Brief Analysis——PERP (Recap)Last week we conducted a brief analysis on PERP and introduced the WTA indicator. In the past few days, although the project has not released any news, PERP's trading volume is still high and its price fluctuates greatly. So the brief analysis today will provide a recap of PERP and WTA indicators.
After the brief analysis was released last week, PERP continued to pump, reaching a new high, 1.3, almost three times the level before the rise. Starting from last Saturday, the bears gradually increased, a long red candle appeared, and the price turned downward. Although the bulls tried to attack during the decline, the rebound was eventually covered.
Combined with WTA indicators:
·In the early stages of the rise(the first green rectangle), there are obvious blue and red columns, which indicate that the whale may be continuing to buy.
·In the second green rectangle, although the whales are still involved, the lengths of the blue and red columns have been reduced. There is a divergence between the indicator and the price trend. This is not good.
·Close to the first red rectangle, the price begins its third wave of pump and reaches new highs. But there are almost no whales participating in the WTA indicators. The whales may have gradually take profits and close the long position at this stage. And after reaching the high, a long red candle appear and whale participation increases on the way down. This confirms that the whales continued to take profits during this stage.
·In the last red rectangle, we can see that although PERP has rebounded, the whale has almost disappeared, only retail investors are trading. The price continues to fall.
In the process of PERP turning from rising to falling, we see that the WTA indicator presents a complete cycle. It allows the normal trader to see more clearly what the whales are doing.
Disclaimer: Nothing in the script constitutes investment advice. The script objectively expounded the market situation and should not be construed as an offer to sell or an invitation to buy any cryptocurrencies.
Any decisions made based on the information contained in the script are your sole responsibility. Any investments made or to be made shall be with your independent analyses based on your financial situation and objectives.
