Fidelity Warns Recent Bitcoin Rally May Not Signal End of Bear Market

Fidelity has warned that despite Bitcoin's strong monthly gain in August, the bear market may not be over. The company said that the advance could represent either a sustained recovery or a temporary move within a continuing bear market.

The strongest monthly gain for Bitcoin since November 2024 was recorded during August, with a 25% increase in just one week. Ethereum rose 34.1%, while Solana advanced 28%. Fidelity noted that these gains followed relatively subdued market activity from June to mid-August.

Some investors are watching November 2026 as a possible market-bottom period based on Bitcoin's historical four-year cycle. However, Fidelity stressed that historical cycles have never followed precise four-year schedules and cannot reliably identify market turning points.