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Accumulation

1 year: Impact of Institutional accumulations on Bitcoin pricesAny feedback and suggestions would help in further improving the analysis! If you find the analysis useful, please like and share our ideas with the community. Keep supporting :) In this post, we have attempted to cover some of the major institutional accumulations that has happened in Bitcoin since June 2020. Bitcoin's rise over the past 1 year has been phenomenal. The rise does not only mean in terms of prices, but also as an attractive asset class that provides a much-needed diversification. During the pandemic, the response towards Bitcoin has been nothing short of extraordinary. Both institutional investors and retail traders understood the importance of Bitcoin in building long term wealth. The data presented in this analysis has been researched and curated from different portals such as Tradingview, Coindesk, Forbes and Twitter. We have reviewed five different dates where the volumes have spiked up massively owing to news surrounding accumulation of institutional investors. It should be noted that the dates mentioned here reflect the news coming to limelight regarding the accumulation. It does not necessarily imply that all the accumulation happened on that exact day. 02nd June 2020: BTC closed at $9525.73 Fidelity Investments stated in their report that the number of institutions buying Crypto derivatives products has more than doubled. 27th July 2020: BTC closed at $11,046.19 Report shows Bitcoin futures surging past 186% as institutional accumulation of the underlying continues at a massive pace. BTC jumps up above $11k. 20th October 2020: BTC closed at $12,802.67 Paypal announces its acceptance of Bitcoin for payments. This time the accumulation is fuelled from both institutional and retail end. 17th December 2020: BTC closed at $22,814.24 Grayscale investments increased their Bitcoin holdings by double digit figures over the past few months. Bitcoin shot up by approximately 7% following the report. 29th January 2021: BTC closed at $34,249.64 Carthie Wood's ARK publish that Bitcoin climb unto $400K as hedge funds and several other institutions are steadily increasing their Bitcoin and crypto holdings. Another interesting piece that has come up very recently is MicroStrategy NASDAQ:MSTR , a business analytics firm has purchased around 13,005 Bitcoins, amounting to approximately $489 million, on Monday, 21st June 2021. ---------------------------------------------------------------------------------------- Any feedback and suggestions would help in further improving the analysis! If you find the analysis useful, please like and share our ideas with the community. Keep supporting :)
BITSTAMP:BTCUSDEducation
by Mudrex
Minor fakeout to $27 000 in Bitcoin before shooting for new ATHsMany people wonder and fear whether Bitcoin has to go on the downside - if it can make it as low as $24 000, $20 000 or even lower. The longer we move around in this sideways range, the more technically convinced I become that this is an accumulation phase in the making. This time we'll go beyond mere technicals and back up our claims with fundamentals too. First of all, the Bitcoin fear and greed index is at a staggeringly low 10 out of 100. This means that people to a great extent have lost hope for Bitcoin and that they expect further downside to follow. Anyone who has studied market psychology knows that the market looks to inflict a maximum level of pain to as many market participants as possible at any given time. This is why it feels so good to buy at the top and terrifying to buy at the bottom, where each tick down makes you want to pull that catapult - and perhaps often do, too. The current state in crypto space is what Warren Buffett notoriously refers to as "blood in the streets". For the often so golden brick crypto roads are presently full of noob and hodler blood that exits the market. But for every seller there is a buyer. At these levels it is the institutions - the collectives of funds that possess more money than any of us pathetic retailers can ever fathom. Those institutions are the entities that can move the price. And those institutions are buying heavily at these levels. And mind you, those are what we commonly refer to as "smart money". Secondly, so far we have a textbook Wyckoff accumulation in play. It barely gets any more obvious than this. In an episode on my channel a couple of weeks ago I talked about how a fakeout to around $27 000 would both make perfect sense (as accumulations are typically followed by a final fakeout to shakeout the final weak hands) and how it would be inherently bullish for the crypto space. That analysis is fully in play and as long as Bitcoin does get that bounce reaction, things fully align with our technical expectations.
