USDtb is a blockchain-based USD stablecoin primarily backed by BlackRock's BUIDL tokenized treasury fund. Learn more here.

 have become a cornerstone of the crypto ecosystem, providing stability in a market known for its volatility. Among recent innovations is USDtb, a new stablecoin from Ethena Labs that leverages BlackRock's tokenized funds to create a reliable digital dollar alternative. 

This article examines USDtb's unique structure, its relationship with Ethena's existing 

 stablecoin and the way it bridges traditional finance with decentralized systems to offer a differentiated risk profile for both retail and institutional users.

 is a blockchain-based USD stablecoin primarily backed by the BlackRock BUIDL tokenized treasury fund. It provides institutional-grade stability with 24/7 accessibility in volatile market conditions.

, USDtb follows a traditional fully-backed stablecoin model in which each token represents one US dollar. This structure ensures value stability and transparency through a direct 1:1 backing relationship.

Eighty percent of USDtb reserves are invested in the BlackRock USD Institutional Digital Liquidity Fund (BUIDL), which holds cash, repurchase agreements and US Treasury instruments. The remaining 2% is held in stablecoins like 

, in order to maintain immediate liquidity during weekends or holidays when traditional treasury markets are closed.

, is known for USDe, its innovative synthetic dollar. The Ethena protocol bridges traditional finance with decentralized systems through sophisticated financial engineering and institutional partnerships.

Generally based on Arthur Hayes's early 2023 "Dust on Crust" blog post, Ethena has quickly established itself as a major player in the stablecoin ecosystem. The protocol employs 

 that pair spot crypto assets with corresponding short positions on derivatives exchanges, enabling impressive revenue while maintaining stability.

The Ethena ecosystem is governed by its native ENA token. With the introduction of USDtb, Ethena expands its offerings to include a fully-backed stablecoin supported by BlackRock's institutional-grade BUIDL fund, thus diversifying its solutions to suit different market conditions and users.

BlackRock's USD Institutional Digital Liquidity Fund (BUIDL) is a tokenized money market fund that invests in dollar-equivalent assets, including cash, US Treasury bonds and repurchase agreements. Developed in partnership with Securitize, a leading 

 tokenization company, BUIDL represents BlackRock's entry into the tokenized treasury space.

BUIDL is cross-chain compatible, operating across multiple blockchains including Ethereum, 

. As the largest tokenized fund of its kind, BUIDL provides institutional-grade backing for USDtb, lending credibility to the stablecoin through BlackRock's established reputation in traditional finance.

USDtb represents Ethena's strategic approach to creating a more resilient ecosystem that can weather various market conditions, while bridging the gap between DeFi innovation and traditional financial systems. Following are some of its characteristics.

USDtb operates as a blockchain-based stablecoin through a sophisticated infrastructure designed for independence, transparency and security. Unlike traditional dollars, USDtb enables faster and cheaper transactions, while maintaining stability through institutional-grade backing.

The minting and redemption process occurs through a 

 system with strict controls. Only verified

 checks can mint or redeem USDtb directly. The system’s safeguards include maximum mint/redeem limits per block and whitelisted custodian addresses to prevent manipulation.

For transparency, USDtb maintains visible on-chain 

 and publishes monthly fund administrator NAV reports. Holders can use USDtb just as any digital dollar for payments, trading or storing value, though they receive no governance rights or claims to income generated by the backing assets.

USDtb offers the following four key benefits that make it a distinctive and valuable addition to the digital asset ecosystem.

USDtb delivers institutional-grade security through its strategic backing by BlackRock's BUIDL fund, which comprises over 80% of its reserves. This partnership leverages BlackRock's trillion-dollar asset management expertise, providing unparalleled stability and trust.

The USDtb stablecoin's sophisticated legal framework features a bankruptcy-remote structure, while its core smart contracts have successfully passed three comprehensive security audits by industry leaders Pashov Audit Group, Quantstamp and Cyfrin.

