Bitcoin (BTC) could be on the verge of a significant price surge, according to on-chain analyst Willy Woo. Woo, who has a following of 1.1 million on the social media platform X, points to a bullish divergence on Bitcoin’s volume-weighted average price (VWAP) oscillator chart as evidence. He believes that BTC has “lots of room to run” and that it could potentially reach “escape velocity.”

The VWAP is a measure of an asset’s average traded price throughout the day, taking into account both volume and price. Traders use this indicator to determine whether an asset is being traded underbought or overbought based on its intraday price action. Woo explains that he is using on-chain volume instead of exchange reported volume in his analysis, which helps exclude short-term speculation and focus on investor movements.

Woo’s analysis suggests that the bullish divergence between the VWAP oscillator and Bitcoin’s value indicates a growing appetite among investors to accumulate BTC, even as prices decrease. This type of divergence is often seen as a signal that an asset may be preparing for a trend reversal.

In addition to his recent analysis, Woo previously predicted that Bitcoin would reach $1 million by 2035. He believes that there is a historical correlation between Bitcoin’s value and the number of BTC users, which he expects to continue increasing based on his growth curve model.

As of now, Bitcoin is trading at $62,977 and has seen a nearly 5% increase in the past week.

Please note that the opinions expressed in this article are not investment advice, and investors should conduct their own research before making any high-risk investments in Bitcoin or other cryptocurrencies.