Odaily Planet Daily reported that the Federal Reserve's interest rate cut last week was seen as an important positive factor driving the rise of Bitcoin, but the market did not rise as a result, which suggests that the Bitcoin bull market cycle may be nearing its end.

Joao Wedson, founder of Alphractal, wrote on X on Monday: "Bitcoin is showing signs of cycle exhaustion, but few are paying attention." Multiple online signals suggest that Bitcoin's rally may have lost momentum. Bitcoin's Spent Output Profitability Ratio (SOPR), a metric that measures the overall profitability of all spent Bitcoin transactions on the blockchain, indicates declining profitability, increasing the likelihood of a deeper correction. The Sharpe ratio is below 2024 levels, indicating a reduction in risk-reward and profit potential.

Wedson added: “This won’t attract the massive institutional investors that most people think it will. Even if Bitcoin hits new highs, profitability will remain low and the real focus will shift to altcoins.” (Cointelegraph)