What happened to Pablo ?
Put your thumb on the end of the hose. Now take a moment before turning that spigot on. Because when you turn it, I want you to think of Bitcoin. The pressure to find an exit is immense for the water. When it does find an escape, its anything but orderly. Right now, the market for Bitcoin is just like that silent moment before the spigot gets turned on. Let me show you why. Here’s a chart of the put to call ratio. As you can see, it’s climbing. Meaning puts – people betting price goes down – heavily outweigh calls.
The betting line for the market to go down is getting full. Meanwhile, Coinbase and Bitstamp are experiencing some of the highest changes in volume. Telling us this rally is being led with fiat. It’s a view supported by the rise of new wallets. Since the Black Thursday, you can see new wallets have been steadily climbing… and are now about to hit a new high. Meaning the rate of new wallets coming online is in line with this rally.
And the last piece is the thumb on the hose… The chart below shows the drop in Bitcoin on exchanges over time.
We are at one of the lowest periods. Meaning when all those betters sitting on the short side of the market need to flip, there won’t be enough space for them. And just like the water coming out of the hose with force, the reaction to price will be the same. This is the state of the market right now… And what it means is if the price keeps pushing higher, this rally has the fuel to fly higher. Trade Safe p.s. – You might be asking about Pablo… we’ll let you know what happened soon. Just know, he’s still there. And while we wait and watch this rally unfold, Jarvis has been crushing it by opening up 65% more longs than shorts.