KEY POINTS

  • Analyst claimed the next Bitcoin bull run will start in July 2020
  • The bull run was expected early this year until the coronavirus pandemic destroyed the markets
  • Bitcoin remains in an uptrend despite sideways consolidation

Analyst Willy Woo’s new Bitcoin price model suggested the next bull market will start in July 2020. Woo used eight-year historical data to find the beginning of exponential bull runs.

Woo argued Bitcoin was supposed to set up for a bull run until the coronavirus destroyed the markets. This made the "set up" take longer to start. In February 2020, Bitcoin was about to breach the year-long resistance of $10,500, but price rejection and decline soon followed. On March 12, the pandemic situation decimated markets everywhere, including that of Bitcoin. Since then, Bitcoin has become more correlated with the S&P 500.

On Twitter, the analyst said the longer the bull market takes to wind up, the higher the peak price would be. “A long sideways accumulation band is ultimately a good thing,” he added.

Bulls failed to defend the $9,200 support Friday (June 26), allowing a free fall to $8,806 Saturday on Coinbase. A key support area since early May, Bitcoin’s price bounced on the $8,800 level to begin a minor uptick to $9,100 on Sunday. The positive increase triggered $3.7 million worth of liquidation to short sellers in the last 24 hours on crypto exchange BitMex.

With all the predictions getting published lately, some commenters on Twitter argued that technical analysis does not work on Bitcoin. Woo conceded technical analysis may not work on intra-week analysis, but defended his analysis that took into account macro activity into the charts.

Many bull run predictions are still in play. In particular, Bloomberg’s crypto outlook suggested Bitcoin would revisit $20,000 levels before 2020 ends. Timothy Peterson, Financial Analyst and Cane Island Alternative Advisor said the world’s first cryptocurrency could be weeks away from $75,000.

Despite the plunge to $8,800, Bitcoin should still be in a bullish trend based on an earlier analysis from trader “Cryptorphic.” He believed the overall bearish sentiment would only happen once Bitcoin breaks below $8,600, which confirms a trend reversal.

The same thing was said by Crypto Analyst Joseph Young. Writing for Cointelegraph, Young said current corrections and consolidations aside, the price of Bitcoin is still in an uptrend. “The resilience of key Bitcoin support levels raise the probability of a strong bull market in the medium to long-term.” he added.

Bitcoin A Bitcoin (virtual currency) paper wallet with QR codes and a coin are seen in an illustration picture taken at La Maison du Bitcoin in Paris, France, May 27, 2015. Photo: REUTERS/Benoit Tessier