The cryptocurrency market has all the elements for a bull run, so why is it declining?

Despite a series of favorable macroeconomic factors emerging this year, the cryptocurrency market has yet to enter a clear growth cycle, leading many analysts and investors to question the underlying structural issues.

Ran Neuner, CNBC's crypto expert, argues that the market is facing a "structural fault line." He believes that factors such as improved liquidity, a more favorable stance from the US government, the introduction of more ETFs, increased institutional capital flows, and the steady rise of gold and stocks should have provided strong impetus for crypto. However, the reality is the opposite, with total market capitalization on track to end the year lower than at the beginning, down more than 32% from its October peak.

Neuner suggests the market is facing two scenarios: either selling pressure will gradually emerge and dissipate, or crypto will experience a strong rebound to "catch up" with other risky assets. Adam Kobeissi adds that the recent period reflects a strong restructuring of the market amid record-high leverage levels.

Conversely, some experts, such as Markus Thielen, argue that Bitcoin has already entered a bear market, as money flows are primarily concentrated in BTC and not spreading to altcoins. Nevertheless, many still view the industry's long-term prospects positively, with 2025 seeing significant progress in legal frameworks, stablecoins, and tokenized real assets — laying the groundwork for a sustainable growth cycle in the future.

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