Good Evening Folks, we've seen this all too many times before, haven't we?
A SIMPLE CHART, but with deep evaluation...
We sere here yet another observation on historical flow of volume across multiple exchanges showing weakness which is typical of downward price momentum and price decline. We easily forget that volume isn't there until it magically is again, why is that? Well, we've seen this before, slow decline in volume until where it becomes stagnant preceding a significant move (either capitulation downward or impulse upward). Main point being it breaks the trend and spikes up creating a increase in demand over supply, shifting market sentiment and a flurry of retailers buying into the rise.
What do we make of this? Well, it means volume of money trading is declining, not necessarily selling only. On-chain data, in fact, supports the theory of macro accumulation over time. Volume is simply the flow of spot vs an asset, people aren't interested, they're undecided, fearful or lost interest.
Volume will spike again once retailers have either capitulated or the demand surpasses the market supply and the frenzy begins where people simply market buy. Why would this time be different, did psychological behavior change? I doubt it did.
We've seen a slow decline in volume for a while now and this means it is leading up to a very large move indeed - perhaps capitulation ahead still, we cannot ignore this. My opinion, I don't think we've bottomed fully yet, but on a MACRO scale this is leading up to a large shift in trend where volume will climb back up like we saw after previous macro bear trends and I wouldn't expect an immediate reaction to the price, but rather a more stable price that will begin to make higher highs and higher lows on a micro scale while this on-chain accumulation slowly begins to show the market that 69k was not even close to the top.
Like a long train gearing up for the journey ahead, slow to start but impossible to stop later.
All for now!
V
A SIMPLE CHART, but with deep evaluation...
We sere here yet another observation on historical flow of volume across multiple exchanges showing weakness which is typical of downward price momentum and price decline. We easily forget that volume isn't there until it magically is again, why is that? Well, we've seen this before, slow decline in volume until where it becomes stagnant preceding a significant move (either capitulation downward or impulse upward). Main point being it breaks the trend and spikes up creating a increase in demand over supply, shifting market sentiment and a flurry of retailers buying into the rise.
What do we make of this? Well, it means volume of money trading is declining, not necessarily selling only. On-chain data, in fact, supports the theory of macro accumulation over time. Volume is simply the flow of spot vs an asset, people aren't interested, they're undecided, fearful or lost interest.
Volume will spike again once retailers have either capitulated or the demand surpasses the market supply and the frenzy begins where people simply market buy. Why would this time be different, did psychological behavior change? I doubt it did.
We've seen a slow decline in volume for a while now and this means it is leading up to a very large move indeed - perhaps capitulation ahead still, we cannot ignore this. My opinion, I don't think we've bottomed fully yet, but on a MACRO scale this is leading up to a large shift in trend where volume will climb back up like we saw after previous macro bear trends and I wouldn't expect an immediate reaction to the price, but rather a more stable price that will begin to make higher highs and higher lows on a micro scale while this on-chain accumulation slowly begins to show the market that 69k was not even close to the top.
Like a long train gearing up for the journey ahead, slow to start but impossible to stop later.
All for now!
V
Vatsik