Woofun AI reports that Bitcoin has entered a new bull market phase, a shift confirmed by on-chain analytics firm CryptoQuant through its proprietary Bull Score indicator.

The metric surged from 30 to 80 within a single week, marking the fastest increase recorded in the past year. This rapid escalation signals a decisive change in market sentiment, moving away from previous bearish conditions toward a strong bullish stance.

Structurally, CryptoQuant identifies $83,000 as the last remaining resistance level that must be breached to confirm a full-fledged uptrend. A decisive move above this price point is expected to trigger significant buying activity, while failure to overcome it could result in consolidation or a pullback.

The Bull Score functions as a composite metric evaluating multiple on-chain and market indicators to gauge overall market health. Per Woofun AI, the indicator operates on specific thresholds: a score above 60 typically indicates a bullish phase, whereas a reading below 40 suggests bearish conditions.

Market drivers include increased accumulation by long-term holders, rising trading volumes, and positive momentum in derivatives markets. This uptick occurs amid growing institutional adoption and interest in spot Bitcoin ETFs, with major financial institutions launching related products.

Additionally, the halving event scheduled for April 2024 historically serves as a catalyst for bull runs by reducing new supply.

Investors should remain cautious, as the cryptocurrency market remains volatile and subject to sudden sentiment shifts. Decisions should account for macroeconomic conditions, regulatory developments, and individual risk tolerance, with portfolios diversified and financial advisors consulted.