Trading is all about statistics.
And statistics do not allow us to sell here.
Our Phase Indicator comes to the same conclusions : its probability calculations give the advantage to the bounce over the future drop.
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The latest #Bitcoin dip has caused the classic indicators (RSI and others), whether on a weekly, biweekly, triweekly or monthly timeframe, to be in extreme oversold areas, the lowest historically reached, uniquely reached in the historical bottom zones.
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We are on an extreme dip case, so the methodology adopted is an extreme "buy the dip".
I remind you that the daily RSI(1000) has been below 50 for 2 days.
This only happened a few days around the previous historical bottoms.
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Of course, one hypothesis would be that #Bitcoin has radically changed its "structure" and that, as its correlation with the #StockMarket increases, we cannot rely on its classical indicators.
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But this would be to consider #Bitcoin as an asset like any other, forgetting its anti-inflationary, or deflationary, structure.
That is, unlike traditional currency (euro, dollar, yen, etc.), its money supply is limited in its own programming.
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1. XOR indicators make choices based on probabilities,
2. Bitcoin indicators make choices based on #Bitcoin's history and market psychology,
3. #Bitcoin's structure probably sets the ultimate limits for macro correlations.
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These 3 elements lead us to the same conclusion, which I repeat here :
Trading is all about statistics.
And statistics do not allow us to sell here.
- Over 99% have fallen 70% from their all-time highs.
- Over 98% have fallen 90% from their all-time highs.
- Over 96% have fallen 99% from their all-time highs.
The probability of new bullish runs for the "survivors" is very high.
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Our algorithm implements strategies exploiting the strengths of the best players in a Darwinian system and recalculates these "strengths" ("strengths" which mathematically correspond to the probability of the crypto c rising over the next x hours), every hour, night and day.
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