BITSTAMP:BTCUSDLong
by LongLifeTrading
2
#Bitcoin Road To $100K - Wyckoff Accumulation UpdatedI've digged deeper in to details and updated the accumulation phase we are entering. While the length of each phase can differ, this is pretty much what it will look like to reach $100k. So, sideways accumulation looks like it will continue in trading range until October, while institutions accumulate, following a rally / markup to $80k and the distribution will begin, topping at 102k by the end of January and then the cycle will repeat. Forever. Laura. :)))
Short
by BitcoinMillio18
108
BITCOIN LONG - ACCUMULATION PATTERNS Serious bearish sentiment in the air... TIME TO BUY!!! lol. (No joke) and this may be welcomed news - (this is not an echo chamber) This to me looks very close to Wyckoff Accumulation... NOT a Bear market lol. History: Richard Demille Wyckoff (1873–1934) was an early 20th-century pioneer in the technical approach to studying the stock market. He is considered one of the five “titans” of technical analysis, along with Dow, Gann, Elliott and Merrill. At age 15, he took a job as a stock runner for a New York brokerage. Afterwards, while still in his 20s, he became the head of his own firm. He also founded and, for nearly two decades wrote, and edited The Magazine of Wall Street, which, at one point, had more than 200,000 subscribers. Wyckoff was an avid student of the markets, as well as an active tape reader and trader. He observed the market activities and campaigns of the legendary stock operators of his time, including JP Morgan and Jesse Livermore. From his observations and interviews with those big-time traders, Wyckoff codified the best practices of Livermore and others into laws, principles and techniques of trading methodology, money management and mental discipline. From his position, Mr. Wyckoff observed numerous retail investors being repeatedly fleeced. Consequently, he dedicated himself to instructing the public about “the real rules of the game” as played by the large interests, or “smart money.” In the 1930s, he founded a school that would later become the Stock Market Institute. The school's central offering was a course that integrated the concepts that Wyckoff had learned about how to identify large operators' accumulation and distribution of stock with how to take positions in harmony with these big players. His time-tested insights are as valid today as they were when first articulated. Method: One objective of the Wyckoff method is to improve market timing when establishing a position in anticipation of a coming move where a favourable reward/risk ratio exists. Trading ranges (TRs) are places where the previous trend (up or down) has been halted and there is relative equilibrium between supply and demand. Institutions and other large professional interests prepare for their next bull (or bear) campaign as they accumulate (or distribute) shares within the TR. In both accumulation and distribution TRs, the Composite Man is actively buying and selling - the difference being that, in accumulation, the shares purchased outnumber those sold while, in distribution, the opposite is true. The extent of accumulation or distribution determines the cause that unfolds in the subsequent move out of the TR.
BITMEX:BTCUSD.PLong
by TraderE9
2
Are We Actually in Redistribution Down to $5k?We have successfully tested the upper resistance of our trading range with a tiny upthrust and turned down towards the $35k support, following $32k and $30k. Regarding p&f chart, i've explained in my previous analysis that we have 13 columns so far in the accumulation structure. This counts to a $39k potential, but we need at least $26k more to reach our beloved $100k, so We need at least 9 more reversal columns within the trading range for a potential of +66k markup taking us from $35k to over $100k. But... If we fail to break above trading range, we might see further downside and we souldn't rule this possibility out. That would mean the structure we are looking at right now is not accumulation but a redistribution, meaning continuation of the down trend. Remember in my last update, Bruce Frase analysis showed we could end up at 4-5k! So how do we tell if we are in accumulation or re-destribution? Let's watch another great workshop from Bruce Fraser on re-distribution structures. You will see it's not uncommon or impossible to find ourselves in this situation and it is my biggest concern right now. www.youtube.com I have drawn a red downtrend line on my imaginary accumulation structure starting on phase B all the way to phase D. This is a bearish descending triangle. If this plays out we can confirm the accumulation by observing this bearish triangle (which does not exist yet) and price should break this triangle in order to confirm and start new uptrend. If it fails to do so, we may find ourselves at $4-$5k lows! This is the difference between accumulation and re-distribution. Therefore, since we cannot confirm the bullish acccumulation case just yet, we should be patient and wait until such a confirmation happens. The rest will be history. Trade safe!
