Hello Crypto Friends!
Today i would like to share with you a chart that could be helpful in the near future.
The market, especially the Altcoins have been on steroids in 2020, pumping like Arnie!
At some point they need to cool off, if only for a week or two.
So to have an idea when that might happen, i have been using the TotalMarketCap Charts.
Here is the Total market cap including Bitcoin on the monthly chart -
You can see we had broke out of the falling wedge pattern in January. A falling wedge normally breaks out either to the middle line or back to the top of the wedge.
But as u can see we are at some heavy resistance right now.
Lets zoom in -
I have marked a red line for the weekly resistance area which i think could be the critical point!
Whats also interesting is that it nearly touched the 200MA, which Bitcoin did not.
One more zoom to the daily -
Well well well, the .618 fib and divergence on the RSI..... Of course there could be more divergences to come and we could get into the Golden pocket.
But possibilty of a pullback shortly?!!
Now lets take a quick look at the Total Market Cap Excluding BTC
The month has not closed yet, but interestingly it is above a critical resistance line. With the next one at 120 billion.
Now the weekly shows a very cool picture.... already burst through the 618 with that critical 120 billion line coming in at the 786.
This could well be the crucial number we are looking for!!
Alt Season confirmed? No divergence on this chart! However the RSI is at a crazy high level!
My conclusion - Correction time is nearing.