While many market participants bear a little bit of PTSD when they hear “this time is different”, more traders and analysts are calling for the death of the four-year cycle, and instead are proposing mini-cycles, fueled by high liquidity and low liquidity conditions.
While it’s mostly hypothetical, this theory presents the idea of BTC continuing to trend upwards over time, and while volatility is a guarantee in this asset class, BTC (in theory) would be protected from the usual 70%-80% drawdown we’ve become accustomed to over the last decade. BTC would trend up aggressively during periods of high liquidity and attention, while it would chop downwards in low liquidity environments.
Source: https://thedefiant.io/education/premium-tutorials/liquidity-and-attention-cycles