NewsBTC
No Result
View All Result
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Breaking News: Tether Targets $500 Billion Valuation In New Equity Offering Amid US Expansion Plans
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Bitcoin News
No Result
View All Result
Breaking News: Tether Targets $500 Billion Valuation In New Equity Offering Amid US Expansion Plans

Volume Precedes Price: Why an Unexpected Altcoin Crash Could Surprise Crypto Investors

Tony "The Bull" Severino
Tony "The Bull" Severino
5 years ago
2 mins read

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Top financial market analysts often live and die by the mantra that volume always precedes price, and the same is true for crypto assets like Bitcoin and the rest of the altcoin market.

An indicator designed to spot early changes in volume may be signaling that although altcoins are rallying across the greater crypto market, a surprising crash may soon catch crypto investors off guard.

Understanding On-Balance Volume: The Smart Money Indicator

The idea was primarily popularized by market analyst and author Joe Granville, in his 1970s book entitled New Strategy of Daily Stock Market Timing for Maximum Profit.

In the best-selling book, Granville explained that assets don’t rise in price until demand exceeds supply and that demand is measured and volume – “thus volume must precede price.”

Related Reading | Altcoin Market Preparing Shocking Disbelief Rally According to Wall Street Cheat Sheet 

This was so important to Granville’s market analysis, he later developed a tool and technical analysis indicator called “On-Balance Volume.”

The indicator – often called the “smart money indicator” – is designed to spot early fluctuations in volume that can help predict price movements much sooner than with other indicators.

Some indicators are considered lagging indicators, such as the MACD, only providing signals after the fact. But the OBV indicator is a leading indicator that gives signals early.

It makes taking action on such signals riskier, however, the tool does work with chilling accuracy.

altcoin price chart market crypto

Click image for a full-size version.

Altcoin Market Could Be Signalling a Major Selloff Ahead as Whales Prepare to Dump

In the above chart of the total altcoin market cap, OBV can be seen rising ahead of the breakout of downtrend resistance, which suggests that “smart money” was taking a position before the breakout occurred.

The breakout on the OBV occurred in late December, resulting in an uptrend on the indicator. Later, in mid-January, price followed volume and broke through downtrend resistance.

And just as the saying goes, volume preceded the eventual price explosion that led the altcoin market to rally over 50% in less than 30 days.

However, that same tool may be now signaling that “smart money” – either high wealth whales or institutional investors – may be dumping altcoins on retail investors buying the breakout in anticipation of more upside.

Related Reading | Altcoin Market Following Early Bitcoin Path Could Lead to Life-Changing Wealth 

Instead, the OBV indicator may be signaling that the rally has ended, and distribution is taking place. OBV has foretold a deep drop may be ahead now that the indicator is in another downtrend, and shows a negative correlation with the largest FOMO candle on the altcoin chart.

If the early signal of the rally is any indication, the early signal that a selloff is about to surprise crypto investors cannot be ignored.

Tweet123Share215ShareSend
Tony "The Bull" Severino
Tony "The Bull" Severino

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.

Read more

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.

Close

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Related News

hyperliquid-vs-aster-accusation-complot-cz

Hyperliquid vs Aster : la vérité sur l’accusation de complot impliquant CZ

Hyperliquid et Aster ne se disputent pas qu’un narratif : ils se disputent la liquidité, les volumes et l’attention du...

guillaumev 3 hours ago
Ethereum Accumulator Addresses Inflows Explode: 400K ETH Added In 24H Despite Selloff

Ethereum Accumulator Addresses Inflows Explode: 400K ETH Added In 24H Despite Selloff

Ethereum is under pressure after sliding below the $4,200 level, with price now testing the $4,000 support zone. The market...

Sebastian Villafuerte 6 hours ago
New Wall Street ETF Hypes Market: Get Best Wallet as Your Personal Treasury

A New Frontier in Crypto Investing: GSR’s Treasury-Company ETF Proposal Lifts Best Wallet Prospects

The world of crypto investing is changing. Companies are shifting from solely token-based assets to more sophisticated, equity-backed exposures. In...

Aaron Walker 6 hours ago
Load More

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Related News

Ethereum

Ethereum On-Chain Bloodbath: Rugs And Scams Erode Retail Confidence, What To Know

Godspower Owie 28 minutes ago
Dogecoin

Analysts Predict Dogecoin Price Will Explode: Why The $1 Mark Is Inevitable

Scott Matherson 1 hour ago
11 Wallets Receive 295,861 Ethereum ($1.19B) From Major Institutions: Accumulation Or OTC Shuffle?

11 Wallets Receive 295,861 Ethereum ($1.19B) From Major Institutions: Accumulation Or OTC Shuffle?

Sebastian Villafuerte 3 hours ago

Premium Sponsors

Press Releases

  • ドージコイン 今後の展望 ― 0.30ドル到達と「買うべきミームコイン」論争

    ドージコイン 今後の展望 ―...

    8 hours ago
  • リップル 今後の展望:RLUSDステーブルコインがマネーマーケットファンドに統合

    リップル...

    8 hours ago
  • 仮想通貨プレセール動向:次世代ビットコインレイヤー2が資金を集める

    ...

    8 hours ago
  • テザーが5,000億ドル規模の資金調達を計画、今注目すべき仮想通貨おすすめ

    ...

    8 hours ago
  • 新しい仮想通貨のプレセールが250万ドル目前、投資家が急増中

    ...

    9 hours ago

Newsletter

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Company

  • About Us
  • Advertising
  • Contact Us
  • Privacy Center

Social

© 2025 NewsBTC. All Rights Reserved.

  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play Games
  • Casinos
Advertise

© 2025 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.