USDtb creates powerful bridges between traditional finance systems and cryptocurrency markets. For institutions, it serves as a low-friction entry point to digital assets without requiring users to navigate the complexities of volatile cryptocurrencies.

For individual users, USDtb is designed for seamless integration across DeFi protocols, use as collateral on 

 (CEXs) and prime broking venues, and direct accessibility for TradFi institutions — expanding its role within both digital and traditional financial ecosystems.

USDtb combines world-class expertise from multiple industry leaders. Ethena has demonstrated remarkable execution capability by scaling USDe to over $6 billion in market cap, while BlackRock brings unmatched credibility and treasury management expertise.

In addition, Securitize contributes cutting-edge tokenization technology as the recognized leader in converting real-world assets to blockchain tokens, creating a stablecoin with institutional pedigree, which is rarely seen in cryptocurrency markets.

Unlike TradFi systems that are constrained by business hours and settlement windows, USDtb operates continuously on blockchain infrastructure. This enables round-the-clock trading, transfers and redemptions, regardless of traditional market hours.

The strategic 20% stablecoin reserve ensures seamless redemptions, even during weekends or holidays — when treasury markets are closed — thus eliminating cross-border friction and enabling value transfers in minutes (rather than days).

USDtb's forward-looking strategy focuses on expanding its ecosystem presence and institutional adoption throughout 2025. The project aims to establish USDtb as a reliable dollar alternative, with multiple avenues for growth.

Looking toward broader financial applications, Ethena plans to incorporate USDtb into new DeFi offerings, including perpetual swap trading, prediction markets and undercollateralized lending solutions. These expanded use cases aim to increase USDtb utility beyond simple transfers.

USDtb operates as a fully collateralized stablecoin with a straightforward 1:1 peg to the US dollar. Each token is backed by institutional-grade assets, primarily BlackRock's BUIDL treasury fund (80%) and USDC reserves (20%), creating a stable digital dollar alternative.

The token supply expands and contracts, based on market demand, through a controlled minting and redemption process. New USDtb can only be created when onboarded users deposit equivalent value in approved assets, ensuring the backing never falls below 100%.

Distribution follows a hybrid model: initial minting is restricted to KYC-verified participants, but once in circulation, USDtb tokens trade freely across blockchain ecosystems with no transfer restrictions. This approach balances regulatory compliance with the open accessibility expected within 

USDtb is purely a transactional asset, with no governance functions. Holders receive no voting rights, participation in management decisions or claims to revenue generated by the backing assets — keeping the token's purpose clear as a stable medium of exchange and store of value.

Looking to trade USDtb tokens? Bybit now offers the USDtb/USDT Spot trading pair. To get started, you'll first need to create a Bybit account, then fund it with cryptocurrency and navigate to the 

To celebrate this listing, Bybit is launching a 30-day promotional event with a 5% APR on USDtb holdings, as well as a permanent rewards program. Find out more 

Minting/Redeeming USDtb directly requires KYC and onboarding, in addition to following a structured verification process:

: Prospective users must first confirm they’re in a permitted jurisdiction by reviewing the 

: Qualified entities should make contact via this 

 to begin the evaluation process and determine suitability.

: All applicants must complete comprehensive know-your-customer and anti–money laundering verification. This process is thorough, and is designed to meet institutional compliance standards.

: Upon successful verification, users may be onboarded at their discretion, subject to the USDtb Terms and USDtb Mint User Agreement.

: Whitelisted users can then deposit approved assets into the system and receive newly minted USDtb through the secure smart contract infrastructure.

The direct minting process is primarily designed for qualified institutional participants who can meet the regulatory and compliance requirements.

While USDtb offers institutional-grade stability in the stablecoin market, investors should carefully weigh its strengths and risk factors before making investment decisions.

