This is a repeat of https://hotcopper.com.au/posts/59011343/single I thought I would throw this up to kill any arguments that crypto and gold are competing or have the same underlying drivers. Here is a sentiment indicator for the crypto sector. Still in a downtrend. It is constructed using the same principles as the gold sentiment indicator using around 300 cryptos to generate. Green line showing the trend and the yellow oval a trap. Welcome to mainstream charting. As you can see, prior to mid-August, sentiment was all over the place and spiking up and down over a few days from near 0% to over 90%.The blue plot is equivalent to the data used for gold sentiment. This is where prices have moved 15% or more. The red line is used for cryptos - 30% moves. Commodity/gold stocks on steroids. It also cycles between extremes. Be interesting to see if cryptos have a similar basing pattern to gold stocks. As far as I can tell, the real bottom of this trend is 2 - 3 months away (near 0%) though the better cryptos may hold some long term support levels. The first attempted break in the trend was around 19 Oct, 2021 when the BTC ETF began. .
