Bitcoin is showing indications of a potential bullish trend in May, driven by various key factors like miner economics, network hashrate, accumulation by long-term holders, and increasing global fiat liquidity, which could potentially lead to a price surge.

The largest cryptocurrency has been on a recovery rally since early April, up by 14.6% in the last month.

Analyst and WiM Media founder Robert Breedlove referred to Blockware Team data on average miner breakeven costs in a recent X post, suggesting that Bitcoin might be approaching the start of a bullish market cycle.

He emphasized that assets typically do not trade below their production costs for too long, as this point indicates when miners may stop operations due to lack of profitability.

Breedlove highlighted that this index correctly identified six market bottoms between 2016 and 2024, signaling a possible imminent price rise for Bitcoin.

MacroMicro data also supports this outlook. The 30-day moving average of mining cost-to-BTC price ratio, standing at 1.05, suggests that miners have been operating at a loss lately, potentially leading to a decrease in supply and pushing prices higher.

The Bitcoin hash rate price model, which evaluates Bitcoin's value based on its historical price and hash rate relationship, further supports the positive outlook.

Additional signals from the market, such as the accumulation of approximately 150,000 BTC by long-term holders in the last 30 days, indicate reduced selling pressure in the $80,000 to $100,000 range, potentially leading to price appreciation.

The expansion of global fiat liquidity, along with the introduction of exchange-traded funds (ETFs), Bitcoin treasury companies, and convertible bonds, is also contributing to the availability of capital for Bitcoin investments, bridging traditional finance with cryptocurrency.

Several bullish factors, such as a positive demand for BTC and the Market Value to Realized Value (MVRV) ratio rebounding, suggest that Bitcoin is potentially entering a new bull market phase.

Following a brief drop below $75,000 in early April, Bitcoin has been showing a notable recovery in its price performance, with a 4.3% increase over the past week and trading at $97,048 at the time of reporting, reflecting a daily gain of 2.3%.