Shifts are taking place for the first time in over a year.
Bitcoin just printed its second consecutive negative monthly candle, which hasn’t happened since the Covid crash. Meanwhile, Ethereum was down on the month for the first time since September of last year.
Riding along in the Cryptocurrency space has been the ultimate momentum strategy. As a result, gains have far exceeded any risk asset by a country-mile.
But the same applies to the downside.
In the case where volatility’s ramped up as it has, there’s nothing wrong at all with sitting on heavy cash positions until a more definitive trend forms. If the history of these digital assets have taught us anything, it’s that knowing when NOT to be in the trade puts us in an incredibly advantageous position.
Just take a look at Ethereum’s monthly candle: