Bitcoin Rally Could Be Just Beginning as CryptoQuant Analyst Reveals Bullish Signal

Bitcoin could be approaching another major rally as historical holding patterns suggest the cryptocurrency market has room for further growth. According to CryptoQuant analyst Crypto Dan, long-term Bitcoin ownership trends indicate that the strongest phase of the bullish cycle remains ahead.

The analyst identified similarities between current market conditions and previous cycles that produced substantial price increases. His assessment also suggests that limited retail participation could support a longer market recovery.

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CryptoQuant Analyst Identifies Historical Bitcoin Rally Pattern

Crypto Dan highlighted Bitcoin’s Realized Cap UTXO Age Bands chart, which tracks holdings across different periods between 2015 and 2026. The analysis examines Bitcoin held between 18 months and two years, alongside older holdings across the network. Historically, major rallies followed periods when older Bitcoin holdings increased before entering a sustained decline.

During the 2015–2017 cycle, the 18-month to two-year holding band climbed toward 45% before declining significantly. Bitcoin subsequently experienced substantial price appreciation during 2017 as the proportion of these holdings decreased.

A similar pattern emerged during the 2019–2021 cycle, when the same holding band increased above 30%. Its subsequent contraction coincided with Bitcoin’s considerable price gains during the 2020–2021 bull market.

Significantly, the latest chart shows another recovery in older Bitcoin holdings following a prolonged decline from previous highs. The 18-month to two-year band has recovered toward 27%, compared with earlier levels near 16%. Meanwhile, Bitcoin holdings aged between two and three years have increased toward 17%.

Bitcoin’s Strongest Bullish Phase May Remain Ahead

Crypto Dan believes the market has not reached the historical transition associated with Bitcoin’s strongest upward movements. According to the analyst, previous rallies accelerated when the proportion of long-held Bitcoin began declining from elevated levels.

His assessment suggests that this particular signal has not emerged during the current recovery. Additionally, the analyst identified limited retail participation as another factor supporting his positive market outlook.

Many potential investors remain uninterested in cryptocurrencies, while others prefer observing market developments without committing capital. Crypto Dan’s analysis suggests further Bitcoin upside remains possible, although the historical rally signal has not yet appeared.

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