Analyst Willy Woo says Bitcoin is in bull market citing investor demand

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  • Willy Woo shares the heat map of Bitcoin’s investor demand and adds that many haven’t realized that we are already in a Bitcoin bull market.
  • The number of addresses holding 1 BTC has skyrocketed above $830,000 with a sharp surge since February 2022.

The world’s largest cryptocurrency Bitcoin (BTC) has been trading at around $45,000 and has been holding above it for a while. Investors are confused as to where Bitcoin would be heading from here onwards. But popular market analyst Willy Woo says that we are already in a bull market.

Citing data from Glassnode, Woo presented a heatmap of investor demand for Bitcoin. He writes:

Heatmap of Bitcoininvestor demand. Uses algorithmic signal processing of on-chain data provided by @glassnode. We are in a bull market, many don’t know this yet.

As we reported yesterday, there’s a FOMO among retail buyers over the last few weeks for buying Bitcoin. But data shows that historically, such retail FOMO’s have led to macro tops. Also, on-chain data continues to present some interesting stats.

The number of Bitcoin addresses holding at least 1 BTC has touched a new all-time high of 833,242 addresses. This number has been on a rapid rise since the beginning of February 2022.

No one can exactly say where Bitcoin is heading up from here. But technical charts can help us get some idea here. Bitcoin (BTC) is still trading well below its 200-day moving average (DMA) of $48,200. Thus, in the short term, we could see selling pressure. Market analyst Lark Davis writes:

Daily MACD threatening a bearish cross over (not yet confirmed) indicating we could see some short term downward pressure. Higher time frames look bullish though for the MACD. Buy order in at $42,500.

Bitcoin exchange supply drops, Terra makes new BTC purchase

On the positive side, if we see, the illiquid supply of Bitcoin continues to grow. The Bitcoin (BTC) supply at the exchanges has been on a continuous downside. The last time the Bitcoin supply was this low was when the BTC price was at $7,200.

On the other hand, the Terra blockchain continues ahead with its Bitcoin purchases. Earlier today, the LUNA Foundation Guard (LFG) made an additional purchase of $230 million worth of Bitcoin. With this LUNA extends its Bitcoin purchases to more than $1.7 billion.

Terra founder Do Kwon has already hinted that LFG seeks to purchase $10 billion worth of Bitcoin over the long-term to peg it to its UST stablecoin. Furthermore, data from the on-chain platform Santiment shows that there’s a ‘buy-the-dip’ interest currently in Bitcoin. It added:

This may not be a major price drop with Bitcoin down -1.3% over the past 24 hours. However, after quite a bit of FOMO over the past 2 weeks, there is some major ‘buy the dip’ optimism on social platforms. This is the largest crowd spike in 3 weeks.

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