‘Rick Astley’ hodlers to the rescue of Bitcoin again?
The recent market shake-offs were enough to send chills down anyone’s spine. Amid the constant ups and downs, the volatility chills, deadly death crosses, and crackdowns by regulators, Bitcoin survived, rather came out stronger according to many analysts.
As the king coin’s market cap fell by almost 20% many abandoned the ship thinking it would sink. On the other hand, on-chain analyst and trader Willy Woo was of the opinion that “Bitcoin is fighting the final boss in a video game” and is set to come back stronger.
In a recent podcast, when host Peter McCormack cited concerns related to the recent Death cross asking if it was a “real thing.” Woo commented:
“It is a real thing in traditional markets but it just doesn’t work for cryptocurrencies. If you backtrace it in the Bitcoin market it is basically buying the dip more often. BTC market is very different from the traditional market. Bitcoin is like a really early tech stock where that’s at 2% penetration of its maximum saturation.”
Woo further highlighted that the number of users in the Bitcoin market doubles every year, even in a bear market. He argued that this market grows exponentially so these death crosses don’t seem to work because “the underlying upswell is an exponential growth.” Bitcoin’s death crosses have occurred right after its price has registered prominent drops in the past.
Further Woo presented the possibility of the entry of ‘Rick Astley’ hodlers to push BTC’s price up. The cryptosphere is filled with all kinds of jargon for Bitcoin holders, one such jargon developed by Woo himself is ‘Rick Astley‘ buyers (named after the British singer who had his one-hit-wonder in 1987). These buyers are essentially strong hands who are never gonna give up, instead Hodl coins and never let the balance of their sats go down.
It is interesting to note that on April 13 when Bitcoin had blasted past $63K many, including Woo had attributed that to ‘Rick Astley’ HODlers.
The analyst was quick to point out that ‘Ricks’ were active in early 2021 however the past couple of months saw a rise in speculative traders that buy and sell. The market is slowly moving to Ricks again, according to Woo. A week back he had also posted about the same on Twitter in series of Tweets:
Oh my, Rick Astley is back. Coins are moving back to the HODLer who never deserts his BTC. pic.twitter.com/aZGwK1DzeE
— Willy Woo (@woonomic) June 20, 2021
“Whales aren’t selling. Sharks aren’t selling. Dolphins aren’t selling. Big holders are holding. Octopussies and fishies are stacking this dip. Crabs are stacking as hard as their little shells will let them.”
According to the analyst, this is the final cycle for Bitcoin. He argued that we are in the fourth epoch and the inflation rate “is low and almost equivalent to that of gold”. So in the next epoch, the selling pressure from miners will be infinitesimal. He compared that by saying that “the selling pressure cannot be more than Micheal Saylor’s buying, or anyone else’s for that matter”
The analyst thus concluded that looking at sell pressure in a bull market would thus be kind of “pointless”.