According to the Economist, Bitcoin's New Age is Beginning: Are Four-Year Cycles Disappearing into History? - Coin Bulletin

Economist and trader Alex Kruger says that Bitcoin (BTC) is showing a positive outlook despite being about 14% below its all-time high.

Kruger notes that Bitcoin still has significant upside potential and is not even close to the peak of the current market cycle.

Kruger, in a podcast interview, says that after the approval of spot Bitcoin exchange-traded funds (ETFs) in January 2024, Bitcoin's traditional four-year cycle could come to an end. Traditionally, these cycles revolve around periods when Bitcoin mining rewards are halved.

Kruger, who says that the impact of ETFs and significant capital flows into these funds make the correlation between Bitcoin and risk markets more sustainable, says that he no longer thinks about a cycle peak. He expresses that ETFs could completely transform the Bitcoin market.

Super Cycle Theory for Bitcoin

Krüger thinks Bitcoin has entered a super cycle. Super cycle implies a dynamic beyond traditional bull and bear markets. According to Krüger, this does not mean that Bitcoin prices will only rise.

"Super cycle signifies a market where corrections are shorter. If stocks and the economy remain in good shape – they generally move in parallel – Bitcoin's declines will be shorter and more limited," says Krüger, anticipating a more stable growth in the market.

Impact of Halving and ETFs

Krüger points out that the impact of the halving on the price of Bitcoin is decreasing and that ETFs are directing the market more strongly. The idea that ETFs can provide liquidity and stability to the market is leading Krüger, like many analysts, to paint a positive long-term picture for Bitcoin.

The economist emphasizes that these changing market conditions indicate that Bitcoin has taken a different path from its previous cycles and offers new opportunities for investors.