This is the video recording of our September 10, 2021, All Star Charts Crypto Weekly Strategy Session.

That was quite the day yesterday...

We experienced $3.5B worth of long liquidations in the last 24 hours, with over $1.8B taking place in under an hour at the height of the crash.

Source: ByBt

Bitcoin's total open interest across all exchanges has fallen by a mighty 23%, and Ethereum's OI fell by 25%:

Source: Glassnode

One of the first lessons you learn in technical analysis kindergarten is the principle of polarity.

That is, former support turns into resistance, and vice versa.

The thinking here is that when buyers absorb all the overhead supply looming at resistance, the market has nowhere to go but up. When the market breaks out and retests that former resistance, it turns into support on the way down.

This language of supply and demand is true everywhere, but particularly so in cryptocurrencies, where there are no earnings, dividends, and discounted cash flow models to dilute the necessity of price.

So, with this all said, is this a textbook example of polarity taking place in Bitcoin?

Things are looking pretty damn good right now.

Bitcoin's got a 50 handle.

The alts are pushing to new highs.

And on-chain behavior continues to suggest accumulation on the part of long-term investors.

The bottom line is that if Bitcoin is in the 50,000's, we need to be aggressively long crypto.

And on the other side of things, alts have certainly had a good run in the last month: Solana, Cardano, Terra, Axie Infinity all come to mind...

This is the video recording of our September 3, 2021, All Star Charts Crypto Weekly Strategy Session.

The bottom line is that we're seeing more new highs underneath the surface.

After Ethereum's impressive +11% print following our bullish tone earlier this week, Bitcoin looks to be inching closer to a 50 handle.

As we've been outlining, if Bitcoin is in the 50k's, we need to obnoxiously long crypto, particularly the altcoins.

There's a permeating myth that cryptos are too volatile to invest and trade.

Naysayers will argue that because volatility's so high, they won't touch it.

The reality is that Bitcoin's less volatile than some members of the S&P 500.

Hell, Crude Oil literally traded in the negatives just over a year ago... talk about recency bias for people leaving that out from the equation.

The real debate isn't comparing cryptocurrencies to other asset classes, it's one of risk management.

So let's flip the question.

The talk of the town is Solana, for good reason.

While many cryptos have consolidated in the last few weeks, the entire Solana ecosystem has been on fire!

Just take a look at this thing...

This is the video recording of our August 27, 2021, All Star Charts Crypto Weekly Strategy Session.

In recent weeks, we've been discussing the potential upside in the altcoins if Bitcoin gets back into the 60,000's.

We're talking doubles and triples, at least...

There's no doubting that we've held a more bullish view when Bitcoin was hovering in the 30,000's, and more recently when Bitcoin resolved higher into the 40,000's.

But as always, we need to remain objective in our approach and look for cracks in our thesis.

It's one of many reasons why we always play devil's advocate; that is, collating a list of data points that go against our thesis and would subsequently make us change our perspective.

Let's not forget, flipping our approach as new evidence comes in is not only an advantage, but in public markets, it's a necessity.

So with that said, what if this isn't as clean a breakout as we initially intended?

What then?

As we laid out in yesterday's call, if Bitcoin is in the 50,000's, we need to be aggressively long crypto.

There's just no way around it.

Above 47,000, the bias is clearly higher toward the first half highs:

The projected move into the 60,000's roughly represents a 30% move. If we know anything about the altcoins, it's that many of them are a double, if not a triple in that environment...

We're already seeing that leadership emerge under the surface, with the altcoins reasserting their former leadership at their pre-covid highs on a relative basis:

This is the video recording of our August 23, 2021, All Star Charts Crypto Weekly Strategy Session.