- On-chain analyst Willy Woo predicts a potential surge in Bitcoin (BTC) prices.
- Woo’s analysis is based on a bullish divergence on Bitcoin’s volume-weighted average price (VWAP) oscillator chart.
- Last week, Woo predicted that BTC could reach $1 million by 2035 based on the historical correlation between Bitcoin’s value and the number of BTC users.
On-chain analyst Willy Woo suggests a potential surge in Bitcoin prices based on a bullish divergence on its VWAP oscillator chart, predicting a value of $1 million by 2035.
Willy Woo’s Bullish Prediction for Bitcoin
Willy Woo, a renowned on-chain analyst, recently shared with his 1.1 million followers on social media platform X that Bitcoin could be on the verge of a significant price surge. According to Woo, Bitcoin’s volume-weighted average price (VWAP) oscillator chart is showing a bullish divergence, indicating a potential for a substantial price increase. The VWAP oscillator represents the average traded price of an asset throughout the day, taking into account both volume and price. Traders often use the VWAP to determine whether an asset is underbought or overbought based on its intraday price action.
Understanding the VWAP Oscillator
The VWAP oscillator uses the ratio of price to VWAP price (z-scored), with Woo’s analysis focusing on on-chain volume rather than exchange reported volume. By focusing on on-chain volume, the signal excludes short-term speculation and concentrates on investor movements. As a result, buy and sell actions by short-term speculators are ignored, while those associated with exchange flows are included. This approach, according to Woo, suggests a growing appetite among investors to accumulate BTC, even amid decreasing prices. In technical analysis, a bullish divergence like this often indicates that an asset may be preparing for a trend reversal.
Bitcoin’s Potential Value by 2035
Last week, Woo made a bold prediction that Bitcoin could reach a value of $1 million by 2035. This prediction is based on a historical correlation between Bitcoin’s value and the number of BTC users. According to Woo’s growth curve model, the number of Bitcoin users is expected to continue to increase, which could drive up the value of the cryptocurrency. At the time of writing, Bitcoin is trading at $62,977 and has seen an increase of nearly 5% in the past week.
Conclusion
While predictions about cryptocurrency prices should always be taken with a grain of salt, Woo’s analysis offers an interesting perspective on Bitcoin’s potential future value. Based on the bullish divergence on the VWAP oscillator chart and the expected increase in the number of Bitcoin users, investors may see a significant surge in Bitcoin prices in the coming years. However, as with any investment, potential investors should conduct their own due diligence before making any decisions.
