Whale Watching: Top Bitcoin Cetologist Warns Not To ‘Buy The Dip’

Tony "The Bull" Severino

1 year ago

3 mins read

bitcoin whale cetologist buy the dip btc

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Bitcoin blasted from $10,000 to just under $20,000 in just a few months, sans any significant correction. And while sellers have been unable to shift the bullish momentum thus far, increased whale activity has one top crypto quant analyst warning investors not to buy the “dip.”

Here’s why the opinion is so “unpopular,” along with the data that has the professional whale watcher skeptical about further upside in the first-ever cryptocurrency – for now.

Unpopular Opinion: “Don’t Buy The $&%#ing Dip”

During the 2017 crypto bull run, making money was fairly easy according to those that lived it. Simply hold on for dear life, and when the opportunity presents itself, be ready with fresh fiat to buy the dip.

Not only does the strategy avoid FOMOing into tops, but it ensures a greater chance of successfully catching a life-changing leveraged long.

With Bitcoin setting a new all-time high, FOMO back in the market, most market participants have concluded it is dip-buying season once again. The ferocity in which each minor correction has been bought up shows this process in action. The asset has corrected no more than roughly 20% in all of 2020, post-Black Thursday.

But Ki Young Ju, CEO of CryptoQuant.com, is issuing a warning starkly in contrast to the hive mind’s expectations, and that’s “don’t buy the $&%#ing dip.”

Whales are preventing the rally from continuing | Source: BTCUSD on TradingView.com

Crypto Cetology: What The Study Of Bitcoin Whales Tells Us

Quantitative analysis in traditional markets looks at profit margins, opex, etc. In cryptocurrencies, instead, the statistical data focuses on blockchain network health, wallet activity, and other unorthodox metrics.

According to Wikipedia, cetology is the study of whales (and dolphins and other porpoises) to better understand their “evolution, distribution, morphology, behavior, community dynamics, and other topics.”

After comparing the two definitions, crypto fundamental analysis could more akin to the actual study of whales, versus other assets like stocks.

Quant analysis looks closely at the “distribution” of Bitcoin whales, and how many BTC they have in their wallets. Analysts commonly use wallet-size to rank whales in buckets of 1000+ BTC, 100+ BTC, etc.

Whale community behavior in action, according to BTC exchange inflows | Source: CryptoQuant.com

Quants like Ki Young Ju utilize transparent blockchain data to monitor whale “behavior” and “community dynamics.” And currently, the Bitcoin whale community is exhibiting behaviors that indicate they are either now selling, or preparing to sell down the current rally, prompting him to offer the “unpopular opinion.”

The whale watch is on.

Featured image from Deposit Photos, Charts from TradingView.com

Tony "The Bull" Severino

Tony "The Bull" Severino, CMT, is a distinguished figure in the cryptocurrency analysis sector, renowned for his in-depth technical expertise and innovative approach to market trends. As the Head of Research at NewsBTC, Tony leads a team dedicated to providing cutting-edge insights and forecasts, helping both novice and experienced traders navigate the complexities of the crypto market.
A seasoned Chartered Market Technician, Tony's prowess in identifying and capitalizing on market patterns is unmatched. His academic and professional journey in market analysis has firmly established him as a leading authority in technical trading strategies. Tony’s approach is heavily influenced by the principles of Elliott Wave Theory, a method known for its rigorous assessment of investor psychology and price movements.

Beyond his role at NewsBTC, Tony is the visionary founder of CoinChartist.io, an educational platform aimed at demystifying the nuances of cryptocurrency trading. CoinChartist.io serves as a valuable resource for traders seeking to enhance their technical analysis skills. The platform offers a range of learning tools and resources designed to empower traders with the knowledge to make informed trading decisions.

In addition to his educational initiatives, Tony is a prolific author and a dominant voice in the crypto community. He writes the CoinChartist VIP newsletter, a weekly dispatch that has become a staple among crypto enthusiasts, revered for its insightful analysis and actionable trading advice. This newsletter has consistently ranked as a best-seller on SubStack, boasting thousands of subscribers who rely on Tony’s expertise to guide their trading strategies.

Tony is also celebrated for his literary contributions to the field. He is the author of the highest-rated Crypto Trading Journal on Amazon.com, a testament to his ability to communicate complex trading concepts in an accessible manner. This journal is widely regarded as an essential tool for traders aiming to track their progress and refine their strategies.

Before his ascent in the financial analysis world, Tony honed his skills in journalism. His background in this field has endowed him with a unique ability to present intricate market dynamics in a clear and compelling manner, making his insights highly sought after by a broad audience that ranges from casual readers to professional traders.
His professional affiliations underscore his commitment to excellence and continuous learning. As a partner of Elliott Wave International and TradingView, Tony collaborates with other leading experts to enhance his knowledge and skills. His active membership in the CMT Association further aligns him with the highest standards of industry practices and ethics.

Tony’s nickname, "The Bull," aptly reflects his aggressive and optimistic outlook on the cryptocurrency markets. His forecasts often anticipate significant upturns, earning him a reputation for bullish predictions that have frequently led to lucrative outcomes for those who follow his advice.

In summary, Tony "The Bull" Severino, CMT, is more than just a technical analyst; he is a mentor, educator, and innovator whose influence in the cryptocurrency space continues to grow. His dedication to advancing the understanding of market forces and his commitment to providing high-quality, reliable analysis make him a pivotal figure in the world of cryptocurrency trading.

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