Rafael Aquino is a Filipino writer and entrepreneur that specializes in finance, technology, cryptocurrency, and sports. Versed in the startup tech space, he has written for websites such as The GUIDON, TradingPlatforms, StockApps, and BuyShares. Read More

Read Jose Aquino Articles