Crypto Winter Over: Morgan Stanley Predicts a New Bull Run Triggered by Bitcoin Halving

Crypto News- In a recent and insightful report entitled “Crypto Spring on the Horizon,” the financial wizards at Morgan Stanley’s wealth management division embarked on an exploration of the inherent cyclical nature of the cryptocurrency market, with a particular focus on the paramount significance of Bitcoin’s halving events in shaping the ever-evolving crypto landscape.

Crypto Winter Over: Morgan Stanley Predicts a New Bull Run Triggered by Bitcoin Halving

The esteemed author of this report, none other than Morgan Stanley’s very own analyst, Denny Galindo, ventured to express an optimistic perspective, suggesting that the era often dubbed “crypto winter,” which signifies Bitcoin’s recurring bear-market slumps, might be gradually fading into the past.

To illustrate the market’s natural ebb and flow, Mr. Galindo ingeniously drew a parallel between the cryptocurrency cycle, which spans four years, and the annual changing of seasons. Within this conceptual framework, he deftly identified four distinct phases, each bearing a symbolic resemblance to one of the seasons we experience throughout the year.

As outlined in the report, the “summer” phase commences with the much-anticipated Bitcoin halving event, a momentous occasion where the rate of new Bitcoin creation is halved, thereby introducing a heightened sense of scarcity. Historically, this phase has seen remarkable surges in Bitcoin’s value, driven by the fervent demand stemming from this newly intensified scarcity. It tends to culminate when Bitcoin, in its fervor, surpasses its previous all-time high, triggering a state of euphoria throughout the market.

Following this exhilarating ascent, Bitcoin captures the attention of the media, draws in a multitude of fresh investors, and garners interest from businesses – reminiscent of the excitement and hustle and bustle of the summer season. However, this phase gracefully transitions into a “fall” of sorts, encompassing the span between surpassing the old high and establishing a new peak, ultimately marking the zenith of the bull market.