Lark Davis is pushing back against the growing sentiment that the crypto bull market has peaked. While some traders are convinced it’s time to pack up and wait for the next cycle, Davis argues that the biggest moves are still ahead. Here’s why he believes the bull market is far from over.
1. Bitcoin’s Cycle Still Has Room to Run
Key Highlights:
- Despite recent market downturns, Bitcoin remains mid-cycle based on multiple on-chain and technical indicators.
- Previous bull cycles didn’t peak until Bitcoin dominance started to decline. Right now, Bitcoin dominance is still rising, signaling we haven’t reached mass euphoria.
- Historically, the crypto market tops when retail investors flood into altcoins, which hasn't happened yet.
2. Liquidity & Macro Factors Support Further Growth
Key Highlights:
- M2 Money Supply Expansion: Analysts predict the M2 supply will continue increasing into early 2026. Historically, more liquidity fuels risk asset rallies, including crypto.
- Rate Cuts Incoming: The Fed is expected to pivot toward interest rate cuts, reducing borrowing costs and increasing liquidity.
- Weaker Dollar Ahead: A declining U.S. dollar boosts Bitcoin and other risk assets, reinforcing bullish momentum.
3. The Four-Year Cycle Theory Aligns with Late 2025 Top
Key Highlights:
- The historical four-year cycle suggests a Bitcoin peak around October 2025, aligning with the expected vote on the Bitcoin Strategic Reserve Bill in Congress.
- If history repeats, the crypto market may not top until Q4 2025, with a major local top potentially in March/April 2025.
- The Pi Cycle Top Indicator also points to a late 2025 peak.
4. Global Adoption & Policy Shifts
Key Highlights:
- China’s Crypto Unban Rumors: Speculation is growing that China may reverse its crypto ban, following Russia’s pro-crypto stance and the U.S. embracing digital assets.
- India & Japan Changing Stance: India is reportedly reconsidering its restrictive crypto policies, while Japan is easing crypto taxation and allowing ETFs.
- Trump’s Crypto Push: Trump’s campaign is focusing on making the U.S. a global crypto leader, with influential voices like David Sacks advocating for strong pro-crypto policies.
5. Market Volatility is Normal – Smart Investors Take Profits
Key Highlights:
- The recent liquidation event was likely a bear trap, not a sign of a market top.
- While volatility will continue, Davis warns traders to take profits consistently rather than riding their bags into the next bear market.
- Altcoins, especially AI and meme coins, are highly reflexive – they pump hard but also crash hard in bear markets.
Final Take
Lark Davis remains bullish on crypto, believing the best days of the bull market are ahead. Liquidity expansion, rate cuts, historical cycle patterns, and global policy shifts are all lining up for a major rally into late 2025. However, he reminds investors to stay disciplined and take profits, because when the bear market finally arrives, it will be brutal.
🚀 The bull market is not over – get ready for the next leg up!
