Bitcoin climbed approximately 3.8% to $84,256, according to CoinMetrics data, after touching an intraday high of $85,229 earlier in the session — its strongest level since late January. Investors are now weighing whether the prolonged slump in digital asset prices, commonly referred to as the crypto winter, has run its course. That downturn began after Bitcoin reached an all-time high above $126,000 in October 2025.
"I do believe it's over, and this is crypto spring, with the crocuses blooming," said Matt Hougan, Chief Investment Officer at Bitwise, on Monday. "I think this will actually be the strongest and longest-lasting bull market in crypto history." While Bitcoin remains in negative territory for the year, it has climbed more than 7% over the past five days and nearly 35% over the last three months — though it still sits well below its record peak.
Hougan pointed out that despite the extended market downturn, the "fundamentals have risen" for cryptocurrency, citing increased blockchain transaction activity and growing participation from major institutions like BlackRock. "So we've had this unusual situation: prices cyclically declining while fundamentals improve over the long term. Now I suspect prices will catch up before the end of the year," he said. "I don't think when I look back next year, we'll still be below those all-time highs."
Analysts at BTIG noted in a Sunday report that as long as Bitcoin holds the $75,000 support level, "the bulls can target a breakout above $82,000, and then move toward $90,000."
This rally comes as the U.S. Senate last week blocked the advancement of the Clarity Act — legislation that would have established a regulatory framework for cryptocurrency in America and divided industry oversight between the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). Additional American regulation, such as the Genius Act passed last year, has supported crypto prices. However, Hougan suggested that the Clarity Act's failure could still push prices higher, since the SEC and CFTC will now craft the rules themselves.
"This is the most crypto-friendly SEC in American history; this is the most crypto-friendly CFTC in American history. So ironically, without the Clarity Act passing, we may actually have stronger pro-crypto regulation," Hougan said. The Bitwise investment chief also noted that investors are rotating back into cryptocurrency from AI stocks, adding that the AI boom "sucked all the oxygen out of the room. Every momentum-driven investor was focused on it. Now that's somewhat plateaued, and you're seeing those funds rotate back into crypto."
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