Sunday, June 16, 2024

Bitcoin On-Chain Analyst Forecasts Upcoming Bullish Move, Indicates BTC Nearing the End of Consolidation

On-Chain Analyst Willy Woo Predicts Bullish Bitcoin Move, Backed by Fundamental Indicators

Renowned on-chain analyst Willy Woo has shared his insights with his extensive Twitter following, suggesting that Bitcoin (BTC) is on the cusp of a significant upward surge. Woo’s observations are backed by the Fundamental Strength Indicator (FSI), a metric of his creation that tracks the strength of 17 fundamental and technical indicators. In addition to the FSI, Woo is also examining Bitcoin’s cost basis density map to gauge potential support levels for the leading cryptocurrency.

Bitcoin’s Fundamental Strength Indicator (FSI) Points to Impending Upside

According to Willy Woo, Bitcoin’s FSI is signaling that the cryptocurrency is approaching the conclusion of its re-accumulation phase. This key indicator, monitoring a range of fundamental and technical factors, provides early indications that the consolidation period is nearing completion. Woo notes that the current market movement is being driven by futures demand, which has been on an upward trend despite sideways price action – a bullish sign. Additionally, volatility dynamics are suggesting the potential for a substantial price movement in the near future.

Bitcoin’s Cost Basis Density Map Reveals Strong Support Levels

Taking a closer look at Bitcoin’s cost basis density map, Willy Woo highlights the areas where buyers are stepping in to accumulate BTC. The chart reveals multiple levels of support, extending all the way down to the $25,000 price range. Dense areas on the chart indicate zones where investors validate the price by purchasing Bitcoin and holding it in longer-term self custody. Such strong areas of price validation act as solid support levels, providing reassurance to market participants. Notably, historical performance in July is depicted by the pink bands on the chart.

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Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.

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