On-chain analyst Willy Woo has issued a warning that Bitcoin could experience an 80% price correction, despite its strong performance in 2025. Woo attributes this potential downturn to reduced global liquidity, which he identifies as a significant risk factor. He notes that the market is in a late-cycle phase, reminiscent of previous crashes, with Bitcoin's price currently well above its liquidity base.
Woo highlights that while the cryptocurrency ecosystem has become more robust with transparent exchanges and regulated ETFs, liquidity remains a crucial driver of market stability. His analysis points to rising risk levels as Federal Reserve liquidity injections decrease, a trend historically associated with sharp market reversals. Bitcoin is trading above $122,000 but remains susceptible to macroeconomic changes.
Willy Woo Warns of Potential 80% Bitcoin Correction Due to Liquidity Concerns
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