Analyst Willy Woo identified a rare signal from the Fisher Transform indicator, which tracks Bitcoin price trends. This tool, developed in 2002, uses a log-based transform to smooth price action and identify trend strength through two lines that fluctuate around a zero center.
The indicator recently produced a bullish crossover for the fourth time in Bitcoin's history. This event occurred in July at a level of -2.26. According to historical data on monthly time frames, such reversals have previously corresponded with bear-market bottoms.
Woo noted that while the signal suggests a potential new macro uptrend, price consolidation or further declines remain possible. He explained that speculative traders, who are more active during bull markets, can cause choppy movements that reduce the reliability of signals.
On the weekly chart, the indicator reached a swing low of -2.85 at the end of December 2025, when Bitcoin was trading near $90,000. Since then, the Fisher Transform has shown higher lows despite the asset price hitting lower lows, indicating a bullish divergence.
Market uncertainty persists regarding whether the July 1 lows of approximately $57,000 marked a definitive cycle bottom. Recent data shows limited buyer interest, with bid-side activity primarily driven by a small number of large-volume investors.
