Top Crypto Analyst Willy Woo Makes Bull And Bear Cases For Bitcoin

In a recent post on the social media platform X, crypto analyst Willy Woo highlighted the bull and bear cases for Bitcoin BTC/USD, amid the apex crypto's recent bull run.

What Happened: On Friday, Willy Woo highlighted the bull and bear cases for Bitcoin, as the past month witnessed a rally of 23% in the price of Bitcoin, which took year-to-date gains to 164%. 

In regards to the bull case for Bitcoin, the crypto analyst highlighted the drop in rates and the peaking of the U.S. dollar index. He also noted the "imminent approval" of a Spot Bitcoin ETF, the "impressive public company treasury demand for BTC indicated by MicroStrategy's MSTR buying appetite" and the decline of paper Bitcoin. He further pointed to comments by stockbroker Peter Schiff, who noted that gold is at an all-time high but not Bitcoin.

The bear case for Bitcoin, on the other hand, is marked by "bearish technicals developing," spot flows returning to exchanges, a $39,000 Bitcoin CME (Chicago Mercantile Exchange) gap, an ease in futures demand and "juicy long liquidations up for grabs sweeping lows."

Read Next: Bitcoin's Bull Run Cripples Short Stock Sellers, Drains $2.6B From Their Pockets

Why Does It Matter: The SEC has an approval window from Jan. 5 to Jan. 10, 2024 for the Spot Bitcoin ETF. Currently, there are 13 applicants awaiting approval.

Below are several key items that provide additional context to Woo's post: 

• Earlier this month, Schiff highlighted on X that gold is trading at record-high levels, which he said is far more important than Bitcoin trading above $40,000. He further added that “[gold] has completely broken out. It's in uncharted territory, while Bitcoin still needs to rally more than 60% from here just to make a new high.”
• Federal Reserve rates are scheduled for a Dec. 13 release, and are expected to remain unchanged at 5.25% to 5.5%. Forbes reported that markets are expecting the Fed to cut rates rather than raise them in 2024.
• The U.S. dollar index has seen a 0.5% gain on a year-to-date basis, while the past month saw a 1.7% drop.
• Based on the CME gap of $39,000, Bitcoin prices can drop by 10%, therefore providing another buying opportunity for investors.
• CoinGlass data indicates that Bitcoin saw over $26 million in long positions wiped out. The entirety of Bitcoin liquidations totaled $43.58 million, with long positions accounting for 61.97%.

Also Read: Bitcoin Bull Frenzy Hits $44K As Futures Market Expects 10-12% Rise Into 2024

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