Bitcoin Is Still In Midst of Bull Market; Why On-Chain Analysis Suggests So

Since Bitcoin (BTC) started to collapse in July following the multi-month rally from $3,100 to $14,000, investors have been wondering if the cryptocurrency remains in a bull market. According to a prominent on-chain analyst and cryptocurrency fund manager, yes, Bitcoin remains in the midst of a bull market. Related Reading: Prominent Gold Bull Thinks the Next Recession Will Be Brutal; Bullish for Bitcoin? It’s Just Re-Accumulation; Bitcoin Remains in Bull Market According to Willy Woo, partner at cryptocurrency fund Adaptive Capital and a noted on-chain analyst, his indicators which track investor activity — correlated closely with market cycles — are showing clear signs that Bitcoin is not in a bear market. Rather, as Woo continued in the tweet, the indicators suggest that BTC is in the midst of a “re-accumulation” phase of bull markets that always proceeds the blow-off top rally, one that brings Bitcoin an order of magnitude or two higher than where it started. Are we in a $BTC bear market? No, we are in the re-accumulation phase of a bull market. pic.twitter.com/OcMyxA4EIY — Willy Woo (@woonomic) December 28, 2019 History repeating per Woo’s analysis will mean Bitcoin will burst higher by the second half of 2020, meaning BTC is likely to set new all-time highs a few months or a year after that. Woo’s latest analysis comes shortly after the prominent trader remarked that Bitcoin’s on-chain momentum, per his fund’s proprietary indicators, is “crossing into bullish” territory after a multi-month downturn. With this in mind, he asserted that the “bottom is most likely in,” meaning that any move lower than the $6,500 plunge “will be just a wick in the macro view.” He added that the unnamed indicator also implies that cryptocurrency investors will start to front-run the impending “halving,” the block reward reduction that will be taking place in May 2020. Related Reading: Federal Reserve’s Record $235 Billion Repo Intervention Validates Bitcoin Bullish Leg Up On the Horizon It isn’t only Woo who is suggesting that Bitcoin’s next bullish leg up is on the horizon. A trader going by Velvet, who called the bullish reversal on December the 22nd, recently stated that he believes Bitcoin “could see $20,000 by March,” referencing the fact that prior to previous halvings, BTC always surged, rallying higher on the expectation that a negative supply shock would hit the market. Just look to the chart below from the analyst, which exemplifies that BTC is showing signs that it will soon undergo a second mark-up rally ahead of May 2020’s halving. Related Reading: Why a Fund Manager Thinks Bitcoin Will Rally 25% to $9,000 In One Month Featured Image from Shutterstock The post appeared first on NewsBTC.

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