Bitcoin Rally Faces Pressure as Buying Momentum Wavers, Analyst Warns

Bitcoin's sharp ascent may soon run into trouble unless fresh highs materialize quickly, according to on-chain market analyst Willy Woo, who has flagged signs of weakening momentum in recent data.

Woo, who closely monitors blockchain activity, believes the flagship cryptocurrency is approaching a critical juncture. Despite strong bullish sentiment in recent weeks, capital inflows have started to stall—an early warning that enthusiasm may be outpacing real demand. Without another leg upward in price, Bitcoin could begin forming bearish patterns on long-term charts, increasing the likelihood of a correction.

At the center of this concern is the Spent Output Profit Ratio (SOPR), a metric that shows a large number of holders are sitting on considerable profits. That raises the risk of selling pressure if the market loses steam. Woo notes that speculation is running hot, which historically has been followed by phases of profit-taking and consolidation.

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There are still bullish signals in play, including a decline in Woo’s proprietary Bitcoin Risk Signal, which suggests the asset remains in an overall positive structure. If momentum returns in the early part of the trading week—particularly following the U.S. holiday lull—a breakout toward $114,000 could trigger a wave of short liquidations and extend the rally.

However, the past few days have seen a notable slowdown in network-level buying activity, which is rare during such an aggressive price run. The lull, coming after Bitcoin surged from $75,000 to over $112,000, suggests investors may be hesitating at these elevated levels.

Whether this hesitation turns into a deeper pullback or sets the stage for another breakout depends heavily on how the market responds in the coming sessions.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.