Bitcoin ‘bull trap’ forming as bear market enters middle phase: Willy Woo
Why it matters: Investors should brace for potential short-term rallies that mask a deeper, ongoing Bitcoin bear market.
- Willy Woo predicts a 'bull trap' for Bitcoin, a fake breakout that could last until the end of April, based on liquidity conditions rather than price levels.
- Woo believes Bitcoin is 'solidly in the middle of its bear market' after a 46.82% drop from October highs, and the current price isn't the bottom.
- Santiment corroborates Woo's view, noting that aggressive whale selling while retail investors buy below $70,000 typically signals an unfinished correction.
- CryptoQuant and Benjamin Cowen also agree Bitcoin is in a bear market, with Cowen specifically calling 2026 a 'bear market year' unlikely to bring new all-time highs.
- Bitcoin investor flows have shown 'consistent recovery' since mid-February, despite recent outflows from spot ETFs and the Crypto Fear and Greed Index falling to 'extreme fear' levels.
On-chain analyst Willy Woo warns of a looming Bitcoin 'bull trap' that could last until late April, suggesting a short-term rally before the bear market's broader downtrend resumes. This perspective is echoed by Santiment and CryptoQuant, who also indicate the correction isn't over, citing whale selling and retail buying below $70,000.
