A bull run is a market period characterised by a positive (or bullish) trend, i.e. a phase in which there is a general rise in prices. Bull runs can, over the long term, turn into bull markets, a market condition that spans several months or entire years.
The term ‘bull’ is associated with a bullish trend in financial markets because, when a bull attacks, it raises its horns from the bottom upwards. Metaphorically, this symbolises rising prices in a chart.
To know whether we are in a bull run, it is usually useful to use the technical analysis tools at our disposal.
Bullish phases of the market are generally characterised by higher trading volumes, i.e. an increase in the number of purchases and sales, and, above all, by supports and resistances at increasingly higher price levels.
Moreover, bull runs are generally associated with positive and optimistic sentiment: investors are more inclined to enter the market, making purchases. In the crypto world, enthusiasm also leads to the emergence of numerous initiatives and projects based on blockchain technologies.
Some models, such as stock-to-flow, relate Bitcoin bull runs and halving, i.e. the halving of mining rewards. This event, however, scheduled to recur every four years, is not the cause of bull runs, but rather a correlated event.