Popular on-chain analyst Willy Woo reveals one signal signifying a notable price rise for Bitcoin.
Furthermore, Willy Woo goes on to tell his 831,000 Twitter followers, noting Bitcoin’s NVT (network value to transaction) as the one signal.
More so, Willy Woo explains its at a point that leads to rallies historically.
Notably, NVT is an indicator that gauges on-chain investor volume.
As per this metric, Willy Woo says Bitcoin is not overheated price-wise.
Also, it divides the total value of the Bitcoin network by the total transaction volume flowing through the BTC blockchain.
Of course, then smooths it out with a moving average.
So, Willy Woo explains.
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“Adjusted NVT Signal back in the mid zone.vSquiggle to English translation:…”
Price is no longer overheated. Assuming it’s a bull market,…”
“historically, this is a zone where price is ready to move up.”
As per longer-term grounds, Willy Woo notes another indicator indicating Bitcoin bullish.
Additionally, Woo suggests that Bitcoin’s market cap is in relation with the total supply of the US dollar (M2).
According to Willy Woo chart, Bitcoin is likely to continue to trend upward, once the supply of USD grows.
“BTC vs USD (M2) as a global monetary base…”
“Things are going to get really interesting in the next 5 years.”
Lastly, Willy describes that the big Q4 rally for Bitcoin and a market cycle is likely to extend well into 2022.
“No matter what happens around this choppy next few weeks, we know with very high…”
“certainty that we’re going to get a good rally off the tail-end of this year. The fourth-quarter is…”
“going to be great and generally with the time signatures of these things, it’s going to run into the first quarter.”
Then, Willy Woo continues.
“We’ll just have to see how it runs into the second quarter of next year…”
“Maybe it goes even deeper, but it’s still really early…”
Conclusively, Woo adds.
“I have no qualms of saying that this is what I think is going to happen,…”
“and I don’t think it’s a risky call. I think it’s pretty set in stone looking on-chain.”
