Understanding the Money Flow in the Coin Market

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(USDT 1D Chart)


(USDC 1D Chart)


I believe that USDT and USDC show a gap up trend when funds flow into the coin market, and a gap down trend when funds flow out.

Therefore, unless the gap turns into a downtrend, the coin market is expected to maintain its upward trend.

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(USDT.D 1D Chart)


(1M Chart)


As funds flow into and out of the coin market through USDT and USDC, USDT dominance is likely to ultimately rise.

However, I believe that the funds (USDT, USDC) flowing into the coin market will change dominance through trading.

In other words, if USDT dominance declines, the coin market is likely to trend upward.

This is because coins (tokens) are being purchased with USDT.

If USDT dominance remains below 4.91 or declines, the coin market is likely to trend upward.

Therefore, if USDT dominance rises without any evidence of fund outflows through USDT or USDC, it can be interpreted as a temporary increase in selling pressure.

If USDT or USDC gaps downward in this situation, the price will fail to defend, leading to a downward trend in the coin market.

Therefore, it's best to look at the USDT and USDT.D charts to understand the general flow of funds.

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(BTC.D 1D chart)


(1M chart)


I believe BTC dominance reflects the relationship with altcoins, rather than the rise or fall of the coin market or the rise and fall of BTC itself.

In other words, rising BTC dominance indicates a concentration of funds toward BTC, increasing the likelihood that altcoins will gradually move sideways or experience a downward trend.

Therefore, for an altcoin bull market to begin, it must remain below 55.01-62.47 or show a downward trend.

Therefore, it is recommended to check BTC dominance before trading altcoins and develop a trading strategy.

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Summary of the above:
For the coin market to continue its bull market,
1. USDT and USDC must maintain a gaping upward trend.
2. USDT dominance should decline below 4.91.
3. BTC dominance should decline below 55.01.

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Thank you for reading.
I wish you successful trading.

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