Seeing that the market conditions are now improving and there is a lot of positive news about Bitcoin, this news makes everyone buy and save it for the long term because Bitcoin in the future will likely become more expensive than its current price, so this is a good thing in investing.
This stage is often referred to as “buying on optimism” it’s a stage where market sentiments and positive news that surrounds a particular asset causes investors to develop some kind of optimism in investors resulting to some kind of buying spree, with full expectations of future appreciation in the price of the asset.
The more investors delve into the market due to FOMO, the more the price of Bitcoin continues to increase, thus driving up its value too. This reinforcing cycle can cause some kind of a virtuous loop in the market, where positive news and sentiments drives and instills optimism in the heart of investors, causing them to buy and store more of the asset which of course in turn, further fuels the price of the asset.
Yeah,i strongly agree with you in all you noted.
Buying on optimism or rather, buying on trend basically is when investors seem to purchase bitcoin because of the positive sentiments,market enthusiasm and expectations rather than fundamental analysis by themselves.This i think contributes to a bullish run in the market since part of the determinants for a bullish run requires high demand also.
Going back to the topic or question;Is the market making a bullish comeback?
Well...considering the current market trend and the bullish signs,i'd say the market is showing promise but caution is still strongly advised.