With its institutional backing and integration with Ethena's ecosystem, USDtb shows promise as a stable digital dollar alternative, particularly during market downturns. However, potential investors should 

 and consider their goals before investing, as USDtb is primarily a stability tool, rather than a yield-generating asset.

USDtb merges BlackRock's institutional credibility with blockchain technology's accessibility, creating a powerful bridge between traditional finance and decentralized systems. With its secure backing structure, utility during times of market volatility and an ambitious integration road map, USDtb is positioned to become a significant player in the digital dollar ecosystem.

Intermediate

usdtb.png

USDtb: The Ethena stablecoin backed by BlackRock's digital funds

Stool Prisondente (JAILSTOOL) is a meme coin launched on Solana, which stems from an inside joke within Dave Portnoy's Barstool Sports community.

Meme coins thrive on hype, but few have the backing of an internet icon like Dave Portnoy. Stool Prisondente (JAILSTOOL), a Solana-based token, was born from a joke about Portnoy’s hypothetical imprisonment, and has since become a real, tradable asset. Its rise highlights the ongoing Solana meme coin frenzy — as speculation meets sheer internet absurdity.

But is JAILSTOOL just another flash-in-the-pan meme coin, or could Portnoy’s influence push it toward becoming something bigger? This article will cover everything you need to know, from its origins and market performance to the risks of trading a coin driven entirely by online sentiment.

The Solana meme coin scene is a high-stakes, high-reward battlefield, where new tokens rise and fall within days — sometimes hours. Recent months have been particularly wild:

Unlike many meme coins that pop up without real backing, JAILSTOOL’s so-called Portnoy effect sets it apart.

, a media empire built on sports, pop culture and internet controversy. Portnoy is a polarizing figure, known for his unfiltered takes, viral rants and ability to move markets through sheer personality — whether in stocks or crypto.

During the 2021 crypto bull run, Portnoy dabbled in Bitcoin (BTC), Dogecoin (DOGE) and other speculative assets, often live-streaming his trades to his millions of followers. Though his crypto track record is mixed, his ability to command attention is undeniable.

This influence has played a major role in JAILSTOOL’s rapid rise.

The origin of Stool Prisondente, a meme coin launched on Solana, stems from an inside joke within the Barstool Sports community. Its name references a hypothetical scenario in which Portnoy ends up in prison — a concept that his audience found amusing enough to turn into a cryptocurrency.

The token was minted shortly after Portnoy publicly expressed interest in getting reinvolved with meme coins. Seizing the moment, opportunistic traders launched JAILSTOOL — and, thanks to Portnoy’s implicit endorsement, it quickly gained traction.

Though Stool Prisondente has no fundamental utility, its value lies in community engagement and the ongoing meme-driven trading culture that has defined Solana’s recent market dynamics.

 a fully diluted valuation (FDV) of $9.35 million, with a 24-hour trading volume of $12.45 million. The token hit an all-time high (ATH) of $0.2179 on February 9, 2025, when it reached a peak FDV of over $209 million. However, it has since plunged by over 95%, highlighting the extreme volatility of meme coins, and is currently 17.3% above its ATL of $0.007417 on February 18, 2025. 

The coin has experienced wild price swings typical of meme-driven assets. Early traders saw huge gains, while latecomers have been caught in inevitable sell-offs. This volatility is a feature, not a bug, and is what makes meme coins both exciting and incredibly risky.

 have directly impacted JAILSTOOL’s price movements. His ability to drive engagement and trading volume is reminiscent of Elon Musk’s influence over Dogecoin.

Several of Portnoy’s recent tweets have kept the coin’s momentum alive, with traders hanging onto every word for potential buy or sell signals. However, Portnoy himself has been careful not to overcommit — and therefore, likely to avoid any regulatory scrutiny.

Still, the mere association with Portnoy has been enough to sustain interest, proving once again that in the meme coin market, narrative often outweighs fundamentals.

