- A structure that has been observed in the crypto market can be seen to be repeated, causing 10x gains.
- The present situation is the COVID-crash mood with even better foundations.
- The analysts recommend positioning early, as it may be important before a possible 2025 rally.
Crypto experts are now noting that the current crypto market pattern is similar to what it has been in other bull runs. Merlijn The Trader posted a chart indicating that crypto is positioning to become perhaps the third large break out pattern in the last decade.
According to him, “crypto history rhymes”, and he pointed out the two cases when this setup was seen, which were around 2015 to 2016 and in the years 2019 to 2021. During those times, the crypto market cap was boosted by a factor of 10.
He added that the present cycle of 2023-2025 is exhibiting practically the same outline and there is yet another huge bull run in sight in case history does repeat itself.
Market Behavior and Historical Breakout Zones Since 2016
The chart that Merlijn The Trader published explains the old signs of the breakouts, where there was consolidation of the market followed by an exponential increase. In 2016, the market came out of a narrow range and exploded. The same market trend was also seen between 2019 and 2021 with the exception of the short yet sharp crash due to COVID in early 2020.
Source: Merlijn The Trader on X
In 2025, the pattern is running again as the market is building into a similar shape, pressure is mounting under resistance.
He underlined that such cycles are profitable to the ones that act promptly, warning that traders should either position early or chase the wick. The wick here refers to the long, sharp upward move, which in many cases leaves late entrants on the sidelines.
Crypto Market Structure Stronger Now Compared to Early 2020
Supporting this perspective, Michaël van de Poppe also weighed in, saying that the current market conditions remind him of the panic seen during the COVID-induced crash. He noted that while this current dip isn’t as deep as what happened during the COVID crash, the market is showing familiar signs of uncertainty, with altcoins weakening.
However, he predicted that even a small piece of positive news could cause a sharp market rebound due to how much information and structure are already in place now compared to 2020. He referred to it as the “new normal,” implying that the market may be better positioned to react strongly to any shift in sentiment.