Bitcoin To Reach Escape Velocity? Analyst Makes The Case

Bitcoin’s potential for reaching escape velocity has been highlighted by an analyst, who suggests that a bullish divergence in the Volume-Weighted Average Price (VWAP) oscillator could indicate a significant upward trajectory for the cryptocurrency. The VWAP is an indicator that calculates an average price, factoring in both price and volume. While most VWAP calculations use exchange-reported volume, this analyst has utilized on-chain volume for Bitcoin. The VWAP oscillator, which reflects the ratio between the asset’s spot price and VWAP, has recently shown a positive turnaround after being in negative territory for the past month. The analyst believes that this bullish divergence has the potential for further upward movement. Additionally, Bitcoin whales (investors holding 1,000 BTC or more) have been buying during recent market lows, although the scale of their buying has been diminishing. At the time of writing, Bitcoin is trading at approximately $63,500, with a 1% increase over the past week.