This Tool Predicted Every Bitcoin Bottom
45sThe claim of a tool that predicted every Bitcoin bottom with a 5,142% return is highly intriguing and promises insider knowledge.
▶ Play Clip"Delivers on its promise of revealing three timing tools, but the '5,142%' claim is a hypothetical backtest, not a guaranteed return."
The video presents three tools for timing Bitcoin market cycles: the MVRV Z-Score on Glassnode, the Bitcoin Power Law Corridor, and the Bitcoin Cycle Master indicator on TradingView. It explains how each tool identifies cycle tops and bottoms based on long-term holder behavior and price corridors, offering a strategic framework for buying and selling.
The MVRV Z-Score tracks the profit ratio of long-term holders. When it enters the red zone, it signals extreme profit and a likely top; when it enters the green zone, it signals losses and a likely bottom.
The Bitcoin Power Law Corridor on TradingView plots price in a logarithmic corridor. Touching the green line has historically marked cycle bottoms, while the red line indicates overextension.
The red line should be used as a warning to start taking profits, not as an exact sell signal, as price may not always reach it before reversing (e.g., 2021).
The Bitcoin Cycle Master indicator provides a more precise top signal. When price touches the yellow line, it has historically marked the absolute top, followed by a decline.
Combining the Power Law Corridor and Cycle Master offers a robust system: buy near the green zone and sell when the yellow line is hit.
What is the first tool mentioned for tracking long-term holder profit ratios?
The MVRV Z-Score on Glassnode.
01:23
What does the red zone in the MVRV Z-Score indicate?
When the orange line enters the red zone, it signals extreme profit for long-term holders and historically marks cycle tops.
02:16
What is the second tool used to identify cycle bottoms?
The Bitcoin Power Law Corridor on TradingView.
05:14
How should the red line of the Bitcoin Power Law Corridor be used?
It should be used as a warning to start taking profits, not as an exact sell signal, because price may not always reach the red line before reversing.
06:43
What is the third tool that provides a more exact top signal?
The Bitcoin Cycle Master indicator on TradingView.
07:28
What does the yellow line in the Bitcoin Cycle Master indicator signify?
When price touches the yellow line, it has historically marked the absolute top of the cycle.
08:06
What is the recommended strategy when combining the Power Law Corridor and Cycle Master?
To buy near the green zone and sell when the yellow line is hit.
08:31
Hypothetical 5,142% Return
Quantifies the potential of following the MVRV Z-Score signals over five years, though it's a backtest, not a guarantee.
Fear and Greed Drive Markets
Explains the psychological basis for why tracking profit/loss ratios can predict market turns.
00:43Buy at Green Zone, Sell at Red Zone
Provides a simple, actionable rule for using the MVRV Z-Score to time long-term entries and exits.
03:10Use Red Line as Warning, Not Exact Signal
Highlights a common pitfall and offers a more realistic approach to using the Power Law Corridor.
06:43Combine Indicators for Better Setups
Shows how layering two indicators can compensate for each other's weaknesses, improving trade accuracy.
08:31[00:00] This exact tool has predicted the Exact bottom of bitcoin every single time. And if you followed just this one tool for the past 5 years on Bitcoin, Meaning you bought when it said to buy and sold when it said to sell. You would have made 5,142%
[00:15] Not only that, but ill be sharing 3 secret tools that I use on a daily basis to know exactly when to buy and sell bitcoin. Let s jump straight into it. wallets on the crypto network. Every. Single. One.
[00:31] And while tracking all of these wallets it could see exactly when the majority of people were trading for a profit and when the majority of people were trading for a loss. Don t you think that could be useful information? Ya see, fear and greed run the
[00:43] markets on a day to day basis when the majority of people are trading for a profit in a specific asset (like bitcoin). That s a pretty good indication, that specific level is filled with greed and will likely be the top of bitcoin.
[00:56] As its inevitable that people will start to take profits and start selling. Creating a snowball effect to the downside. Same goes for purchasing bitcoin. For a majority of the time, it s a pretty good idea to be purchasing bitcoin when the
[01:10] majority of people are trading for a loss. If only there was a tool that could track all of this for you and give you the exact statistics in real time so you wouldn t have to look them up yourself and have to do all of that wo- There is. There is a tool.
[01:23] Introducing our first tool The MVRV Z score on glass node. That will bring you to this website. Go up here and click charts
[01:35] Scroll down till you see the subcategory MVRV . Click that. Then finally click the MVRV Z score tool. It will bring up a chart that looks like this.
[01:49] The black line is bitcoin s price. The orange line is the market value, realized value of bitcoin Which is basically just fancy talk for the profit ratio of long term holders of bitcoin. Historically speaking, these long term holders
[02:02] tend to take profits at the right time, while the short term holders are the ones who get stuck with the bag and take the loss. So statistically speaking we should be doing the same as the long term holders. So if we take a closer look at this chart.
[02:16] You ll see a red zone and a green zone. Whenever we enter into this red zone, that means long term holders are in extreme profit. When we enter into this green zone that means the majority of people are trading for a loss. So this tool is pretty simple to use actually.
[02:30] While looking at this chart we can more or less, just completely ignore this black line. What we are more interested in, is the mvrv, which is this orange line. As you can see from looking at this chart, whenever this orange line goes into this
[02:43] red zone it has been the absolute top of the bitcoin cycle. As this is where the majority of greed is taking place. Same goes for the opposite direction. Whenever the orange line has touched this green zone, it has been the absolute bottom.
