In this article, we will try to assess the current movement of the first cryptocurrency. For this, we will look at the H4 timeframe.

BTCUSDT Binance Futures

This screenshot covers the period from November 2024. Just in November, there was an explosive growth that formed a fairly large zone of imbalance. If we consider what happens next relative to the November trading balance, we can say the following:

  • In December, there was an attempt to break above the November VAH level, which turned out to be false;

  • After the unsuccessful attempt to break out, there was a pullback to the November POC level with a subsequent rotation towards VAH;

  • In January, after retesting the November POC, a second attempt to break above the November VAH level was made, again unsuccessful;

  • After two unsuccessful breakouts above the November VAH in January, the movement towards November's VAL began - a usual rotation within the balance;

  • In February, this movement accelerated;

  • In March, we reached the November VAL level.

During the examined period, we most often encounter two types of volume anomalies that are not the largest (pink and white). A large anomaly (green) occurs only once. All this can be seen as a medium-term position fixing with subsequent re-entry.

Now let's consider a more global picture on the same hourly timeframe.

BTCUSDT Binance Futures

In this screenshot, we are interested in the yellow and green volume anomalies, which are the largest. We see that the largest (yellow) are concentrated in September-October 2023, while green anomalies mainly occur in September-October 2024.

Conclusion

Volume analysis allows us to confidently say that there is no panic! There is currently a normal correction within the range formed in November 2024. At the same time, we do not see a predominance of large volume anomalies at the tops in December-January, from which we can conclude that there have been no long-term fixations yet. So we calmly sit and wait for the correction to finish and do not succumb to the general panic.

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