At first, we have to understand that Bitfinex doesn't concentrate most of the market however nowadays arbitrage bots reflect orders almost instantaneously, causing the market to converge on data information.
On the 4-hour chart we can observe a distribution starting around 1:00 on the 26th of April and extending to the 11th of May.
The famous "Sell In May an Go Away" took the market with a removal of capital which can be seen by the decrease of the Long position at 9600 BTC and also the short position at approximately 2900 btc, as the market lateralizes.
In short, the market lost interest and with it a net reduction of 6700 BTC of position.
Every market when distributed weakens, becomes fragile !!!
Saturated, the market gave way.
DOWNTREND:
The players then decided to take advantage and open short position, which had a big rise between May 16th and 17th. The price in this period was between 49500 and 42200.
So, without buyers and with shorters, the market collapses. So the Shorters take the opportunity to close their short positions.
ACCUMULATION - PHASE A:
Short positions closed We have the Selling Climax created, with the automatic Rally right after it, it would be the beginning of a Wyckoff accumulation.
ACCUMULATION - PHASE B:
As you can see, the accumulation phase at B is driven by an increase in Long positions as the market lateralizes, absorbing more and more BTC in Dips.
ACCUMULATION - PHASE C:
After successive absorptions in the dips with some realizations in tops that guarantee an improvement in the average positioned price, the market applies a FUD.
The intention of the FUD is always to buy cheaper, that is, to attract bears to help push the price and turn the hand on the bottom, absorbing as it was absorbing before in phase B. Except now the player finds a market with greater scarcity.
Typically this FUD is applied to complete Passive Accumulation and begin an aggressive accumulation that will form phase D.
ACCUMULATION - PHASE D:
It can be seen by the shorters that some Bears were trapped, this happens frequently at the end of accumulations and it is these losing players that are responsible for the classic movement of breaking Resistance called JUMP AT THE CLIFF.
Confirming the JUMP AT THE CLIFF the market enters phase E, firing up and then returning to a Pullback to then resume a bullish direction.
Maybe that's the long-awaited destination for the 100k in December.
You can see that the market goes through the stages of accumulation perfectly, for those who know the stages of accumulation of wyckoff this may look like a painting, I might be thinking of creating an NFT of this, it's beautiful!
On the 4-hour chart we can observe a distribution starting around 1:00 on the 26th of April and extending to the 11th of May.
The famous "Sell In May an Go Away" took the market with a removal of capital which can be seen by the decrease of the Long position at 9600 BTC and also the short position at approximately 2900 btc, as the market lateralizes.
In short, the market lost interest and with it a net reduction of 6700 BTC of position.
Every market when distributed weakens, becomes fragile !!!
Saturated, the market gave way.
DOWNTREND:
The players then decided to take advantage and open short position, which had a big rise between May 16th and 17th. The price in this period was between 49500 and 42200.
So, without buyers and with shorters, the market collapses. So the Shorters take the opportunity to close their short positions.
ACCUMULATION - PHASE A:
Short positions closed We have the Selling Climax created, with the automatic Rally right after it, it would be the beginning of a Wyckoff accumulation.
ACCUMULATION - PHASE B:
As you can see, the accumulation phase at B is driven by an increase in Long positions as the market lateralizes, absorbing more and more BTC in Dips.
ACCUMULATION - PHASE C:
After successive absorptions in the dips with some realizations in tops that guarantee an improvement in the average positioned price, the market applies a FUD.
The intention of the FUD is always to buy cheaper, that is, to attract bears to help push the price and turn the hand on the bottom, absorbing as it was absorbing before in phase B. Except now the player finds a market with greater scarcity.
Typically this FUD is applied to complete Passive Accumulation and begin an aggressive accumulation that will form phase D.
ACCUMULATION - PHASE D:
It can be seen by the shorters that some Bears were trapped, this happens frequently at the end of accumulations and it is these losing players that are responsible for the classic movement of breaking Resistance called JUMP AT THE CLIFF.
Confirming the JUMP AT THE CLIFF the market enters phase E, firing up and then returning to a Pullback to then resume a bullish direction.
Maybe that's the long-awaited destination for the 100k in December.
You can see that the market goes through the stages of accumulation perfectly, for those who know the stages of accumulation of wyckoff this may look like a painting, I might be thinking of creating an NFT of this, it's beautiful!
