24hr VOLUME BTC / CRYPTO CURRENCY ( ALT COINS ) and BTC price comparison
I feel like a lot of Bitcoin when purchased goes to Bittrex or Poloniex in order to trade other Alt coins.
So I decided to start watching the 24hr volume of BTC traded on Bittrex and Poloniex to see how it correlates with the Bitcoin price.
The 24hr volume BTC is the number of Bitcoins used to trade AltCoins on Bittrex and Poloniex .
CHART # 1:
BLUE COLUMN = 24hr volume Bittrex / Poloniex combined
RED LINE = BTC PRICE from CoinBase
SUMMARY
I may have isolated a possible chart pattern showing the possibility of Bitcoin rising in price . The pattern works like this when the first 2 consecutive days in a row the volume blue column falls ( they are marked with a Bitcoin symbol ) When this occurred it is a signal to Buy Bitcoin and then Sell it approximately 48hrs later. Below are the results of using this Buy pattern.
BITCOIN BUY PATTERN
DATE BUY PRICE SELL AFTER 48HR PROFIT / ( LOSS)
5/27/2017 $ 2040 $ 2268 $ 228
6/02/2017 $ 2428 $ 2560 $ 132
6/08/2017 $ 2781 $ 2877 $ 96
6/15/2017 $ 2320 $ 2564 $ 244
6/22/2017 $ 2668 $ 2714 $ 46
7/01/2017 $ 2503 $ 2485 ( $ -18 )
Now for a completely different Sell pattern it works like this I have circled two volume highs and the btc price also made intermediate highs then as well . Now I'm thinking that if Bitcoin runs up again in price in new highs I should be watching the volume on this chart and if the volume makes a high above the last high of 400,398 I will be selling some of my Bitcoin.
DISCLAIMER : This content is for informational, educational and research purposes only.
Please get the advice of a competent financial advisor before investing your money in any financial instrument.
It is strongly recommend that you consult with a licensed financial professional before using any information provided here . Any market data or news commentary used here is for illustrative and informational purposes only.
Please voice your opinions in the comments below.