Select Page

Reviewing The August Bitcoin Market

Reviewing The August Bitcoin Market
This article is added for educational purpose only. All credit goes to the respected author of this article. All In One Crypto App do not hold any liabilities of this article. You can get the source link at the end of the article content.

Dylan LeClair discusses the bitcoin market, inflation and the Triffin dilemma.

Watch This Episode On YouTube

Listen To This Episode:

In this episode of Bitcoin Magazine’s “Fed Watch” podcast, we invited Dylan LeClair, writer at Bitcoin Magazine, back onto the podcast. LeClair is deep in the weeds of the fundamentals of the bitcoin market. After touching on the price crash of Sept 7, (the day of the podcast recording), our conversation turned to LeClair’s monthly Deep Dive, a large report he writes for Bitcoin Magazine’s exclusive members.

As we made our way through LeClair’s report, we stopped at several of our favorite charts. The first is “supply by liquidity cohort,” seen below. He walked us through the meaning and the takeaways. As you can see on the chart, the vast majority of the bitcoin circulating supply (all bitcoin mined so far) is illiquid, in the sense that it hasn’t moved in a prescribed period of time.

Bitcoin Charts In The Deep Dive

Next, we touched on a chart you may have seen floating around the interwebz, the “HODLer net position change,” measuring the amount of coins that have entered HODLers hands. We discussed several aspects of the below chart, of course, noting the recent increase as well as the net selling which occurred on the way up. This is a lagging indicator, plainly showing that accumulation precedes rallies at which time you get a short squeeze and distribution as price rises.

unnamed 1

At this point in our conversation, we also talked about the Grayscale Bitcoin Trust (GBTC) and its possible effect on holding behavior and price. It wasn’t covered in the Deep Dive, but we had a good discussion bringing up several important points. I have written more about the GBTC dynamic here.

The chart we spent possibly the most time on was the hash ribbon chart. It is one of my favorite charts in bitcoin, because it simplifies the entire industry into one chart, with price and hash rate. You can find my version on the “Bitcoin Pulse” published through BitcoinandMarkets.com. Perhaps this indicator is an oversimplification, but the more versed in bitcoin you become, the more detail you can find in this chart.

unnamed 2

LeClair, Christian Keroles and I went into detail on how unexpected drops in hash rate can signal a crash in prices as it did in March 2020 and again in May 2021. The period around the halving in May 2020 and again in October 2020 to November 2020, with the end of the rainy season in China, were expected.

Macro Charts In Deep Dive

In the August Deep Dive from Bitcoin Magazine, LeClair included a large section on the macro setting, from a U.S. perspective. And this is where we started to disagree slightly. He has charts for Consumer Price Index (CPI), Treasury bond interest rates, government deficit and more. Listeners should know Keroles’ and my views on inflation by now, but LeClair puts together some compelling charts and arguments for why the end of the U.S. dollar system is near.

LeClair also made a fantastic comment when covering his section on the Triffin dilemma. Paraphrasing, he said, “Robert Triffin’s proposed solution to the dilemma back in the 1960s was to adopt a Keynesian Bancor as international reserve currency. Today, we have bitcoin, which can fit that role.”

It is interesting that bitcoin is a perfect combination of a gold standard and a Bancor-like currency.

We can’t cover everything from the podcast here, you really must go and listen and watch on YouTube. We will be trying to get LeClair back on the show on a regular basis to discuss his deep knowledge of the bitcoin industry.

 

Source: Bitcoin Magazine: Bitcoin News, Articles, Charts, and Guides

 

All In One Crypto App presents a unique dynamic crypto course that allows you to become a profitable and successful trader. Download Now

Don't forget to share your review/suggestions for the android app.

All In One Crypto App is an execution-only service provider. The material provided on this website is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by All In One Crypto App or its agents. We do not make any representations or warranty on the accuracy or completeness of the information that is provided on this page. If you rely on the information on this page then you do so entirely on your own risk.es here

Categories

Select a Sub Category
category
616a918daafe1
0
1
Loading....

Reviews

All In One Crypto App

Made $234 profit with Free Signals from $50

This is the best useful app on my phone. Started trading with $50 and in 5 weeks I was up to $234 just with the free signals. I will recommend it to any new person that wants to try trading crypto. Link to Review

Asoluka Chimdindu

Free User
All In One Crypto App

Good Support

This app is one of the best for crypto currency trading signal for experts and beginal with free and premier with auto follow trading bot all the signal is excellent with accurate technical analysis and fundamental I really like the way they guide and support. Link to Review

olaplus olaplus

Premium User
All In One Crypto App

Accurate Trading Signals

I was premium member of this channel back in 2018 when there was no app. Thr signals were too good, more than 90% accuracy. Now with this app and newly introduced auto trading bot, it will be awesome. Too the moon. Link to Review

Yogesh Patil

Premium member
All In One Crypto App

Awesome and Accurate Signals

Very glad to use this app. The crypto signals was awesome and accurate with detailed explanation and visual information. The admin also helpful and nice. Link to Review

soon cheong

Free User
All In One Crypto App

User Friendly App

Signals are great. I love it. App also friendly to use… Nice job guys Link to Review

Olawunmi Dilureni

Premium Subscriber