Bitcoin is holding steady, recently trending above $71,200 and breaking past local resistance levels, much to the delight of holders. However, the current stage is just the beginning for Willy Woo, an analyst at the network.
Starting the Bitcoin Rally: Analyst
Going to X, Woo, who has maintained a bullish outlook for the world’s most valuable currency, boldly states that Bitcoin’s current rally is only halfway through its welcome upward journey.
Sharing a chart, the on-chain analyst notes that the Bitcoin VWAP oscillator has just broken out of oversold territory and is now at the zero mark, which is halfway there. While Woo is optimistic and expects even more gains, the analyst did not specify when or at what level prices will peak.
Related Reading
Still, the analyst explained that a period of consolidation below the historical maximum is necessary. Woo says this consolidation could allow users to accumulate before a “second leg” propels Bitcoin to new heights.
Looking at Bitcoin’s daily chart, this “second leg” is expected to be a breakthrough moment that will lift the coin above its March highs.
At press time, Bitcoin is still in bullish formation. The rise above $68,000 and last week’s high were crucial in setting the trend. Furthermore, as the May 20 breakout bar is wide and has a high trading volume, the chances of trend continuation are high. If the bulls follow through, confirming the May 20 gains, BTC will likely break $73,800, aligning with Woo’s prediction.
BTC Bull Run will last 300 days if there is no Black Swan event
In addition to Woo, another analyst it says O Bitcoin’s uptrend is in full swing. Sharing a chart, the trader said that barring any unforeseen disruption such as the impact of a main stock market going bankrupt, it is highly likely that the current bull run will extend for another 300 days.
This forecast is based on profit and loss analysis of short-term holders (STHs) with 90-day moving average. Currently, STH is falling but relatively higher. Analysts use STH to determine market sentiment from short-term price movements and traders’ speculations.
Related Reading
As sentiment improves and prices recover, the pace of the currency’s rise will depend on external factors. In addition to the impact of the United States Federal Reserve and its monetary policy statement, entry into Bitcoin exchange-traded funds (ETFs) will be crucial. After a lull, demand is rising, helping to boost bulls.
DALLE Featured Image, Chart from TradingView