Short
by BitcoinMillio18
34
Bitcoin Death Cross With P&F ChartsHi, Tradingview removed my analysis update so i'm posting the revised version with LOVELY Tradingview charts! In this update i want to explain wyckoff method using poit and figure charts. Wyckoff uses them for identifying the events without the noise. These charts are created using x and o's, hence the topic tic-tac-toe . Google it and you can play the game right on top of search results, cool. Ok, before going deeper, let's remember the death cross is only one day ahead of us. I want to talk about this briefly because the death cross can create false signals sometimes. In order to confirm this pattern we should look at the context. As a rule of thumb, if the price did not drop more than 20% of it's highs and already recovering, this can be a false signal, but if the price has dropped more than 20%, then the death cross might be hitting hard - which is our case! That said, i do believe we will see a big crash within few days given the vulnarable position of Bitcoin . Let's also not pass the upthrust event. Yes, it was a tiny one :) I expected a more violent upthrust, but it's a good time to note Wyckoff is not a chart pattern, it's a system that can come in many forms and shapes, so take the drawings as a guideline. You should be studying p&f charts, which is the subject of this post. Back to proint & figure charts, these charts do not use a timeline like candlestick charts. You only get a new column if there's a price reversal. That means p&f charts articulate volatiliy. This makes it the perfect tool for our crazy volatile Bitcoin . P&F charts remove the noise and makes support and resistance levels crystal clear. For example, the red support at $35k is clearly the first immediate support of the prior swing low. If it breaks, that will be a Double Bottom Breakdown pattern on the p&f chart. These charts are squeezed version of bar charts where you can only add a new column after a reversal. The curent structure is currently holding an almost $40k potential fuel and it's not done yet until the last point of support LPS event. Given the price is already at $35k, it can't go below zero, so this $40k (and counting) will be added to the current price, (not substracted) Which takes us to $75k ALREADY! Fuel calculation is: Number of coulmns x reversal x box size 13 x 3 x 1000 = 39.000 I'm using 3 box reversal with a box size of 1000 Now, since we want to break $100k, we still need at least 25k worth of accumulation. So, 60% is already accumulated and 40% still remains. It's not easy to understand and explain these charts, but in order to understand how powerful they are, i urge you to watch this* excellent Bitcoin analysis from Bruce Fraser (i'm not advertising here) right before the crash back in May 14th. It's a timeless piece that will make you want to learn p&f charts: www.youtube.com If you noticed, he's pointing even lows at 4-5k's in his analysis, if all the distribution counts were dumped. His conservative target was $40k first which was broken and then $31-$26k range, but the scary thing is that the composite operator has enough fuel to take the price of bitcoin down to 4-5k if he wanted to! This is why we have to be extremeley cautious before we go all in. Here's a wyckoff p&f chart tutorial from Bruce Fraser (He's a wyckoff p&f chart guru) Part 1* www.youtube.com Part 2* www.youtube.com Trade safe! (*) These videos are not from my own channel and i don't get paid to advertise anything here.
