Popular on-chain Bitcoin analyst Willy Woo has revealed that data appears to show the flagship cryptocurrency\u2019s fundamentals are now improving at a time in which $BTC is entering the \u201cre-accumulation phase of the cycle.\u201d<\/p>\n
In a tweet Woo shared with his over 1 million followers on the microblogging platform, the analyst noted that BTC\u2019s Fundamental Strength Indicator, which tracks the strength of 17 fundamental and technical indicators, is \u201cno longer overheated and starting to rise.\u201d<\/p>\n
The 17 indicators included in Woo\u2019s Fundamental Strength Indicator include Bitcoin\u2019s Relative Strength Index (RSI), its supply in profit, its realized PnL, its real profit to value ratio, its balanced cap, realized HODL waves, and more.<\/p>\n
Per the analyst, if the price of the cryptocurrency manages to hold above the $25,000 mark, it could soon lead to a short squeeze. A short squeeze occurs when the price of an asset rises rapidly and unexpectedly. As short sellers close their positions, the influx of buy orders can further drive up the price of the asset.<\/p>\n
In a separate tweet, Woo shared a chart timing previous Bitcoin price cycles, and noted that the chart \u201cprobably means we are entering the re-accumulation phase of the cycle.\u201d<\/p>\n
Late last year, Woo commented on bullish $1 million BTC price predictions that have been made over the past several months,\u00a0including from former Goldman Sachs executive\u00a0Raoul Pal and\u00a0from an Ark Invest analyst.<\/p>\n
The analyst suggested that as BTC approaches the market capitalization of fiat currencies there\u2019s increasing bearish pressure on its price, potentially from governments suppressing BTC. He added that if BTC were to \u201cbreak the sound barrier,\u201d its price would be affected by bullish pressure to \u201cescape towards infinity.\u201d<\/p>\n
Among those\u00a0predicting Bitcoin\u2019s price could reach $1 million, there\u2019s also the CEO of cryptocurrency exchange Kraken, who has said he believes \u201cBitcoin is going to be $500,000 easily within the next few years\u201d over \u201chow much money printing is going on,\u201d and added that Bitcoin will hit $1 million \u201ceasily.\u201d<\/p>\n