For all its hype, JAILSTOOL is a high-risk asset, and potential investors should proceed with caution. Here’s why:

In short, investing in JAILSTOOL is more like betting than traditional investing. If you’re in it, you’re speculating on the next viral moment, rather than long-term value.

Stool Prisondente (JAILSTOOL) is a prime example of the modern meme coin era — a joke that turns into a multimillion-dollar token through hype, community engagement and effective influencer backing. Its association with Dave Portnoy has given the meme coin a stronger foothold than most new ones.

For those looking to trade JAILSTOOL, it’s now available on Bybit, where users can access the 

Beginner

jailstool.png

Stool Prisondente (JAILSTOOL): Dave Portnoy–Backed Meme Coin

Canary Capital, led by former Valkyrie co-founder Steven McClurg, has filed with the SEC to launch an ETF tracking Axelar’s AXL token, citing its strong developer team and growing institutional adoption. 

The S&P 500 gained 1.12%, led by materials, consumer discretionary, and industrials, after a one-month auto tariff exemption. Gold dipped 0.1% to $2,913.79, holding above $2,900 amid tariff concerns and ahead of U.S. payroll data. Coindesk Indices, an index measuring broader cryptocurrency market performance was up by 3.42%, with Bitcoin and Ether rising by 4.24% and 2.71%, respectively in the past 24 hours. Trade these markets and more with up to 500x leverage on Bybit MT5 using this 

Today’s top performer is KAITO, which surged nearly 6.51% following the announcement of Kaito AI powering FalconX’s AskFocal to enhance crypto market insights.

Kaito (KAITO), founded in 2022, is an AI-powered crypto search engine that indexes web3 sources beyond traditional search engines. Priced at $1,099/month, it gathers data from platforms like Twitter, Discord, and research papers, using AI to filter noise and assess sentiment. 

, an AI-driven platform helping 80+ funds managing $10B+ navigate crypto markets by analyzing sentiment and filtering data from partners like CoinGecko and Token Terminal.

Check Out the Latest Prices, Charts, and Data of 

Canary Capital, led by former Valkyrie co-founder Steven McClurg, has filed with the SEC to launch an ETF tracking Axelar’s AXL token, citing its strong developer team and growing institutional adoption. Axelar, a cross-chain protocol integrated by J.P. Morgan, Microsoft, Uniswap, and MetaMask, enables secure blockchain interoperability. Former Coinbase legal chief Brian Brooks has joined Axelar’s new Institutional Advisory Board to support regulatory alignment. McClurg believes AXL will become a top-20 token as the market recognizes its potential.

Yesterday, BTC Spot ETFs saw a total net outflow of $6.9M, with no change in GBTC and the entire outflow coming from non-GBTC funds.

, a game server platform, raised $13.5M in funding and is backed by Bitkraft, Solana, and Polygon. Its Beamable Points Program is live, allowing users to earn points for a potential airdrop. The "Day 1 OG Badge" claim ends in 6 hours, so users should quickly create an account, complete tasks, and claim the badge.

3.png

Canary Capital Files for Axelar ETF as Institutional Adoption Grows

Aave's new proposal outlines a major update to its tokenomics, focusing on revenue distribution, risk management, and a buyback initiative.

The S&P 500 dropped 1.22%, with most sectors down except tech, which gained on chipmakers and crypto stocks. Gold rose to $2,918 as US tariffs weakened the USD, fueling safe-haven demand amid recession fears. Coindesk Indices, an index measuring broader cryptocurrency market performance was up by 1.02%, with Bitcoin and Ether rising by 1.02% and 3.20%, respectively in the past 24 hours. Trade these markets and more with up to 500x leverage on Bybit MT5 using this 

Today’s top performer is ADA, which surged nearly 18.4% following major developments, including its inclusion in the U.S. Crypto Strategic Reserve, governance advancements, and staking updates.

