Amidst the war conflict between Israel and Iran, Bitcoin (BTC) prices exceed $100,000. Meanwhile, investors are waiting for improvements in macroeconomic conditions, so they will be making prices rise at levels they have never seen before.
In this connection, market analyst Willy put a cold cloth on this issue and predicts it. Bitcoin has “entered the final stage of the upward market”. In X’s post, experts reveal that they are “still traveling” for new mountain climbs, so they don’t rule out BTC marking a new historic maximum (ATH) in the short term.
This publication has a graph of Bitcoin risk model (Bitcoin risk model in Spanish), created by Willie Wu himself. The blue line represents the price of BTC, and the yellow line below is the indicator on the chain Local risk model.
Metrics allow you to establish risk levels based on market input and output. If the indicator is low (approximately 0), the risk of entering the market is low, usually coinciding with the accumulation area.
But when it is high, it is a sign that they are moments of happiness and potential overestimation. This means that many investors are buying at high prices, but large holders earn profits and cause a decline in liquidity.
This behavior usually predicts significant corrections and marks what is known as the market distribution or overheating field. As observed, Metric is close to 1Although it is still below its historic maximum, as happened during the 2021 Alsista Cycle euphoria.
Simply put, Woo points out that BTC risk models are at a high level. It’s still below the maximumthis suggests that the currency created by Nakamoto Atoshi moves the final stretch of the upward cycle. Therefore, experts assert that “there is still a route.” He adds: “As the global macroeconomic market changes, there is a hope for a bear market for BTC.”
This is because BTC is considered a risky asset by many investors. In other words, financial speculators prefer a stable macroeconomic environment to carry out operations. Otherwise, they seek evacuation to instruments that have low yields and are not exposed to market fluctuations such as treasure bonds.
Now, as woo predicts the arrival of the code, if the macroeconomic context doesn’t accompany you, there are other analysts They claim that BTC’s Brubajista Cycle is a thing of the past. reason? Institutional investment.
As Cryptootics reports, more and more companies are issuing debts through equities or convertible bonds to purchase BTC without relying on operating income. This strategy was designed by Michael Saylor, CEO of Strategy.
The purpose of these purchases is not to financial speculation, but to build a BTC strategic booking as part of a long-term vision.
Unlike traders who previously were the majority of the market and responded quickly to price changes, institutional actors operate on the long-term horizon. This reduced the typical volatility of traditional cycles, resulting in long falls after the historic biggest.
For Adam Livingston, the author of the book Bitcoin era, “The price of Bitcoin is determined in the Strategic Board Hall,” his paper shows that the sustained accumulation model implemented by Saylor. Deep structural changes in BTC supply and demand dynamics.
That means that unlike Bitcoin, which was featured on a stock exchange (ETF), with daily tickets and output, the strategy is retracting market liquidity. The fact that there are few offers available is a medium-term, long-term bullish factor. This is because Bitcoin has a limited supply of 21 million units, and its broadcast was cut every four years at an event known as half.
For this reason, Livingston argues: “The next historic maximum for BTC is set during a conversation in the boardroom of strategy when someone asks, ‘How many coins do you need this quarter?’ ” The answer is “everything.”
It is worth clarifying that Woo said that the institution’s purchases had enhanced support for BTC pricing. He also emphasized that if this trend is maintained, Bitcoin could reach $118,000 in the short term.