🎯 Stablecoins dominance - the DXY of Cryptoverse
🎯 Today we'll have a look at the cumulated dominance of Tether USD, Circle USD and DAI in comparison with Bitcoin's price.
Since 2019 Stables dominance has been ranging inside this channel on the logarithmic chart.
The channel is moving upwards as more funds enter and remain in the cryptoverse.
As such, the dominance of Stables is highly dependent on interest in these assets, so I expect this channel to break at one point (at minimum due to saturation of the market). So far this channel has held.
Touches of the upper band marked bottoms for BTC, while touches of the lower band marked tops.
Thus, I'm looking at their dominance as inversely correlated with Bitcoin's price, similar to how DXY is inversely correlated with the stock market.
We are currently in an up move that's been trending the blue line since the 69k$ top.
Considering the channel holds, we can expect one of the two scenarios to develop and mark a reversal in the market.
This doesn't mean that it is the only way we are ending the bear market. However, I am watching this closely. 🎯
💎 Looking forward for your questions below. If this post provided you value, follow for more.
Since 2019 Stables dominance has been ranging inside this channel on the logarithmic chart.
The channel is moving upwards as more funds enter and remain in the cryptoverse.
As such, the dominance of Stables is highly dependent on interest in these assets, so I expect this channel to break at one point (at minimum due to saturation of the market). So far this channel has held.
Touches of the upper band marked bottoms for BTC, while touches of the lower band marked tops.
Thus, I'm looking at their dominance as inversely correlated with Bitcoin's price, similar to how DXY is inversely correlated with the stock market.
We are currently in an up move that's been trending the blue line since the 69k$ top.
Considering the channel holds, we can expect one of the two scenarios to develop and mark a reversal in the market.
This doesn't mean that it is the only way we are ending the bear market. However, I am watching this closely. 🎯
💎 Looking forward for your questions below. If this post provided you value, follow for more.
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