Lark Davis, an investor and analyst, notes that the current cycle and crypto bull run of Bitcoin have not yet ended.
According to investor and analyst Lark Davis, Bitcoin’s current cycle and crypto bull run are far from being concluded. Many indicators, including RSI, NUPL, MVRV, and Fibonacci retracement, have indicated that there is still potential for substantial growth in this market.
Despite the potential for short-term resistance at approximately $100,000 to test the patience of traders, Davis is confident that the eventual peak of Bitcoin will be located significantly above this level. Traders and investors should anticipate a potential blow-off top in the months ahead as the market approaches the next phase.
Cryptobull Run Is Not Over; Bitcoin’s Peak Is Not Even Close, According to Lark Davis
Bitcoin and the broader cryptocurrency market continue to exhibit robust momentum, suggesting that the crypto bull run is far from reaching its peak despite a significant decline in the broader cryptocurrency market following the December 18 Federal Open Market Committee (FOMC) meeting. This information is attributed to analyst and investor Lark Davis.
As anticipated, the US Federal Reserve reduced its rates by 25 basis points; however, the number of cuts in 2025 was less than expected.
Bitcoin experienced a more than 5% decline and plummeted below $94,000 before exhibiting minimal signs of recovery. Across the board, other altcoins experienced double-digit percentage losses.
Lark Davis, an investor and analyst, emphasized that the market dynamics of December 2020 are reminiscent of Bitcoin’s recent 13% decline, which occurred after a robust Q4 rally.
At that time, Bitcoin experienced a 12% decline following a 77% surge in October and November. However, it quickly rebounded, rising from $17,000 to $41,000 in a mere 23 days, a 136% increase. Davis warns that an additional 10-15% correction is feasible; however, he underscores that Bitcoin and the broader crypto market continue to possess substantial momentum, indicating that the crypto bull market is far from over.
Davis refuted the notion that Bitcoin would reach $100,000 in his most recent podcast and even dismissed the idea that the current cycle is nearing its conclusion.
Davis proposed that Bitcoin has a significant amount of momentum, which could result in new all-time highs that surpass the psychological resistance level of $100,000 by employing a variety of technical indicators and historical patterns.
RSI Indicates Potential for Development
Davis began his analysis by examining the monthly RSI of Bitcoin. Historically, the RSI reached or exceeded 90 when Bitcoin’s cycle peaked. These peaks also occurred with euphoric market conditions and the overall crypto bull run during the 2017 and 2021 cycles.
Bitcoin’s RSI is approximately 75-76, significantly lower than its historical peak values. He stated that this alone could suggest that the market has abundant fuel. Davis observed that the current phase is similar to previous cycles in that initial peaks were followed by more substantial price rallies, and Bitcoin may follow this trend in the months ahead.
The Net Unrealized Profit/Loss chart validates Davis’s optimistic outlook. This metric divides market sentiment into greed, euphoria, and belief zones. The current state of Bitcoin is in the “belief” zone, which is distinct from the “euphoria” zone that is associated with market peaks.
Similarly, the MVRV Z-score is another dependable on-chain indicator that assesses the value of Bitcoin as significantly undervalued in comparison to its previous peaks. Davis predicted a crypto bull run, which would reach the levels of the last cycle’s highs and confirm that the market has not yet peaked.
Psychological Resistance and Fibonacci Levels
Davis identified the 1.618 Fibonacci retracement level as a critical mark in the price action of Bitcoin. Compounded by its psychological significance, the recent resistance at the $100,000 level was precisely on this technical target.
Davis dismissed this as merely the initial stop on Bitcoin’s upward trajectory despite the absence of a crypto bull run. He clarified that whales intentionally place sell orders at round numbers, such as $100,000, which generates temporary resistance while the primary trend remains upward.
The investor proposed that Bitcoin could peak in March or April 2024, potentially reaching $250,000 or even higher, using historical cycles. He relied on chart patterns, such as the decreasing gap in the Pi Cycle Top Indicator, to make his prediction.
In light of the highly unpredictable nature of markets, Davis cautions traders to remain cautious while remaining optimistic, as the cycle is expected to persist into the latter half of 2024. The price of Bitcoin was $96,924 at the time of this writing, a decrease of 1.77%.