dailyhodl.com
Widely followed on-chain analyst Willy Woo believes that Bitcoin (BTC) is almost ready for a burst to the upside.
Woo tells his one million Twitter followers that Bitcoin’s fundamental strength indicator (FSI) is flashing a signal that suggests the crypto king is nearly done with its re-accumulation phase.
The FSI is a metric created by Woo that tracks the strength of 17 fundamental and technical indicators.
Says Woo,
“Early signs that BTC consolidation is nearing completion (FSI chart below).
Futures demand is currently moving the market, this demand has been climbing against sideways price action (this is bullish).
Volatility dynamics also signaling a larger move is probable.”
Woo is also looking at Bitcoin’s cost basis density map, which monitors the price levels where buyers typically step in to accumulate BTC. According to a chart shared by the on-chain analyst, the map shows that BTC has multiple levels of support all the way down to $25,000.
“Dense areas in this chart indicate areas where investors are validating the price by buying and moving to longer-term self custody. There’s a very strong area of price validation below here, which acts as price support.
Pink bands show historical July performances.”
At time of writing, Bitcoin is trading at $29,919.
Generated Image: Midjourney