Potential for Continued Bitcoin Bull Cycle Depends on Macroeconomic Factors, Says Bitfinex

• Bitfinex’s latest analysis signals a potential continuation of Bitcoin’s current bull cycle, yet the outcome is heavily influenced by macroeconomic stability.

• April 2025 proved significant for Bitcoin, as it recorded a 14.08% monthly gain, surpassing both historical averages and recent performance norms.

• According to Bitfinex, miners are retaining their Bitcoin holdings, reflecting a strong confidence in future price increases despite prevailing volatility.

This article examines Bitcoin’s recent performance and the bullish outlook from Bitfinex, emphasizing key indicators that suggest further price growth.

The Future of Bitcoin: Will the Rally Persist?

In a comprehensive report, Bitfinex analyzed Bitcoin’s strong performance in April, noting a remarkable 14.08% gain for BTC. This figure significantly exceeded its historical average of 13% and median returns of 7.3%. Such results highlight a growing bullish trend in the market.

“April has traditionally been a strong seasonal month for BTC, yet recent trends have shown more subdued performance, making this year’s figures notably distinct,” stated the report.

Bitcoin’s **April Performance**. Source: Bitfinex Alpha Report

Despite a rocky start when President Trump’s tariff announcements led to a sharp decline, dropping as low as **$74,501**, Bitcoin rebounded sharply, demonstrating resilience amid economic volatility.

By mid-April, fueled by depreciation of the dollar and inflationary fears, Bitcoin surged, recovering **32%** to reach local highs of **$97,900**. This recovery not only showcased its enduring market presence but also reignited investor confidence.

Crucially, on-chain data points to a stability in miner reserves, which increased from **1,808,315 BTC** in December 2024 to **1,808,674 BTC** by May 5, indicating a holding trend suggestive of expected price increases.

Miners typically sell portions of their holdings for operational needs. Their recent strategy of holding onto Bitcoin further indicates a belief in the asset’s future appreciation potential. Additionally, the Puell Multiple, which gauges miner revenue relative to historical averages, remains below **2**, further reinforcing the notion that the current price is not at a peak.

Furthermore, Bitfinex noted, “The ongoing holding behavior among miners, despite recent price increases, indicates that Bitcoin could still have considerable upward momentum left.”

While long-term forecasts are optimistic, Bitfinex emphasizes a critical hurdle: reclaiming the **$95,000** price point, which currently functions as a **pivotal support area**.

“The $95,000 level is crucial, acting as the lower boundary of a historical three-month range encompassing market structure from November 2024 to February 2025,” the report elucidates.

Transitioning this level into strong support could signify a shift towards a bullish market trend, setting the stage for potential all-time highs. In contrast, a failure to maintain this level could introduce resistance against future upward movements, signaling possible near-term declines.

“These next few days are pivotal in determining whether the recent momentum leads to a sustained breakout or a regression to lower support levels,” the report advised.

BTC Price Performance. Source: TradingView

As of now, Bitcoin is trading at **$94,236**, reflecting a marginal decline of **0.1%** over the past day, and remains around **13.4%** away from its all-time high. Observers are keenly watching for improvements and potential movements toward this critical gap.

Conclusion

In summary, while Bitfinex’s analysis paints a favorable picture of Bitcoin’s immediate prospects, it underscores the necessity for stability around the **$95,000** price point to maintain a bullish trajectory. Investors should remain vigilant, as the forthcoming days may prove decisive in the ongoing bull cycle.