We are entering a new era in Crypto (The last phase)

Dear Whaleportal community, we’ve just reached 400+ users on the platform 🎉

So a huge thanks to all of you who make it possible to create a platform that is helping traders to navigate and empower themselves to be consistently profitable and avoid the many mistakes that can be very painful!

A lot of things have happened in the crypto world but also with us and it’s time to catch up again!

TLDR:
- Many alt-coins are showing strength
- Interest in crypto trading is at bear market lows
- WP Pro Chart sharing
- Taker buy/sell ratio

Let’s start right off the bat with the beautiful strength in alt-coins. Coins like $SUI are doing great, reaching their highs again and it’s not only $SUI, although this altcoin is showing a unique type of strength.

$SEI is doing something similar, also breaking out from a falling wedge formation and showing strength. This also looks more impulsive rather than corrective, a good sign!

Okay, so alt-coins are breaking out, are we in a bull market? It is a very good sign that speculation is increasing in alt-coins showing that the confidence in the markets is increasing too, this is the base that we need to enter the last phase of the bull market. The last phase is Bitcoin breaking all-time highs, and 6-12 months of extreme upside price action, similar to 2016 and 2021. So if we are in the early stage of this phase, it’s important to stay put and not let your emotions take over.

Let’s have a look at the interest in crypto.

The interest in trading Bitcoin is lower than in 2019/20. This is pretty crazy. Does this mean that nobody trades Bitcoin anymore? Not really, there will always be traders. But this shows that retail interest is GONE. This generally tells us where we are in the market cycle, we are in that part where retail is not interested and dumb money has not yet entered the space. So, sounds great right? Let’s have a look at some Whaleportal PRO data.

For the past months, the data pictures that Whaleportal sketched were amazing. You could almost exactly see when buying pressure increased and whenever selling pressure was present. This combined with the momentum indicators and support and resistance lines is extremely valuable. Not even mention that the sentiment heatmaps are not visible on this chart and even function as an extra confirmation.

It’s a known fact that 95% of traders are losing (most of the time EVERYTHING) money in the first year that they trade. This includes the brightest minds like CEOs, Doctors, Lawyers, and Experienced analysts. Why? How is it possible that the brightest minds in the world are losing when trading?

Because trading is 10% system and 90% psychological.

Most traders fail because of their psychology. They are unable to handle the emotional state of the market and their emotional state. Everyone can have a system, maybe trend following, RSI strategy, or MACD strategy, but how do you feel when you execute a trade? Are you getting 2nd thoughts? Scared to lose money? Afraid to not get any gains? Do you lose trust in yourself the moment you are in a position? That is why the emotional state of the markets is extremely important to have insights into on a daily basis.

In the image above you can analyse the emotional states of the markets and can see that generally, the majority is feeling wrong about the markets. So when most people feel positive about the markets, oftentimes they are wrong (short-term) and when they feel like things can get way uglier, it’s often going in the opposite direction. It’s a paradox. And this paradoxical character of the market you can use to make profits by:

- Getting insights into your own emotional states (avoid mistakes)
- Use as contrarian confirmation (Become profitable with a higher win rate)

Save yourself the emotional and financial pain and develop your knowledge and skills in your emotional game. This is the real game changer. Now let’s dive into some other metrics.

Taker buy/sell ratio

Recently we’ve published some new articles on Whaleportal Learn. One of the mis about how to use the taker buy/sell ratio. The taker buy/sell ratio shows basically whether traders are paying a premium to long or short that certain asset and it gives unique live market information.

It again helps a trader to find emotional states in the market. When the majority is longing for Bitcoin with a premium (market orders) the price goes down. It’s pretty insane how everytime in the market turns 95% of the traders are on the wrong side with their predictions. And the opposite is true as well. This is by the way a free indicator on Whaleportal.

If you’d like to know more about how to use this indicator, make sure to read our Taker buy/sell ratio guide.

So, to wrap it up, it looks like we’re getting close to the latest phase of this bull market, which is the most bullish phase. It’s important to stay put and read and improve your emotional insights. This is the point that makes or breaks traders. It does not matter how smart you are, or how good your system is, if you can’t handle your emotional state or even recognize it, it will never work because this is the main driver for errors in trading.

Much love,