Bitcoin has rebounded 11% from its recent low of $57,700 to over $64,000 in July, driven by positive seasonal trends and recovering demand. According to the latest CryptoQuant report, July is historically Bitcoin’s strongest month during bear markets, with surges of 20% in 2018 and 17% in 2022. Total Bitcoin demand has recovered from its sharpest contraction since 2022, moving back toward neutral. However, the CryptoQuant Bull Score Index remains at 20, firmly in bearish territory, with a reading above 60 needed for a sustainable rally. Analysts caution that every rebound is currently treated as a bear-market recovery, not a trend reversal.
Bitcoin is off to a strong start in July, rebounding from a recent low of $57,700 to $64,000, a major support and pivot level. According to the latest CryptoQuant report, the rebound is attributed to July’s positive seasonality and recovering demand.
Analysts cited historical data showing July is Bitcoin’s most reliable positive month during bear markets. In 2018 and 2022, BTC closed July with 20% and 17% surges, respectively. The current 11% rise from lows aligns with this pattern.
Total Bitcoin demand is recovering after its sharpest contraction since 2022. The 30-day total demand metric had fallen to -650,000 BTC in early June but has since moved back toward neutral. Analysts explained that “speculative futures demand turning slightly positive while spot apparent demand contracts at its slowest pace since mid-May.” A move into positive territory would confirm the demand engine is re-igniting.
Investor demand in the United States is improving. The Coinbase Premium Index has recovered from deeply negative readings to -0.062, aided by BTC’s rebound from $57,000. This signals that selling pressure on U.S. platforms is easing and institutional appetite is stabilizing.
Despite these developments, market conditions remain extremely bearish. The CryptoQuant Bull Score Index is hovering at 20, firmly in the bearish zone. Analysts note that while BTC has reached short-term undervalued territory and further price recovery is possible, stronger demand is needed. The Bull Score Index requires a reading above 60 for a sustainable rally. Until that happens, every rebound will be treated as a bear-market recovery, not a trend reversal.
