Bitcoin Bull Signal Emerges Amidst ETF Frenzy

The recent Bitcoin bear market saw a drawdown of about 55%, which is milder than the 70-80% crashes seen in past cycles. Analysts attribute this to the emergence of exchange-traded funds (ETFs), institutional investors, and Bitcoin's growing market size.

The cost basis crossover between short-term and long-term holders has appeared for the fifth time in Bitcoin's history, a pattern some call a bull market signal. This crossover has historically marked a turning point, with rising costs indicating increased buying pressure from longer-term holders.

ETFs have attracted significant inflows, with spot Bitcoin ETFs pulling in $2.06 billion over three trading days last week. The largest single-day total was $999 million on September 21, the biggest one-day total of 2026 so far.