According to on-chain analyst Willy Woo, Bitcoin’s recent price surge is due to movements in the futures markets. Woo, who has over a million followers on Twitter, shared his insights into this price trend using data from Glassnode.
Woo’s analysis shows that the price changes are mainly driven by demand in the calendar futures markets, a tool typically used by professional and institutional investors. He also notes that this demand continues to grow, indicating the early stages of further potential price pressure.
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However, according to statistical analysis, Woo also warns of overbought calendar demand. “It will be important to watch for a decline in base. It could quickly dissipate and impact the bullish price action,” he warns. He explains that “basis” in this context refers to the cost of maintaining a long position and serves as a quantifiable measure of demand from calendar futures.
At the time of writing, Bitcoin is up % over the past 24 hours and is trading at $31,028 according to data from CoinMarketCap.
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