The post Investment Giant Bitwise Reveals: “Bitcoin Cycles Are No Longer 4 Years, They’re 2 Years” – Here Are the Details appeared on BitcoinEthereumNews.com. Bitwise analyst Jeff Park argued that Bitcoin’s (BTC) historically adopted 4-year halving cycle is now obsolete and the market is transitioning into a new “2-year price cycle” with the transition to the institutional era. According to Park, Bitcoin’s future price movements will no longer be the product of miner economics and supply shocks, but rather ETF-based fund flows and professional investor psychology. Park noted that the old cycle was shaped by miners’ costs and halving-induced supply contractions. He noted that this, combined with media attention, retail investor FOMO, and leveraged bull markets, created a self-perpetuating psychological cycle. However, the analyst argued that this mechanism “belongs to the old Bitcoin,” saying that supply is becoming less of a factor. Therefore, Bitcoin prices are now determined by decisions from a wider range of factors. The new cycle, according to Jeff Park, is driven by performance pressures from fund managers and the structural impact of institutional inflows through ETFs. Park noted that in modern asset management, investors primarily evaluate their returns based on year-end performance, noting that hedge funds and ETF managers often act based on P&L results dated December 31, and that during periods of increased volatility, exiting Bitcoin, the riskiest position, becomes more likely. Therefore, for institutional investors, the inability to maintain returns over time, or even a prolonged period where Bitcoin remains flat, leads to selling pressure. ” ] The analyst emphasizes the importance of capital flow effects on prices and notes that the ETF era has created a new behavioral pattern for Bitcoin. For example, while the majority of capital injected into ETFs in 2024 will be profitable, most funds injected in 2025 will be at a loss, and these fund managers will either have to wait for a larger rally or consider taking a loss to meet their… The post Investment Giant Bitwise Reveals: “Bitcoin Cycles Are No Longer 4 Years, They’re 2 Years” – Here Are the Details appeared on BitcoinEthereumNews.com. Bitwise analyst Jeff Park argued that Bitcoin’s (BTC) historically adopted 4-year halving cycle is now obsolete and the market is transitioning into a new “2-year price cycle” with the transition to the institutional era. According to Park, Bitcoin’s future price movements will no longer be the product of miner economics and supply shocks, but rather ETF-based fund flows and professional investor psychology. Park noted that the old cycle was shaped by miners’ costs and halving-induced supply contractions. He noted that this, combined with media attention, retail investor FOMO, and leveraged bull markets, created a self-perpetuating psychological cycle. However, the analyst argued that this mechanism “belongs to the old Bitcoin,” saying that supply is becoming less of a factor. Therefore, Bitcoin prices are now determined by decisions from a wider range of factors. The new cycle, according to Jeff Park, is driven by performance pressures from fund managers and the structural impact of institutional inflows through ETFs. Park noted that in modern asset management, investors primarily evaluate their returns based on year-end performance, noting that hedge funds and ETF managers often act based on P&L results dated December 31, and that during periods of increased volatility, exiting Bitcoin, the riskiest position, becomes more likely. Therefore, for institutional investors, the inability to maintain returns over time, or even a prolonged period where Bitcoin remains flat, leads to selling pressure. ” ] The analyst emphasizes the importance of capital flow effects on prices and notes that the ETF era has created a new behavioral pattern for Bitcoin. For example, while the majority of capital injected into ETFs in 2024 will be profitable, most funds injected in 2025 will be at a loss, and these fund managers will either have to wait for a larger rally or consider taking a loss to meet their…