by BitcoinMillio18
20
BTC - WYCKOFF ACCUMULATIONAt first, we have to understand that Bitfinex doesn't concentrate most of the market however nowadays arbitrage bots reflect orders almost instantaneously, causing the market to converge on data information. On the 4-hour chart we can observe a distribution starting around 1:00 on the 26th of April and extending to the 11th of May. The famous "Sell In May an Go Away" took the market with a removal of capital which can be seen by the decrease of the Long position at 9600 BTC and also the short position at approximately 2900 btc, as the market lateralizes. In short, the market lost interest and with it a net reduction of 6700 BTC of position. Every market when distributed weakens, becomes fragile !!! Saturated, the market gave way. DOWNTREND: The players then decided to take advantage and open short position, which had a big rise between May 16th and 17th. The price in this period was between 49500 and 42200. So, without buyers and with shorters, the market collapses. So the Shorters take the opportunity to close their short positions. ACCUMULATION - PHASE A: Short positions closed We have the Selling Climax created, with the automatic Rally right after it, it would be the beginning of a Wyckoff accumulation. ACCUMULATION - PHASE B: As you can see, the accumulation phase at B is driven by an increase in Long positions as the market lateralizes, absorbing more and more BTC in Dips. ACCUMULATION - PHASE C: After successive absorptions in the dips with some realizations in tops that guarantee an improvement in the average positioned price, the market applies a FUD. The intention of the FUD is always to buy cheaper, that is, to attract bears to help push the price and turn the hand on the bottom, absorbing as it was absorbing before in phase B. Except now the player finds a market with greater scarcity. Typically this FUD is applied to complete Passive Accumulation and begin an aggressive accumulation that will form phase D. ACCUMULATION - PHASE D: It can be seen by the shorters that some Bears were trapped, this happens frequently at the end of accumulations and it is these losing players that are responsible for the classic movement of breaking Resistance called JUMP AT THE CLIFF. Confirming the JUMP AT THE CLIFF the market enters phase E, firing up and then returning to a Pullback to then resume a bullish direction. Maybe that's the long-awaited destination for the 100k in December. You can see that the market goes through the stages of accumulation perfectly, for those who know the stages of accumulation of wyckoff this may look like a painting, I might be thinking of creating an NFT of this, it's beautiful!
INDEX:BTCUSDLong
by OUTSIDERTRADER
9
Bitcoin Wyckoff Update: Upthrust Event In The MakingHi all, Wyckoff accumulation schematics are playing out well until now. Price reached at the upper resistance level of the trading range at $40.841. I'm exiting all my positions now as we are entering an upthrust event, because this will not be a sustained breakout and will flip anytime down fast according to wyckoff accumulation schematics. Red circles on the chart indicates huge absorbtion by the composite operator, but he is just getting started. That's why he will dump hard around $45k with a handsome 40% profit and buy back at the highs of $20k and then 5x to $100K. Now it's time for me to step back and wait for a week or two, until price drops below 30k, because i'm a low risk type and prefer piece of mind over greed. I will be going all in after the spring type action occurs. Note that spring type action may not happen at all, but i think it will happen, because the Bitcoin composite operator loves freaking out fellow bitcoiners. Remember, we cannot know if we are in accumulation or re-distribution until a sustained up or down trend starts. I'm betting for the uptrend, but a downtrend is also possible. The longer we continue accumulation, the higher the destionation will be. Stay tuned & safe.
Short
by BitcoinMillio18
62
Update: Secondary Test Is Now HappenningHi all, In my previous analysis, secondary test occurred way above selling climax which was bugging me, now with the 15 months long term uptrend has broken and price is leaning towards $30k, i believe secondary test will actually happen now. So i've moved the secondary test event by 5 days. Note that this is the break of 15 months long uptrend, hence the secondary test took more than i expected. Next, I expect a bounce, following a rally towards $40-$45k next as per wyckoff events and step in to phase b of building a cause. There will be a secondary test in this phase, but it will be lower than the upcoming one in phase A according to wyckoff schematics. I believe $30k will hold, but i can be wrong. Therefore, don't rush for a long trade now, or be very cautious as we are in a bearish trend now. There's also a bearish flag formation here which suggests longer down trend towards $20k. So, never fire all your bullets on one trade. As always, stay safe.
by BitcoinMillio18
25
BTC Wyckoff Accumulation Phase D BeginsBTC has been consolidating for several weeks now after a very impulsive sell off caused by over-leveraged positions being liquidated. The consolidation was really just an accumulation period for the larger players wanting to get back into the market without pushing price up on themselves. Wyckoff Accumulation pattern 1 is playing out very, very well so far. Once price breaks out of Phase D into Phase E, what will cause price to continue higher is the once again over-leveraged short positions of all the people believing we're in a bear market. Someones gotta supply that liquidity. Glad its not me school.stockcharts.com
BITSTAMP:BTCUSDLong
by Saann
6
Short-Term Bearish/Long-Term Bullish. GNRC Flashing Entry's GNRC isn't one to give great indication on when to enter, the good long term runners rarely do. Looking a little bit forward, GNRC flashing a potential accumulation set-up for another mark-up. My trade idea here is a break down into lower checks of support labeled on the chart between $308-$314 and $325-$330. -Accumulating an average of around $318-$320 would manage risk well based off of the potential moves into support.
