Saturday, March 9, 2019

#Bitcoin Review $GBTC

Bitcoin Review
Those that view the message of the market on daily basis are likely confused by trading noise. While trading noise contributes to the long-term trends, it does not define them. Human behavior tries to explain trading noise as a meaningful trend. This confuses the majority which, in turn, contributes to their role as bagholders of trend transitions.

Bitcoin's overall trend, revealed by trends of price, leverage, and time, defined and are discussed in The Matrix for subscribers.

Subscriber Comments

It's a safe bet that most trading desks see an inverted head and shoulder pattern developing in Bitcoin. That interpretation can be accomplished by reading one technical analysis book. It's not to say a bullish resolution is not possible, but there's more going on in bitcoin analysis price & volume of the daily trend.

For starters, Bitcoin's trend is a composite of multiple (really infinite) fractal trends. We don't need to study them all - only 3 or 4 to develop the composite trend. The current inverted head and shoulders pattern doesn't even exist in the month or quarter charts.

Next, the flow of time is extremely important. This concept is left out of most TA books. Bitcoin is rallying because the weekly (secondary) trend needs a reset; the cycle of time is (extremely) extended. What happens after the reset? We'll see. A downside resolution, however, is more a favorable outcome than a runaway rally to the upside. Why? The primary trend is still down and relatively young. This observation must be framed within the flow of leverage which the Matrix defines as distribution during consolidation or what many see as a rally. Distribution or accumulation is defined by DI (line 38, column J).

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Market-driven money flow, trend, and intermarket analysis is provided by an Insights key.