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A Bloomberg analyst is issuing a warning to traders, saying that Bitcoin (BTC<\/a>) is winding up to make a big move.<\/p>\n Bloomberg Intelligence\u2019s senior macro strategist Mike McGlone tells<\/a> his 61,300 followers on the social media platform X that the king crypto is as \u201ccoiled\u201d up in between a narrow range between major moving averages, suggesting volatility in the near future.<\/p>\n \u201cRisks of short cleansing, the morning of Oct. 16.<\/em><\/p>\n Bitcoin\u2019s narrowing $25,000-$29,000 cage; breakout ramifications \u2013 <\/em><\/p>\n Stuck between its 50- and 100-week moving averages with annual volatility falling to a new low, Bitcoin is about as coiled to move as it gets.\u201d<\/em><\/p>\n According to McGlone, BTC is bound for a major move \u2013 <\/em>the only question is the direction. He says that BTC is more likely to collapse to the downside than to rally.<\/p>\n \u201cIt\u2019s a question of direction, and my bias is downward along with a top measure of liquidity: fed fund futures in one year\u2026<\/em><\/p>\n What\u2019s typically been a prerequisite <\/em>for this liquidity indicator to turn positive is Bitcoin <\/em>falling first. If the 24\/7-traded, highly speculative <\/em>crypto leading indicator can sustain above its <\/em>downward sloping 100-week mean, it might portend <\/em>risk-on, inflation and more central bank restraint. <\/em><\/p>\n This may be part of the lose-lose for risk assets with <\/em>the Fed bias still tightening amid late-stage <\/em>economic cycle leanings. Showing broad market <\/em>complacency, Bitcoin volatility vs. the 500 is <\/em>about 2.8x to Oct. 13 and above the 1.9x low from Q4 2020<\/em>.\u201d<\/em><\/p>\n In a recent interview with crypto influencer Scott Melker, the strategist reiterates<\/a>\u00a0his position.<\/p>\n \u201cBitcoin goes up in the liquidity and does well when the stock market\u2019s doing well and then it goes down the other way. So here\u2019s what I think\u2019s going to happen: they\u2019re both going to go down.\u201d<\/em><\/p>\n BTC is worth $28,475 at time of writing.<\/p>\n