How to Understand This Crypto Bull Run as a Beginner

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The term "ordinary person" in this context refers to someone with little to no prior knowledge of blockchain technology but who is curious or motivated to enter the crypto space. Participation can take many forms—investing in cryptocurrencies, joining the industry professionally, launching a blockchain startup, or simply paying closer attention to market trends.

Regardless of how one chooses to engage, it's essential for every newcomer to develop a clear understanding of the current bull market. Key questions include: What’s driving this bull run? What are the underlying market fundamentals? How long might it last? And how should an average individual participate responsibly?

To answer these, we must first understand how this cycle differs from previous ones.

The Core Drivers Have Changed

In past bull markets, the primary catalyst was often the Bitcoin halving event—a programmed reduction in mining rewards that decreases supply and fuels scarcity-driven price increases. The 2017 rally, while amplified by the Initial Coin Offering (ICO) frenzy, still largely stemmed from supply constraints and speculative demand.

Today’s environment is fundamentally different. Over 18 million BTC are already in circulation, meaning the market has matured into a predominantly institutional-driven ecosystem rather than a supply-constrained one. While halving still plays a role, the real engine behind this bull run is Bitcoin’s adoption by major financial institutions like MicroStrategy, Grayscale, and Tesla, which now treat it as a strategic inflation hedge.

👉 Discover how institutional adoption is reshaping crypto markets today.

This shift brings deeper liquidity, longer investment horizons, and stronger price resilience—factors that weren’t present during earlier cycles. Retail investors may dominate headlines, but institutional capital sets the tone in this phase.

Market Fundamentals Are More Mature

The 2017 boom was fueled by ICOs—low-barrier fundraising models where anyone with a whitepaper could launch a token. This democratization attracted massive attention but also rampant fraud and vaporware projects.

In contrast, today’s market emphasizes higher technical and operational standards. Whether through IEOs (Initial Exchange Offerings), IDOs (Initial DEX Offerings), or ITUs on chains like Binance Smart Chain (BSC) or HECO, new projects face greater scrutiny. Successful ones require not just code, but solid business models, active communities, and sustainable tokenomics.

While “shitcoins” still exist, the overall quality of projects has improved significantly. The rise of decentralized finance (DeFi) and non-fungible tokens (NFTs) reflects a shift toward real-world utility, not just hype.

The Narrative Has Evolved

Previously, blockchain was sold as a world-changing force—promising everything from replacing fiat currency to rebuilding the internet. These grand visions often lacked practical implementation.

Now, the story centers on tangible applications:

With over $30 billion in total value locked across DeFi platforms and thousands of composably integrated protocols, the infrastructure for a new financial system is being built—not imagined.

This isn’t speculation; it’s evolution.

Strategic Participation for Beginners

Given these changes, here’s how ordinary individuals should approach this bull market:

Focus on Blue-Chip Cryptocurrencies First

Bitcoin (BTC) and Ethereum (ETH) remain the safest entry points. They’re battle-tested, widely adopted, and favored by institutions. Despite their price appreciation, they offer stability compared to volatile altcoins.

Many beginners avoid them, thinking “the train has left.” But momentum favors leaders, especially when institutional FOMO kicks in. Altcoins may surge temporarily, but during downturns, capital flows back to BTC and ETH as safe havens.

Holding mainstream assets doesn’t guarantee maximum returns—but it reduces risk dramatically.

👉 Learn why BTC and ETH are foundational assets in any crypto portfolio.

Avoid Chasing "100x" Meme Coins

While DeFi and NFTs have produced explosive gains—some tokens rising 100x or more—these opportunities are rarely accessible to average users at the right time. Most high-return projects emerge via early-stage private sales or IDOs that require connections, technical know-how, or insider access.

By the time a coin hits centralized exchanges and gains popularity, the best gains are often already realized. Latecomers become exit liquidity for early whales.

Instead of gambling on unknown tokens, adopt an angel investor mindset: research teams, assess technology, evaluate token distribution, and focus on long-term value rather than short-term pumps.

Prepare for Volatility

This bull run won’t be a straight line upward. Expect sharp corrections—like the infamous "Black Thursday" crash of March 2020—or prolonged sideways movements. Leverage trading, futures markets, and algorithmic trading bots amplify both rallies and sell-offs.

True value investing means riding out drawdowns emotionally and financially. That requires:

"Value investing looks easy on charts—it's actually a test of patience, discipline, and self-awareness."

Beware of Scams Targeting Newcomers

Bull markets attract not just opportunity but also predators. From fake DeFi platforms offering “200% APY” to Ponzi schemes disguised as NFT projects, scammers prey on inexperience and greed.

Common red flags:

Remember: if you don’t understand how a project generates value, don’t invest.


Frequently Asked Questions (FAQ)

Q: Is it too late to join the crypto bull market in 2025?
A: No. While early adopters benefit most, cycles last years—not months. Focusing on strong fundamentals and dollar-cost averaging into BTC and ETH can still yield significant returns over time.

Q: Can I make life-changing money with altcoins?
A: It’s possible, but highly risky. Most altcoins fail. Instead of chasing moonshots, build knowledge first. Identify emerging trends early (e.g., zk-rollups, AI-blockchain fusion), then allocate small portions of your portfolio wisely.

Q: Should I invest in NFTs or DeFi?
A: Both sectors have potential—but approach them differently. DeFi offers yield-generating opportunities through staking and liquidity provision. NFTs are more speculative; focus on reputable collections or utility-driven projects (e.g., gaming, identity).

Q: How do I avoid getting scammed?
A: Stick to well-known platforms and wallets. Verify contract addresses manually. Never share your seed phrase. Use hardware wallets for large holdings. When in doubt, wait and research more.

Q: What’s the biggest mistake beginners make?
A: Letting emotions drive decisions—buying high out of FOMO, selling low due to panic. Develop a clear strategy before entering the market and stick to it regardless of price swings.

Q: How much should I invest as a beginner?
A: Start small—5% or less of your investable assets. Treat it as education expense first. As your understanding grows, adjust allocations accordingly.


Final Thoughts: Stay Grounded in the Hype

This bull market rewards those who prepare, learn, and act with discipline. For ordinary users, the goal isn’t to get rich overnight—it’s to gain financial literacy in a transformative technological shift.

Don’t be seduced by stories of instant wealth. Focus instead on building lasting knowledge, supporting credible projects, and managing risk wisely.

👉 Start your journey with tools that help you track trends and manage risk effectively.

The future of finance is being rewritten on blockchains—and now is the time to understand it deeply, not just profit from it briefly.