The most valuable cryptocurrency by market cap has kicked off what appears to be a long-awaited recovery, triggering an outpouring of bullish sentiment among market participants.
One such market player, Ki Yung Ju, founder of CryptoQuant, a leading on-chain analytics platform, took to X on August 25th to share a bullish observation with the cryptocurrency community. The CryptoQuant founder declared that the Bitcoin bear cycle has ended.
According to a chart shared by the analyst showing the Bitcoin bull-bear market cycle indicator, a bullish trend has been in motion for a while. The same indicator also signaled the early bull phase observed in January 2023.
Bitcoin enters a new bull market
As outlined in a recent report from the firm, Bitcoin has surged 24% since August 17, climbing to a high of $80,000, its strongest level since mid-May, after the market interpreted two key developments as strongly bullish.
The U.S. Treasury announced plans to at least double its long-term government bond buybacks to $4 billion per operation starting September 9, while President Trump indicated the U.S. government may be considering Bitcoin purchases.
 
Notably, valuation indicators have shifted higher as CryptoQuant’s Bull Score rose from 30 to 80 within a week, reaching its most bullish reading since early October 2025, when Bitcoin traded near $124,000, with eight of ten metrics now signaling bullish conditions. Spot demand is expanding at its fastest monthly rate since late December, and both spot and futures demand are rising in tandem for the first time since early October 2025.
Analysts describe the move as a potential regime change marking the early stage of a new bull market, with valuation, demand, and liquidity metrics all turning positive. Confirmation would require a daily close above Bitcoin’s 365-day moving average, currently near $83,000.
Meanwhile, near-term risks still remain as traders’ unrealized profit margins have climbed to 20.5%, the highest since June 2025, while large holders realized a record $614 million in profits on August 20. Rising exchange inflows of Bitcoin, Ethereum, and XRP suggest possible short-term selling pressure.
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