BitcoinBearSlayer

BTC - Price is rising but money flow is falling

BITSTAMP:BTCUSD   Bitcoin / U.S. Dollar
Starting to the left of this chart you can see the price was rising while the money flow was rising (buying pressure) followed by the price falling as the money flow fell (selling pressure). Then prices up as money flow rose. Now look at where we are today. The price has been rising but the money flow had been declining and has even broken the zero line. This appears to be a bearish divergence.

Conclusion: Price will eventually follow the money flow . In this case - lower
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Except, how do you explain aug 11th - aug 18th? Money flow dropped while price rose. Its hard to say what it means. Money flow doesn't really increase until the short term bear run starts, as seen after aug 23rd
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@csdailey, good observatiob
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Look at the 13th and 14th with the upper and lower pins. It took at lot of selling pressure to knock the price down forming the upper pin followed by a lot of buying pressure on on the 14th to create the lower pin signalling a possible trend change.
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