[02:58] Organe line comes down to this green zone, goes up. Comes back down to this green zone, goes up. Comes back down to this green zone, goes up. Every time price has come down to this zone,
[03:10] it has been the absolute bottom of the bitcoin cycle and bitcoin goes up afterwards. So to use this indicator it s pretty simple. You want to be buying as much bitcoin as humanly possible when this orange line comes down to this green zone.
[03:23] As every single cycle bottom has started to reverse at this green zone. Whenever the orange line comes to this red zone, you should start looking to close your positions as this is where greed starts kicking in and will likely be the top of the cycle.
[03:37] So yes, this is more of a long term indicator. Price isn t going to come to this green and red zone very often. But its definitely important to know, so when it does happen, you know exactly how to capitalize on it.
[03:50] You can use this tool for Ethereum, solona, tron. Or basically any token for that matter. But before that how does 10% sound? 10% for what you might be asking?
[04:06] I want you to imagine something. Imagine going out to dinner and getting a big ol hefty bill. You go the surf n turf, so it was pretty pricey. You pull your card out of your wallet. But not just any card The new bybit card. Yes, believe it or not, bybit has came out
[04:19] you get 10% cashback with it. 10 fn percent. The norm for credit cards these days is like 2%. You get 10% with this bad boy. And you can choose whether you
[04:32] get your cashback in btc, usdt, or eth. You can spend this puppy at any place that accepts master card, which is basically every where. Its pretty simple, the funds are just deducted from your bybit account automatically, with seamless conversion from crypto to fiat. So you
[04:48] can literally spend crypto, and easily convert it to real world money basically anywhere. Not only that, but the more you use it, the more points you get. And with these points, you can buy crypto air drops, giftcards, and a ton of other things.
[05:02] this card what are you doing? If you re interested in getting I mean 10% cashback. How can you beat that. Okay back to the video.
[05:14] It will bring you to this website. Click products, then super charts. First things first, we want to do our analysis on bitcoin so come up here to this search bar and type in bitcoin. Click the first result.
[05:28] Next go to your indicators tab and search bitcoin power law corridor Make sure you choose this one, by this guy. When you first add it to your chart, your chart and click this little hexagon tool. Switch from regular to logarithmic.
[05:45] So now we are viewing this bitcoin chart as a logarithmic function. And if we look at the full history of bitcoin you can see just how accurate this tool has been in the past. Every time bitcoin has come down to this bottom
[05:57] green line. Its has been the absolute bottom of the cycle and bitcoin sky rocketed afterwards. Same goes for the other direction. Whenever bitcoin has touched this red line. So knowing this, how can we use this tool to benefit our trading?
[06:14] So how I personally will use it is like this, if im currently in any crypto positions. I will start to get more and more warry as price gets closer and closer to this red line. If price ever comes down and touches this green line.
[06:30] You should be looking to buy as much bitcoin as humanly possible. As your pretty likely to be buying bitcoin at a huge discount if it ever comes down this area. And again, just look how accurate this tool has been in the past.
[06:43] Then once we start getting closer to this red line, it starts to reverse. Now we shouldn t use this red line as a tell tail sign for a take profit. this red line in the first place. For example, back in 2021 bitcoin
[07:02] came close this red line but didn t fully reach it, and fell anyways. So you shouldn t use it as an exact take profit indicator, but more or less, use it as an indicator to know when to start getting warry and start looking to sell or when you should
[07:16] Now like I said before, the one major drawback of the indicator we just went over is that its pretty good at telling you exactly when to buy bitcoin,
[07:28] but when it comes to selling it, it can really happen anywhere in this red zone. If only there was an indicator that could tell you exactly when the top is occurring. Well there is. Go to the indicators tab on tradingview.
[07:41] Type in bitcoin cycle master. Click this one by this guy. all of these boxes besides plot terminal price . I will also be changing the color of this
[07:53] in conjunction with the bitcoin power law corridor indicator we just went over. Its pretty similar in the sense that, every time bitcoin reaches this yellow
[08:06] line. It is most likely the top and bitcoin is likely to fall afterwards. And remember how I was saying back in 2021 the bitcoin law corridor indicator didn t catch the exact top of this move. Well this bitcoin cycle master indicator
[08:19] caught it absolutely perfectly. And if we zoom out. Every single time bitcoin has reached this yellow line, it has been the absolute top of bitcoin.
[08:31] And the price fell directly afterwards. If you use this in combination with the bitoin powerlaw corridor, its can give you some absolute beautiful setups for your future trades. And I know it doesn t fit the whole make money fast scheme that the majority of
[08:48] youtubers pump out on a daily basis. Sure, price may only come down to this green zone once every 3 years. Or it may only touch this yellow be profitable in trading, these tools will give you the absolute best chance to do so.
[09:05] And you re way more likely to not only buy in very highly discounted zones, but also sell in areas where price is most likely to be very over extended. So yeah, these indicators don t give signals very often, but now that you
[09:18] watched this video. When it does happen, you ll be ready to capitalize on it.
⚡ Saved you 0h 09m reading this? Transcribe any YouTube video for free — no signup needed.