On-chain analyst Willy Woo has warned that the current rise of Bitcoin to the $80,000 mark could be dangerous for investors and does not indicate the formation of a sustainable bottom in the market. According to the expert, the increase is primarily supported by futures liquidity rather than long-term investors.
This is reported by Finway
Why Bitcoin’s Rise May Be Deceptive
According to Woo’s assessment, market fundamentals remain strong at a local level, paving the way toward the mid-range of $80,000. However, he emphasizes that this movement is driven by the activity of short-term players in the futures market, and such liquidity can lead to sharp price fluctuations and mass liquidations of positions.
“Be cautious, as this will be a bull trap; the bottom has not yet formed. Judging by the liquidity situation, we have gone through about a third of the bear market,” Woo noted.
The analyst’s warning comes amid a resurgence of buyer activity following significant sell-offs in February 2026. Despite signs of renewed interest in Bitcoin, the expert stresses that the market remains in a phase of uncertainty.
Liquidity and Exchange Signals
Woo highlighted that the current rise of Bitcoin is being formed by derivative liquidity, making the market situation unstable. Such dynamics often end with sharp price movements and cascading liquidations of traders’ positions. He also mentioned his previous assessment that after a sharp decline in early March, a short-term recovery is possible, which would precede further declines.
Data from CryptoQuant indicates a gradual return of buyers. On Binance, the average 30-day delta of Bitcoin volume has risen from -$145 million to +$21 million, while on Coinbase it has increased from -$88 million to +$14 million. Representatives from the platforms note that this could indicate a revival of interest in the asset; however, analysts emphasize that the signal still requires further confirmation.
The situation is complicated by low liquidity and the absence of a clear market bottom. Market participants are advised to exercise caution, especially ahead of the upcoming meeting of the U.S. Federal Reserve, which could impact the dynamics of risk assets.
It was previously reported that U.S. President Donald Trump criticized the Fed and called for an immediate reduction in the key interest rate.