Cardano (ADA), founded in 2015 is a third-gen Proof of Stake blockchain designed to address scalability issues. Its five-phase roadmap—Byron (launch), Shelley (decentralization), Goguen (smart contracts), Basho (sidechains), and Voltaire (governance)—aims to make Cardano fully decentralized and self-funded. 

 ADA’s inclusion in the U.S. Crypto Strategic Reserve, an upgraded staking rewards calculator, and IOG’s new documentary on Cardano’s governance. Other key updates include Babel Fees for flexible payments, the 2025+ governance roadmap for on-chain voting, and the launch of the Cardano Development & Ecosystem Cooperative (CDEC) to drive decentralized innovation.

 outlines a major update to its tokenomics, focusing on revenue distribution, risk management, and a buyback initiative. It retains rewards for GHO stakers while introducing “Anti-GHO,” a non-transferable token earned by AAVE and StkBPT stakers. The “Umbrella” safety system is designed to reduce the impact of bank runs and safeguard against bad debt. Additionally, the proposal suggests forming the Aave Finance Committee (AFC) to manage a $1M/week AAVE buyback over six months. With DeFi expanding and Aave leading at $17.5B in total value locked, buybacks are increasingly used to boost investor confidence and ecosystem resilience.

Yesterday, BTC Spot ETFs had a net outflow of $143.5M, with GBTC unchanged and all losses from non-GBTC funds.

 token on Ronin on March 11 after migrating from Avalanche. The 7B supply token will fuel the game's ecosystem, with 50% allocated to community incentives, including airdrops and staking rewards. A community sale via Ronin Launchpad offers FAME at $0.00429 before launch. The game, backed by NBA stars and brands like Gatorade, aims to expand its sports gaming presence.

Aave Proposes Tokenomics Revamp with Safety System, Revenue Redistribution, and Buybacks

Investing

Crypto Investment Guide

Trading

A crypto market cycle determines which phases the asset is in and what you should do next to hedge against the risks. Here's what you need to identify a buying and selling opportunity.

2304-T3242_Bybit_Learn_Market_Cycles_1600x900.png

CleanShot_2023-05-04_at_11.28.14@2x.png

CleanShot_2023-05-04_at_11.28.30@2x.png

Financial markets follow certain patterns and trends. Regardless of the asset class — stocks, bonds or cryptocurrencies — price action depends upon market sentiment, the number of investors who wish to buy or sell the assets and how investors make their investment decisions based on their emotions toward the market.

Due to the unpredictability of markets, it’s difficult to foresee how they’ll act. However, investors may be able to make sense of market fluctuations over time, spot opportunities and make wiser and more informed investment decisions by studying and comprehending past patterns and cycles. 

In this article, we’ll be going through the crypto market cycle to see how an investor can spot investment opportunities during the different phases of the cycle.

Market cycles are particular trends and patterns that are influenced by the psychology of investors as well as the overall state of the economy. As implied by the name, cycles repeat. Every market experiences this occurrence naturally, and the cryptocurrency market is no different. However, compared to the stock market, cycles in crypto can be significantly shorter due to the rapid price movements.

There are four distinct phases in a crypto market cycle: Accumulation, Markup, Distribution and Markdown. Each phase can be differentiated by sentiments of the market participants and the market activity itself. In each cycle, the price of an asset will move from an all-time low to an all-time high, and vice versa.

Broadly speaking, crypto market cycles start with little market interest. As more interest and demand arise, crypto prices begin to increase. At some point, prices reach a peak and start to plateau before starting to drop. The drop occurs when market interest declines and supply outweighs the demand. At the end of each cycle, a new cycle begins.

Bear in mind that projection models for the cryptocurrency market aren’t ideal or deterministic. Furthermore, pinpointing the beginning and end points of a market cycle is extremely challenging. Cryptocurrency market cycles, however, can be utilized by investors as a tool for analysis, or as supplementary information to better understand market dynamics. You may participate in the market more intelligently if you’re aware of the traits of each stage, and how a typical user might approach each of them.

