Using on-chain data: Crypto expert Willy Woo predicts a bottom for Bitcoin price

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After the recent price crash, the crypto industry is wondering how prices might continue. Opinions on this vary widely. Some see the whole crypto scene as the beginning of the end. Others assume that the leading cryptocurrency could benefit from the price drop. A well-known crypto expert has now spoken out with a surprising statement.

Bitcoin price hitting bottom?

Bitcoin analyst Willy Woo has around 1 million followers on Twitter and regularly shares his predictions about the coin. It assumes that the price of the first crypto is currently falling.

He writes on Twitter: The bottom goes towards the Max Pain model. Historically BTC price hits the bottom of the macro cycle when 58%-61% of coins are underwater (orange). the gGreen shading to match coins held in GBTC Trust state is”.

The green area marks the BTC coins owned by the Grayscale Bitcoin Trust, according to Woo. It uses the so-called Max Paint model for Bitcoin forecasts. He explains that historically, macro cycle bottoms have occurred when 58% to 61% of the coins have diluted.

The analyst believes that this situation will be repeated soon. His model correctly predicted the price of Bitcoin in 2015 and 2018. Even when the price fell in 2011, Woo’s predictions were close to the values ​​that eventually emerged.

However, all possible minimums have not yet been reached. In principle, according to his statements, Bitcoin can fall even further. It could reach the USD 13,000 mark. With his forecasts, the analyst mostly refers to the chain analysis data and past cases. If these happen again, the value of BTC could bottom out in the next month or two.

Over the past two days, things have looked at least a little more positive for the price of BTC. It is up over 4% since Monday. It is up another 1.60% today and is currently trading at $16,300.

The reason for these positive developments could be today’s news from Brazil. The country has officially recognized Bitcoin as a means of payment. But what do other experts and analysts say about a possible course of the Bitcoin course?

More expert opinions: everything seems possible

Another well-known Bitcoin analyst is Michael Saylor. The expert assumes that the Bitcoin could significantly increase in value as a result of the price crash. He sees the current development as “expensive advertising” for the currency. He sees a significant increase in crypto adoption in the future.

He wrote on Twitter: “The only viable future is to trade registered digital assets on regulated digital exchanges.”

A few days ago, the analysts at Coincierge created a Bitcoin forecast based on technical indicators. They assume that the price is starting a bullish run right now. The important areas are the USD 16,800 and USD 17,000 marks.

They predicted that once these ranges are breached, bitcoin could see broad gains. So, unlike Willy Woo, you don’t see a bottom ahead. They assume that the price will rise again from now on.

Bloomberg expert and chief analyst Mike McGlone sees Bitcoin’s course in a completely different direction. He assumes that the price crash will continue for a long time. He also sees significant declines in the stock and commodity markets: “Bitcoin is one of the most important indicators of uptrends and general downtrends. And now the price has dropped, so I expect most of the other dominoes to drop as well.”

Opinions differ – but many factors point to a falling price

Most analysts and experts are currently positive for Bitcoin. In numerous forecasts, the price is assumed to rise again in the coming weeks and months.

However, many factors suggest that the price of BTC will continue to fall initially, as predicted by Willy Woo. Looking at the price history shows that the coin has been struggling with its recent price drops, so in May, for a very long time.

Recently, it dropped from $40,000 to a price of $18,000. Bitcoin never recovered from this situation. The price has always been very volatile.

Other factors that suggest that the price will continue to fall initially are the regular increases in prime interest rates and high inflation. Over the past four months, the cost of living has risen dramatically around the world. This means that many small investors could disappear altogether.

But big investors need to manage their funds better. It can be assumed that these economic difficulties will continue for the foreseeable future. The news recently came from the United States of America that interest rate hikes will now be halted and will occur at a much slower pace in the future. However, the uncertainty of traders remains.

These points create additional resistance that all crypto courses currently have to compete against. If you look at the story as a whole, the factors that speak for BTC price falling are in control right now.

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