Crypto analyst Joao Wedson stated that despite BTC experiencing further price drops, the bull market is far from over, evaluating the current market cycle of Bitcoin.
For the past three months, Wedson, who maintained a bearish stance, is now pointing to a lesser-known metric as an important indicator of Bitcoin’s strength: the Real Market Average Price.
According to Wedson, this metric excludes BTC from mining activities and has historically acted as a strong support level. Wedson reminded that Bitcoin held firm at this level during the market drop caused by the 2021 China Ban and reached an all-time high months later. “The market is complex and unforgiving,” said Wedson, noting that most investors often find themselves too late to make the right trading decisions.
Wedson, the CEO of the crypto analysis company Alphractal, warned that Bitcoin has entered a phase dominated by bearish signals, which he calls the “Chain Bear Market.” However, he believes that the real enthusiasm has not yet emerged in this cycle and suggests that there could still be significant upward movement. He told traders, “When this happens, don’t hesitate to take profits, buy the green.”
The analyst acknowledged that Bitcoin’s price could drop below $70,000 and potentially reach the Real Market Average Price around $64,000. Nevertheless, he continues to be confident that the bull market is strong and that BTC’s dominance could soon pave the way for an altcoin rally. With stablecoins starting to gain interest, he predicts a significant Altcoin Season in the coming months.
Wedson argued that contrary to popular belief, macroeconomic trends currently have a weak correlation with Bitcoin’s price movements. Even if traditional markets face turbulence, crypto markets will likely follow their own paths. He also noted that the crypto space is excessively volatile, stating that corrections of 20%, 30%, and even 50% are common during bull cycles.
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