Each market cycle begins with the accumulation phase. It’s sometimes regarded as the conclusion of the previous cycle, because it begins soon after the market experiences a significant crash when prices are at their lowest. There’s decreased overall market interest and lower trading volume, which usually results in a stable market.

 of investment positions are looking to exit their positions and are likely to set their asset prices low to reflect their lack of confidence in the market. At this point, market trailblazers — corporate insiders, value investors, market pioneers, experienced traders and whales — begin to buy again. The general sentiment is that the worst is over, and that they stand a decent chance of making good on any trade. This group of investors believes that the market will rebound soon, and seizes the opportunity to invest. This is also known as “buying the dip.”

At this point it’s unlikely that retail investors will enter the market, as the sentiment is still neutral and there’s no clear trend. However, positive news about the general state of the market can now draw participants' attention, and possibly move the market into the next stage, the markup phase, as 

 begins to transition from negativity to hopeful neutrality.

Characteristics of the accumulation phase are as follows:

During this stage, price action transitions into a consistent upward trend. The market's trend has become clear at this point, and is frequently referred to as the 

Media attention, especially positive headlines surrounding crypto, begins to draw interest to the market while reeling in the majority of early adopters. Skilled investors begin to enter, leveraging on their 

 skills to identify the increasing number of higher lows and higher highs. With the market demand for crypto growing, crypto prices begin to appreciate in value.

Since upward price movement is much easier to spot during the markup phase, it might be a good time for new participants to enter the market. Additionally, many investors view dips or pullbacks during the markup phase as buying opportunities, rather than as warning signs of declining price action.

 kicks in at this point. As a crypto’s price skyrockets, greed is predominant, with common sense and rationality taking a back seat. 

 incentivizes novice investors and newcomers. The entrance of these investors into the market will create a significant uptick in market volume, and market valuations will become excessive. At the same time, experienced traders are beginning to take their profits. 

Prices soon start to level off or slow down. The last wave of investors, typically the undecided, see this as a golden opportunity to buy, jumping in 

. This typically causes crypto prices to skyrocket within a very short period of time. Prices are peaking, and market sentiment has gone from neutral and boring to euphoric.

Characteristics of the markup phase are as follows:

The distribution phase marks the end of the bull run or markup phase. 

Market prices plateau as buyers and sellers in the market are at equilibrium. On the one hand, there are market players still looking to buy because they believe the bull market remains strong. On the opposing side are sellers who want to secure their profits because they think "the best is over." These are typically investors who have purchased crypto at the start of the markup phase or even earlier, and are anticipating the markdown phase, the bear market, to come soon.

Although there’s still a lot of trading during this stage of the market, asset prices typically fluctuate within a specific range as the bulls and bears are in tension. Since it’s uncertain whether the uptrend will continue or if a bear market is on the horizon, this phase may cause overall market sentiment to change from optimism to uncertainty. Analysts frequently use the 

 to measure changes in the general mood of the market.

More negative sentiment, adverse news stories and uncertainty among traders may finally be sufficient to affect prices and trigger a sell-off. At the very least, as uncertainty begins to set in that the bull market might be coming to an end, market fear grows over time.

At the end of this phase, the market will move in the opposite direction. Technical patterns indicating peak pricing — such as double and triple tops, or head and shoulders — are likely to occur in the distribution phase. 

This phase can take weeks to several months (or in some cases, years) as fundamental factors take root. Typically, the higher the extreme highs, the quicker the prices fall. Investors who’ve missed selling earlier at a profit now settle to break even — or take a slight loss. 

Characteristics of the distribution phase are as follows:

The bubble finally collapses during the markdown phase, starting a downward price trend.

For the majority of market participants, the bear market's "markdown period" is the most terrifying. It begins as soon as the supply of crypto in the distribution phase outpaces the demand, and it’s a time when the market is driven by anxiety as the outlook darkens.

