Bitcoin's recent rebound may be more than just a short-term bounce. According to CryptoQuant, the asset could extend its July gains as it has historically done during bear market cycles.
The report highlights that July is one of Bitcoin's strongest months, with past rallies including 20% in 2018 and 17% in 2022. The current reading suggests that Bitcoin entering July 'fresh off a bear-market low' sets the stage for further upside.
Improving demand and easing US selling pressure also point to stronger short-term momentum. CryptoQuant notes that the 30-day change in total Bitcoin demand has recovered toward neutral, with speculative futures demand turning slightly positive while spot market selling slowed significantly.
However, despite these improving indicators, bearish conditions persist. The Bull Score Index remains well below bull market territory, indicating that a sustainable rally and true bull-market regime would require the score to climb back above 60.