BTCUSD ~ Market Momentum Angle
Here I am demonstrating market momentum trajectory in a super simple way where, in fact, you can fully understand market cycles and trend in a likewise super simple way.
Basically think of market momentum and trend as a measurement of the angle above 0 degrees.
Positive trend = positive angle = bull market
Negative trend = negative angle = bear market
Duh....right?
Well one thing you can also do with this is look at how the bull and bear markets are changing pattern.
Because a bear market doesnt just happen overnight. You dont have an positive-65-degree bull market and then tomorrow have a negative-65-degree bear market.
You get small indications where the curve topples over and begins the new trend.
Over the last weeks I believe we have shifted trend in the market.
This means, IMO, we are in an accumulation stage rather than a bull market stage.
Given this accumulation stage is still quite positive angle, I fully believe we are accumulating for another bull run.
You can measure the angle of the accumulation stage we were in before the previous bull run that topped at 62k to see the difference of angle of this accumulation vs previous accumulation as well - another good indicator telling us how shaper the upward angle will be in the next bull run.
EG: If previous angle was 15-degrees accumulation stage, and then resulted in a 45-degree bull run; -- ; and in this phase we are in a 20-degree accumulation stage, that means we should see a 60-degree bull run (sharper upward angle, and much bigger increase % in price).
Another thing is that we did not hit the 20W MA (20 weekly moving average) which we havent hit for many months. BTC and all cryptos, generally want to touch back down on the 20W MA, and the longer the chart stays above or below this line, the stronger the "gravity" pulling it back to it.
However, an accumulation stage would allow the 20W MA to catch up to the price, but it would require a longer accumulation stage to give the 20W MA time it needs to catch up.
One way or another, I believe we have to eventually hit the 20W MA at this middle point of the bull cycle.
So, setting buy orders above and below (hoping for dump panic sell wicks) is always a solid idea. Easiest and best way to "buy the dip".
Basically think of market momentum and trend as a measurement of the angle above 0 degrees.
Positive trend = positive angle = bull market
Negative trend = negative angle = bear market
Duh....right?
Well one thing you can also do with this is look at how the bull and bear markets are changing pattern.
Because a bear market doesnt just happen overnight. You dont have an positive-65-degree bull market and then tomorrow have a negative-65-degree bear market.
You get small indications where the curve topples over and begins the new trend.
Over the last weeks I believe we have shifted trend in the market.
This means, IMO, we are in an accumulation stage rather than a bull market stage.
Given this accumulation stage is still quite positive angle, I fully believe we are accumulating for another bull run.
You can measure the angle of the accumulation stage we were in before the previous bull run that topped at 62k to see the difference of angle of this accumulation vs previous accumulation as well - another good indicator telling us how shaper the upward angle will be in the next bull run.
EG: If previous angle was 15-degrees accumulation stage, and then resulted in a 45-degree bull run; -- ; and in this phase we are in a 20-degree accumulation stage, that means we should see a 60-degree bull run (sharper upward angle, and much bigger increase % in price).
Another thing is that we did not hit the 20W MA (20 weekly moving average) which we havent hit for many months. BTC and all cryptos, generally want to touch back down on the 20W MA, and the longer the chart stays above or below this line, the stronger the "gravity" pulling it back to it.
However, an accumulation stage would allow the 20W MA to catch up to the price, but it would require a longer accumulation stage to give the 20W MA time it needs to catch up.
One way or another, I believe we have to eventually hit the 20W MA at this middle point of the bull cycle.
So, setting buy orders above and below (hoping for dump panic sell wicks) is always a solid idea. Easiest and best way to "buy the dip".
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