KBW Analyst Sees 75% Chance Crypto Cycle Has Turned

A recent report from Keefe, Bruyette & Woods analyst Stephen Glagola suggests that the crypto market cycle has turned. According to the report, there is a 75% probability of this being the case, with Bitcoin serving as a proxy for the broader market.

The previous three bear markets saw an average decline of around 82%. In contrast, Bitcoin's June low came after a relatively shorter and shallower decline. This has led Glagola to believe that the worst of the current downturn may be over.

However, it is essential to note that a renewed drop remains possible despite the recovery. The report highlights that earlier recoveries have failed, leaving room for another reversal in the current rebound.