NYSE:GNRC
by rickhubbard10
BCD. Using volume to notice ideal market behavior.Volume is in the foreground once again. One predictor of if a trend will continue, versus if price movement is a momentary aberration, is to see what volume is doing during rises and pullbacks. For us to say that the up-trending market action will continue it is ideal to see above average buyer volume on the leg candles (the large green/white candles) followed by decreasing relative volume at the same time that price is pulling back. What is the thing we are trying to avoid? If price makes a big green leg out candle then is immediately followed by equal or larger red selling volume, we might not have as much confidence that the rise in price will continue. We might even think that any proceeding pullback may actually be the start of a more coordinated downward push. In the example I have charted here you can see large buyer volume on the legging out, then dwindling volume on the the pullback. That's pretty much the gist of it. For bonus: You may or may not have the idea to check OBV (on balance volume) to determine if accumulation is occurring. The OBV here clearly shows that it is steadily rising in tandem with price. This tells us, at the very least, that this cryptocurrency is no longer in a period of distribution. At least for the present moment. ---- The same thing just flipped upside down is true for selling. You want to see large red volume bars followed by diminishing volume bars during the relief rally period. The best part about this is you don't have to take my word for it. I have searched through my libraries investment section, and read a portion of it. In my opinion (now you might have to take my word), the most useful book is "a beginners guide to day trading" second edition. by Toni Turner. It's just so frickin' simple and good in all the right ways. I had a strong foundation before I started reading it, but it's packed full of timeless trading material, and it reinforced and added on non-destructively to everything I already had acquired. Toni Turner clearly knows how to trade, and also how to make information highly absorbable. I'm grateful the result is a book.
BEducation
by emehoke
2
Gold Analysis - WyckoffHi Traders/Gamblers, This is by far my most intricate and detailed analysis of Gold following a distribution that took place a few months ago, as shown. We have hit our target area for gold as shown and stipulated. Following the DXY's downward it has since settled and seems to be consolidating giving signals of a reversal with a H&S as well as distribution taking place. This then means that gold is currently experiencing the opposite as it heavily relies on the USD to determine price action - DXY effects gold at around 2 - 6 times the movement (1% movement on DXY makes 2% - 6% on Gold, depending on sentiments and trend). Gold could be potentially distributing here as it has reached accumulation cause and effect, or Stage 1. We now wait for the other stages to be completed to fully confirm a downtrend which would see significant downward movement - possible into the 17xx or 16xx. This however could also be a re-accumulation into a further upward trend, giving us 2xxx, it is important to note that we could still see 1960 as a point of UT or UTAD before going down. RSI has broken upward trend and is currently bottomed out on Daily chart showing that we could range for a little more, however MACD is topped out and has crossed over signalling a reversing trend in the near future. Volume is decreasing, creating a base, showing an exhaustion of demand and buyers and the possibility for sellers and supply to take over. With CPI being released tomorrow at 1:30pm (UCT) this will be a good indication of where the market will stray, we are hoping for a lower low giving us SOW and then retracing back up to give us a last point of supply before heading down. Once we have received the SOW and the LPS we will then be able to use the point and figure chart to determine a target objective based off of cause and effect. It has been said that Russia are wanting to dump the dollar and invest in euro and gold which could possibly mean that Russia will sell off their gold positions and look to add more at a cheaper rate of gold - emphasising again the significant downtrend we could see along with a big spike back up once target is reached. To read up on the Wyckoff method and the phases, stages as well as buying or selling signals read here: school.stockcharts.com Good luck. **This is not financial advice** Chart is made shareable by clicking this link: uk.tradingview.com
OANDA:XAUUSDShort
by Username_for_trading
4