Papi2022-01-14

BTC - Supply Doesn't Lie - We Have Some Big Buyers

Bitcoin continues riding the trendline/resistance level from November, now in it's 3rd month of downtrend but I am growing confident of a bullish rally starting soon. Watching the Bitcoin supply tick down hard and fast is always fun (nearly 1.5% of supply in 1 day). It tells me big money (usually smart money) just accumulated and is invested at this level. Miner supply is increasingly being held, with a notable climb in miner supply. Historically the Puell Multiple tells us how profitable it is for miners to sell, and its also in a multi-month downtrend. When it reaches a lower range this is generally a good time to enter the market. BTC continues posting a similar pattern to the last 3 drawdowns this cycle, especially from a sentiment and supply perspective where a massive drop in supply (whale/MM buying) and retest of 12h 20EMA (signaling rising bullish sentiment). And each dropping to a strong macro support. Next step, test of market support, then bounce and short squeeze?