GET 10% OFF ON YOUR FIRST ORDER. FOR A LIMITED TIME ONLY. Use code: WELCOME on checkout

How High Can Bitcoin Go Before A Top? Analyst Chimes In

An analyst has explained how the Bitcoin rally could still have room to run before hitting a top based on the data of this indicator.

Bitcoin Macro Oscillator Isn’t At Historical Top Zone Yet

In a new post on X, analyst Willy Woo has discussed the recent trend developing in the Bitcoin Macro Oscillator (BMO). This indicator combines four different metrics to provide an oscillating value around the zero mark.

The indicators in question are the market Value to Realized Value (MVRV) ratio, Volume-Weighted Average Price (VWAP) ratio, Cumulative Value-Days Destroyed (CVDD) ratio, and Sharpe ratio.

The chart below shows how the oscillator based on these metrics has fluctuated in value over the past few Bitcoin cycles.

Bitcoin Macro Oscillator

From the graph, it’s visible that tops in the cryptocurrency’s price have historically coincided with the metric reaching relatively high levels. More particularly, the 2013 and 2021 tops occurred when the indicator breached the 1.8 level, while the 2017 peak occurred when the oscillator hit 2.4.

So far, in the current rally, the oscillator has achieved a peak value of 1.2. This high coincided with the asset’s all-time high (ATH) price, which continues to be the top of the run thus far.

When considering the historical precedent, though, this value doesn’t seem to be high enough for the top to have been cyclical. As the coin’s price has consolidated since this high, the oscillator has cooled off, now hitting just 0.69.

Thus, the asset has gained more distance from the zone where tops have occurred in the past. “This 2.5 months of consolidation under bullish demand has been very good for Bitcoin; it means the price has more room to run before topping out,” notes Woo. The analyst suggests that BTC could now have 2 to 3 levels of the BMO to climb before reaching the macro top.

Woo has also pointed out a potential positive sign brewing for Bitcoin regarding its net capital flows. Below is a chart showing this metric’s trend over the last few years.

Bitcoin Network Flows

As displayed in the graph, net capital flows into Bitcoin were quite high during the surge toward the price ATH, but money stopped flowing in as the asset fell into sideways movement.

During May, though, the net flows have finally reversed the trend, as they have been on the rise once more. This fresh demand can naturally be bullish for the cryptocurrency’s value.

BTC Price

Bitcoin surged above the $70,500 level earlier, but the coin has since slumped back down, trading around $67,800.

Bitcoin Price Chart

Latest Press

post-thumbnail
News
5 hours ago
POPCAT Price Prediction For February 9, 2025
The post POPCAT Price Prediction For February 9, 2025 appeared first on Coinpedia Fintech News The p...
READ MORE
default post thumbnail
News
5 hours ago
BONK Flashes Buy Signal After Crashing 40% In One Week – Time To Get In?
Popular Solana-based meme coin BONK has just flashed a major buy signal following a dramatic 40% pri...
READ MORE
default post thumbnail
News
5 hours ago
Chainlink Price Could Start ‘New Bull Rally’ – Here’s The Level To Watch
The Chainlink price was one of the several victims of the bearish pressure that swept the entire cry...
READ MORE
default post thumbnail
News
5 hours ago
Bitcoin Dominance Tipped To Hit 57% — Altseason Incoming?
In the past week, Bitcoin recorded a net negative performance translating into a 5.73% decline in ma...
READ MORE
default post thumbnail
News
5 hours ago
This Groundbreaking Altcoin Could Rush To 100x Gains In Record Time After Backing From SOL ICO Whale
Year after year, the crypto market experiences a significant price growth from one token or more. Fo...
READ MORE
default post thumbnail
News
5 hours ago
Dogecoin Price To $1, XRP To $6, And Solana To $1,000? Pundit Says You’re Not Bullish Enough
Crypto pundit Investments CEO has provided a bullish case for the Dogecoin price, XRP, and Solana am...
READ MORE
default post thumbnail
News
5 hours ago
Cardano ICO Whale Makes Bold Claim, Says This $0.08 Altcoin Is Mispriced By Market
As the focus of the investors and whales in the crypto market is shifting to utility-based projects,...
READ MORE
default post thumbnail
News
5 hours ago
Dogecoin Price is Sinking But Whales Are Already Jumping Ship to This Viral Alternative
While this January most cryptos were experiencing substantial rallies and price increases DOGE didn�...
READ MORE
default post thumbnail
News
5 hours ago
Can Cardano Maintain Top 10 Spot in 2025? Expert Names SUI and DTX Exchange as Potential Challengers
As the crypto world keeps evolving, investors are beginning to wonder if major players like Cardano ...
READ MORE
default post thumbnail
News
5 hours ago
Retail Traders Give Up On XRP ATH in February, But DTX Exchange Shocks With 33.5% Stable Yield
The Ripple ledger encountered technical issues that halted operations and substantially dropped the ...
READ MORE

Publish an article now

Unlock the power of media for instant visibility to the target audience, major SEO boost, greater website traffic and conversion rates.

click here to get started