Welcome to the next four year crypto cycle. Have you heard about the four year cycle from your friends or on crypto discussion boards, and wondered what it’s all about? You probably don’t know which are the right decisions to make. With cryptocurrency it is so easy to mess everything up.
But don’t worry, ypu will know exactly what the four year cycle is, what causes it, and how you can profit massively from it. Rad till the end of this article to find out how bitcoin millionaires made use of the four year cycle to generate their wealth, and how you can replicate their success, as well as where to keep or trade your hard earned coins.
Cycles are everywhere. From our mood to our sleep, from our incomes to our economy, the cyclical and fractal nature of human behaviour surrounds us. The economy goes through a cycle of boom to bust, over and over and over. We’re now witnessing a similar cycle manifesting itself in the cryptocurrency market - it’s the talk of the town, and it’s called “the four year cycle”.
You’ve heard about it, but let’s discuss what it’s really about.
2017 was a wild year - people were becoming bitcoin millionaires left and right, businesses across the globe began accepting bitcoin, bitcoin was on the mainstream news for hours each day, and people were talking about cryptocurrencies all the time. If you were around back then, you would probably know how awesome it felt to be the crypto king at the top of the hype cycle. However, now, everything is different. 2018 has brought about the cryptocurrency bear market, and the hype is all but dead. This may seem random to you, but there are economic and financial principles governing every single move that the crypto market makes.
Firstly, let’s understand a little bit about economics and human behaviour. People are greedy, and people are terrible at predicting the future. This is why when the economy is good and people are getting raises, they start spending a lot more. During 2017, even school teachers were buying three or four houses. Why? Because when you’re making more money, you get arrogant and assume it will last forever. This is exactly what happened in 2017 - crypto investors got complacent and threw all of their money into digital currencies, assuming the hype would last. It didn’t, and everything came crashing down. What’s interesting is how closely the crypto market mirrors traditional markets. The same boom and bust cycle that we saw in 2001, 2008, and many other years is manifesting itself in the crypto markets. With one important exception - the economic cycle is between 10 and 20 years, whereas the crypto market cycle lasts four years. This is where the term “four year cycle” comes from. The crypto market is very young, but we can see this cycle manifest itself if we take a look at historical graphs. Twice before, over a four year period, the crypto market has slowly risen, suddenly boomed, and then suddenly crashed.
Economists and behavioural specialists will tell you one thing - humans act in cycles. History repeats itself, and markets are psychologically tuned to love patterns. The crypto market experienced a massive crash in early 2019, but now, the market is slowly but surely recovering. Crypto veterans know what this means. Experts are suspecting that 2020 will mark the beginning of the next four year cycle. And we see it already happening. In 2017, we know that bitcoin millionaires rode the four year cycle to generate obscene amounts of wealth. However, we also know that the top of each cycle depends on where the cycle starts from. If 2020 indeed marks the beginning of the next cycle, this means that the next boom period will be the biggest and most unprecedented rise in investment history. Looking at the charts, if we assume that each cycle will yield a similar percentage return, then it is clear that by 2022, cryptocurrencies will take over the world. People holding even a tiny amount will be able to retire, and we might even witness the creation of the world’s first crypto trillionaires.
Coincidentally, bitcoin and the four year period are inextricably linked. Bitcoin has the largest cryptocurrency market capitalization, so it affects the total crypto market quite a bit. One of the most important factors affecting bitcoin’s price is the daily inflation. Every day, several new bitcoins are mined and sold immediately by miners, which creates a constant, never-ending sell pressure on the price of bitcoin. However, every four years, during the bitcoin halving, the block inflation gets cut in half. This means that miners who sell bitcoins every day to cover mining costs will now only have half of the original amount of bitcoins daily left to sell. Historically, every bitcoin halving has represented an insane boost in the price of bitcoin.
The next bitcoin halving is in about 100 days, which is in the “rise” phase of the next predicted four year cycle. Is this a mere coincidence, or are the two correlated? Will the halving, combined with the four year cycle, result in an even more explosive upward movement of the cryptocurrency market? We’ll have to find out. All we know is, if the experts are right, and if you buy even a little bit of bitcoin today, you could end up very wealthy or even retired within three years.
Don’t be the guy who sold all his coins at $8, or $300, or even $5,000. Be the guy that rides the four year cycle like a pro, and comes out on top. Be the next crypto king amongst your friends when bitcoin is all over the news.