Bitcoin (BTC USD) is again in the spotlight as it enters what analysts call the “Optimism Stage”, a critical phase in its market cycle.
CryptoQuant data shows that Bitcoin’s Fear and Greed Index has moved into optimistic territory.
In the past, this position has given rise to major price movements for the coin.
According to market data, Bitcoin’s price was trading at around $88,677.11 at the time of writing.
Investors are speculating whether the current momentum could push the coin toward the highly anticipated $100,000 milestone.
The Optimism and Euphoria Stage of the BTC Price Cycle
It is important to state that market sentiment plays an important role in Bitcoin’s price trends.
Based on the CryptoQuant chart shared on X, two key emotional stages have historically influenced Bitcoin’s rallying direction.
There is the ‘Optimism Stage,’ which reveals growing confidence among investors, and the Euphoria Stage.
Here, sentiment coincides with market peaks and subsequent corrections.
The last time Bitcoin (BTC USD) entered the Euphoria Stage was in late 2024 when it reached an all-time high of nearly $108,786.
Shortly after, the coin saw a sharp price decline. According to market data, Bitcoin is again in an Optimism Stage as of this publication.
Historically, this phase has often preceded strong rallies in past cycles.
While optimism alone does not guarantee an immediate price increase, historical patterns suggest that Bitcoin could soon be gearing up for a breakout.
If the optimism is sustained, BTC price may surpass the $100,000 milestone soon
BTC USD Historical Trend for March
Bitcoin’s performance in March has been mixed over the years, with significant gains and sharp declines.
For example, the most notable increase occurred in March 2013. BTC’s price skyrocketed by 188% at the time, a record that remains unmatched.
However, in March 2018, Bitcoin experienced its worst monthly drop for this period, declining by 35%.
More recent trends have been more favorable. For example, in 2021, Bitcoin climbed 30% in March.
It bounced back from its 24% drop in March 2020 during the market crash caused by the COVID-19 pandemic.
Similarly, the token continued its upward momentum with a 16% gain in March 2022 and a 23% increase in March 2023.
Bitcoin has gained 5% this month, fueling optimism that further growth could be on the horizon.
These historical trends and data point to one thing. If Bitcoin continues to remain in the optimism stage, then a strong rally for the coin is unavoidable.
The market has been positive even though BTC has shown volatility in the last 24 hours.
Potential Impact of Bitcoin Reserve
Since the beginning of 2025, institutional and government policies have significantly shaped Bitcoin’s price movement.
For example, President Donald Trump announced last week plans to create a U.S. Crypto Strategic Reserve.
This initiative plans to include Bitcoin, Ethereum, Ripple, Solana, and Cardano in the reserve.
Following the announcement, the market reacted with an initial price surge for these cryptocurrencies, followed by corrections.
Investors and analysts closely monitor how this proposal unfolds and whether it will lead to long-term growth in the sector.
Meanwhile, some U.S. states have submitted proposals to add Bitcoin to their Treasury reserves.
It reflects a growing trend of government and institutional adoption.
Bitcoin could see increased demand if these policies gain traction, driving potential price growth.
With market conditions pointing to possible gains, investors are watching closely to see if Bitcoin will break past $100,000 in the coming months.
Source: https://www.thecoinrepublic.com/2025/03/08/bitcoin-btc-usd-enters-optimism-stage-100k-ahead/