Bitcoin price action in correlation with USDT dominance - update
For now it looks like USDT dominance didn't reach upper boundary when last dump occur which isn't good sign. Last time when USDT dominance jump so high (approx. 55% from current level) is when BTC dumped 25% in a day.
If something like this happen again BTC would probable dump to 30k region (red scenario). This would be marked as a start of bear market for sure.
Only way to move USDT dominance to that level is another big market dump or massive USDT printing.
Green scenario is the one most of crypto community is hoping for. Also that is reason I'm not that sure it will happen. Crypto always find new way to demolish majority sentiment and portfolios.
Red scenario is massively bearish and that would clean market from super bulls completely, everyone will call it start of bear market. Maybe that is exactly what big boys planning.
If we close under May/June lows it will be end of bull market for sure, but massive long liquidation and another leg down to 30-32k with huge wick wouldn't surprise me at all.
For now I'm still more on green scenario side, but I'm trying be prepare for every situation, even this red one.
This is update from last BTC-USDT.D correlation analysis:
If something like this happen again BTC would probable dump to 30k region (red scenario). This would be marked as a start of bear market for sure.
Only way to move USDT dominance to that level is another big market dump or massive USDT printing.
Green scenario is the one most of crypto community is hoping for. Also that is reason I'm not that sure it will happen. Crypto always find new way to demolish majority sentiment and portfolios.
Red scenario is massively bearish and that would clean market from super bulls completely, everyone will call it start of bear market. Maybe that is exactly what big boys planning.
If we close under May/June lows it will be end of bull market for sure, but massive long liquidation and another leg down to 30-32k with huge wick wouldn't surprise me at all.
For now I'm still more on green scenario side, but I'm trying be prepare for every situation, even this red one.
This is update from last BTC-USDT.D correlation analysis:
