According to on-chain analyst Willy Woo, the next 2 days and 16 hours could make or break Bitcoin’s short-term momentum. In a recent tweet, Woo warned of an impending bearish divergence on the weekly chart if Bitcoin fails to rally in this short time frame.
“Dear Mr Bitcoin, you have 2 days 16 hours to rally or you’re gonna print a bearish divergence on weekly charts and then we will be bored for weeks and weeks,” Woo tweeted, accompanied by a Bitcoin USDT weekly chart.
Woo’s warning suggests that unless Bitcoin pushes significantly higher in the next 63 hours, it might print a bearish divergence on its weekly chart. This move could imply that traders could be in for a lengthy period of sideways price action, low volatility and reduced volume — in other words, weeks of boredom.
Bitcoin quietly fell to its lowest level since May 20 as crypto markets cooled after a multiweek rally from April lows.
The lead cryptocurrency hit a session low of $104,624 after three days of drops before recovering slightly above $105,935 at press time, down 2.61% in the last 24 hours. The entire crypto market suffered losses early Friday with $703 million in liquidations.
What on-chain data suggests
According to Glassnode, the MVRV Ratio compares BTC’s market price to the average investor cost basis, indicating when investors have significant unrealized profits. Bitcoin is currently trading between the +0.5σ ($100,200) and +1σ ($119,400) bands, a zone that frequently precedes local highs.
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While BTC is near overheated territory, it has not yet crossed above the +1σ MVRV band, a level that historically triggers mass profit-taking. Until then, the market may still have the potential to expand before investor profits become “too good not to sell.”
Historically, price discovery phases have been followed by brief sell-offs, as early profit-takers seize the opportunity to exit and derisk at new highs. Bitcoin has thus far followed this pattern, falling after reaching all-time highs near $112,000 on May 22.
In the case of a further rise, the $120,000 level appears to be a key zone of interest, with sell-side pressure expected to increase in and around here.
