ZEN INVESTING
No Trend, No Divergence: The Prerequisite for Identifying Exhaustion
The core principle of this lesson is "No trend, no divergence." Chan Theory strictly classifies all market movements into three states: uptrend, downtrend, and consolidation, determined by comparing successive highs and lows — both rising simultaneously signals an uptrend, both falling signals a downtrend, and a mismatch between them indicates consolidation. Divergence analysis is only meaningful after a clear trend (uptrend or downtrend) has been confirmed; within consolidation, only consolidation-type divergence exists, not trend-based divergence. All analysis must be grounded in a specific chart timeframe, since the same price action can appear as entirely different states across different levels. The validity of highs and lows must be filtered through a moving average system — only those occurring around moving average interactions (convergence, contact, or entanglement of short-term and long-term MAs) carry analytical significance at that level. Traders should choose chart timeframes that match their capital size, temperament, and trading style, and build a coherent trading system accordingly.
Bitcoin Gains Momentum Based on Positive CPI Numbers
After slipping to lows of $15.5K amid FTX’s liquidity crunch, Bitcoin gained momentum based on positive consumer price index (CPI) numbers released by the U.S. Bureau of Labor Statistics.
Is Bitcoin Gearing Up to Exit the Current Bottom?
Since Bitcoin has been trading above the psychological price of $20K, Glassnode has released its weekly on-chain report titled “Hammering Out The Bottom,” scrutinizing the stakes and the risks that may lay on the road ahead.
Are Bitcoin Miners Earning Minimum Reward as Hash Price Plunged to Historic Lows?
The revenue of Bitcoin miners continues to dwindle, given that the hash price has nosedived to historic lows of $66,500 per Exahash, according to Glassnode.
Bitcoin’s Small to Mid-Sized Addresses Continue Going Through the Roof
As Bitcoin continues hovering around the $19K zone, small to mid-sized addresses are scaling the heights, according to Santiment.
Bitcoin’s Volume Dominates Performance More than Volatility, Cumberland Suggests
Even though some analysts have stipulated that Bitcoin’s volatility is a cause for concern, crypto trading firm Cumberland believes volume is what matters the most.
Bitcoin Needs to Continue Standing above $19,200 to Dilute Downward Pressure, Analyst Says
Market analyst Ali Martinez believes the leading cryptocurrency should stand above $19,200 to reduce selling pressure because this is a significant level.
Is Bitcoin Eyeing a Strong Movement amid Hodled Coins Hitting a 5-Year High?
Bitcoin might be geared toward a strong movement based on declining historic volatility.
Institutional Investors are not Yet Buying Bitcoin as Price Slips Below $20K
After enjoying notable momentum above $20,000, Bitcoin (BTC) slipped below this psychological price amid low appetite from institutional investors.
Bitcoin Crosses $20K Mark, as Whales Continue to Accumulate Tokens
After slipping to lows of $18,000, Bitcoin has gained momentum and crossed the psychological price of $20,000.