Selling pressure increases as participants' fears about the future state of the market grow. In some cases, this cascade effect has the potential to drive asset prices to heights unseen since the markup period. During this phase, there won't be any new capital entering the market or any buying interest. Even positive news may fail to reverse a downward price trend during this time, since investors are taking precautions to limit losses in the challenging market environment.

The markdown phase is psychologically the most challenging one for investors, who are either unaware of the permanence of market cycles or choose to ignore them. They’ll either be stuck with selling too late or not selling at all. Those who don’t sell at all will be holding onto their crypto assets, which might lower their long-term return on investment (ROI).

This phase is, however, a short-seller's paradise, and the markdown phase is the time when they stand to profit from the market decline. 

When the market concludes that "the worst is past" and prices can’t fall any lower than they are, the markdown phase will continue. Asset prices will then stabilize and move within a tighter range.

Some investors will return to the market and purchase assets at "discounted" prices once market conditions have stabilized. This indicates that the price decline phase has ended. Returning investors are also an indication that the accumulation phase has begun again.

Essentially, a market cycle progresses from greed to fear and then back from fear to greed again. Every cryptocurrency market begins at a point of relative starting value that cycles up and down. The greed and euphoria that follow a new crypto asset’s launch move prices upward until uncertainty arises concerning the blockchain’s value, growth or tangible, practical applications. At this point, the market becomes doubtful, causing more and more traders to sell their assets and spurring a downtrend. Once the price falls to a point where potential profits become possible, greed once again takes over, starting a whole new cycle over again. 

Having looked at the main market cycles, here’s a more detailed explanation for understanding and identifying market cycle trends in crypto, using 

Factors That Affect the Crypto Market Cycle

Whether crypto assets are going through a bullish or bearish phase can be strongly influenced by the state of the overall economy, as well as different government policies. Crypto prices may fall if the economy is struggling, and vice versa.

 takes place approximately every four years (after every 210,000 blocks) and reduces by half the rewards that miners receive. At the same time, the amount of new Bitcoin that’s created is limited, reducing the supply of bitcoins that come into circulation.

This reduced supply may drive up the price if demand for Bitcoin remains high. A markup phase has historically 

, making it a significant event to watch. This is yet another effect of Bitcoin correlation. Bitcoin accounts for 48.6% of the total crypto 

 (at the time of writing). As a result, if there are no significant catalysts, the market cycles of smaller crypto assets are probably going to follow that of Bitcoin.

Best Strategy for Investing With the Market Cycle

Understanding each stage of the crypto market cycle will help investors plan their investments for the best possible returns. The best course of action is to invest in crypto assets during their accumulation phase, and then sell them during their distribution phase. Investors can do this to get the best deals on crypto assets, and then sell them at a higher price. Here are some tools that an investor can use to acquire a better understanding of the market cycles.

 can aid in the identification of these market phases by giving information on supply, demand, market psychology and whale activity. 

It's crucial for investors to keep tabs on the sentiment in the cryptocurrency market by following business news and using the Crypto Fear & Greed Index. Lower scores indicate greater fear, and higher numbers indicate greater greed on this scale of 0 to 100. It’s based on variables including market momentum, volatility and social media activity.

The media and word of mouth are reliable sources for determining market sentiment and its tone. It may be a smart idea to sell if everyone in the sector is screaming to purchase with a euphoric tone (markup phase), since this suggests that the market is ready to turn lower once more.

On the other hand, it might be a good choice to buy when the market is entering a capitulation phase and even seasoned traders are considering selling. The rule of thumb is to buy when others are selling and sell when others are feeling euphoric. A quote attributed to Warren Buffett goes like this: "Be fearful when everyone is greedy and be greedy when everyone is fearful."

What Do the Market Cycles in Crypto Tell You?

Grab Up to 5,000 USDT in Rewards

Grab Up to 5,000 USDT in Rewards