Today, Willy Woo shared some insights on Bitcoin’s price action, highlighting a few key shifts. He noted, “The influx of BTC (Germany, MtGox, DoJ) is slowly being absorbed,” meaning that the Bitcoin arriving on exchanges isn’t building up as much, which could help stabilize the market. Something that is very much needed with Bitcoin trading at $57,619 at time of writing.
Woo also pointed out that “paper BTC bets are declining, a good sign.” These are derivative contracts tied to Bitcoin’s price but don’t involve actual Bitcoin moving. Fewer of these contracts could be positive for the market since it lessens some of the pressure on the price.
Overall, Woo sees the current supply situation moving “from bearish towards neutral.” In his view, we might see another month of sideways movement. “Then let’s take a look again in October,” he added.
The influx of BTC (Germany, MtGox, DoJ) is slowly being absorbed.
Paper BTC bets are declining, a good sign.
Overall, in terms of supply, things have moved from bearish towards neutral. pic.twitter.com/Ej2X9bJq5w
— Willy Woo (@woonomic) September 2, 2024
About a month ago, Woo mentioned a “tug-of-war” between bullish and bearish factors influencing Bitcoin’s price. He noted that while both sides are in play, the bullish factors seem to have the upper hand. Among the bearish influences, he highlighted selling pressure from the Mt. Gox Bitcoin redistribution and the launch of Ethereum ETFs.
Looking back, Woo’s analysis was quite accurate. He anticipated that August and September would bring uncertainty, with positive and negative factors balancing each other out. This has kept Bitcoin trading sideways within a typical volatility range of about 10%, without making new highs.
It’s a wait-and-see approach for now, but as always, staying informed helps us all make better decisions. Keep watching the trends, and follow us at HowToBuyBicoin.org for the latest news and updates.