Willy Woo Says On-Chain Data Suggests Unexpected Move For Bitcoin

According to well-known crypto analyst Willy Woo, Bitcoin (BTC) might be experiencing the beginning of a price squeeze, as indicated by on-chain data.

Woo further explains that this could lead to a short squeeze, where traders who had bet against the asset may opt to exit their positions due to an unexpected price surge, causing further upward momentum for BTC.

“Price action has largely been dominated by demand stemming from the calendar futures markets, the instrument of pros and institutions. Even now, demand keeps surging, suggesting we are in the early stages of another price squeeze.”

The trader tells his 1 million Twitter followers that not all Bitcoin metrics are looking completely bullish, however.

“And the flipside: Calendar demand is overbought under statistical analysis. It’ll be important to keep a close eye on basis waning. It could leave quite fast, rugging the bullish price action.

Explainer: Basis is the cost of maintaining an investment. In this case basis = the cost of maintaining a long position so can be used as a way to quantify demand coming from calendar futures.”

According to a respected crypto analyst, Bitcoin (BTC) is currently experiencing a slight decline, and is nearing its lowest point. The analyst, Michaël van de Poppe, has recommended that BTC needs to recover before experiencing further decline. Van de Poppe has a substantial Twitter following of 660,100 supporters.

“Lows are getting taken again.

Needs to flip back up here, otherwise $28,500 scenario seems likely for Bitcoin.

Markets expecting a rate hike due to positive unemployment data.”

According to Van de Poppe, traders who jumped on BTC recently due to fear of missing out (FOMO) are likely feeling the pain of an instant correction, predicting BTC could go sub-$30,000 again.

“Typical FOMO buyers getting hit in an instant correction and we’re back to the chop on Bitcoin.

More sideways action likely, maybe even sweeping to $29,900.”