Not only from the liquidity standpoint, but also from the ECONOMICAL standpoint.
Read this thread and understand..
The Dollar Index...
So, from the economical standpoint..
BULLISH Dollar = Less Dollar supply circulating in the economy which is BAD for the economy.
BEARISH Dollar = More Dollar supply circulating in the economy which means people have more $ which is GOOD.
At the moment, we're witnessing Bitcoin bottom out in perfect sync with the Dollar.
I'm not saying BTC will make a new All Time High, but this sure does set the stage for a Low-Risk environment for BTC to move up to 26K.
Take a look at the dollar chart.
Another instrument that is a GREAT indicator of #Bitcoin MACRO trends is Silver.
I was inspired by @i_am_jackis to adopt this MACRO multi-market analysis style.
At the moment, we're seeing Silver Bottom out in PERFECT SYNC with #Bitcoin
Coincidence? I don't think so.
US 10 Year Bond Yields..
This is a FANTASTIC Indicator of the Equities Market
Bond Yields going down means HIGHER Prices on Stocks because investors want to move their money out of Low-Yielding bonds to Higher-Yielding stocks
This transition sets the stage for a BULLISH Market
#SPX500 With S&P Finally clearing out the MAIN Sellside Liquidity target, we're now entering a BUY PROGRAM.
Coincidence? I don't think so.
Buying #Bitcoin now is A SMART & CALCULATED DECISION.
USDT Dominance + USDC Dominance.
What does this chart mean? This shows how much of the money circulating in crypto is held in STABLECOINS vs the TOTAL Money Circulating in Crypto.
What do the moves on this chart mean for Bitcoin? Check the next page.
A move down on STABLECOIN Dominance means investors are using up their stablecoins to buy up other assets, which typically results in Bullishness for the rest of the Crypto Market.
I rest my case.
To conclude, I don't see a scenario where #Bitcoin doesn't move up to 26K.
Have you ever wondered what is the EXACT definition of liquidity?
Because, when you look it up, you can't really find an exact definition as to what "LIQUIDITY" means in the realm of trading..
Let me break it down for you:
Water flows. Why? Because it's liquid.
In the financial industry, certain assets are considered liquid and certain are considered illiquid judged by how easily you can exchange them.
i.e: A house is not very liquid, you can't buy many things with a house.
However, CASH is the MOST LIQUID ASSET because you can buy almost anything with CASH.
Therefore if you are turning an illiquid asset to CASH, you are liquidating.
That is why when you exchange your POSITIONS in the markets for CASH, you are liquidating.
You can see here two charts, one representing my TA based off of my understanding of candle sticks, and on the other you can see the COT data from commercials.
The COT data indicates they have been shorting ever since we started going up.
So to conclude, EURGBP should go down to the final target that was mentioned on the initial chart because Smart Money has been shorting this entire move up, accumulating to dump it big time.
Why do I think the banks manipulate the prices of all the major FX pairs, indices etc?
To start, I don't just think, I know.
I will begin by convincing you of it, then at the end I will show proof.
Imagine you were filthy rich and some random broke dude wanted to bet you that the sun won't rise tomorrow.
You would obv try to manipulate him to bet as much $ as possible, you would even go to the extent of bribing the media to support him so that you could make more $
The banks are profiting off retail because the way retail thinks is universal. Set your stoploss at a "strong low", a strong move up indicates more upside, et cetera.
They know where your stoploss is becuase it aint a secret, they know where your TP is because it aint a secret
This is how price is booked (2) Passive & Active Orderflow:
Passive Orderflow is limits, Active Orderflow is market orders.
Passive Orderflow provides liquidity to the books, Active Orderflow takes it away.
So how does this affect the way price moves?
If price is currently at 100$ and there is a sell limit of 100 contracts at the price of 101$
If I were to buy 100 contracts, price will move up to 101$ and that sell limit would get filled by selling to me 100 contracts.
Passive Orderflow doesn't move the market but it shapes the way that it moves. It's like if you throw a ball in a tunnel, the way it's built will affect it's route.
The banks use passive orderflow to buy out stoplosses, let's get into how that happens:
Wherever price is, there is an equal and opposite force of buying and selling volume.
Let me elaborate:
If I sold 1 apple, somebody bought 1 apple; equal and opposite force. 1x selling volume : 1x buying volume
This is how all markets operate, therefore if price is currently at 100$ and there is 50K$ buying volume and 50K$ selling volume here
If I were to enter with 10K$ buying volume, price will have to move up to where sellers can match the new buying volume of 60K$
Now this buying and selling volume like everything can be manipulated by the banks.
That means if they want to move price down, instead of allowing price to go up to mitigate new retail sellers, they can just match me instantly at the current price for 10K$ selling volume.