January 11, 2021

‘Lose All Their Money’

Please click here for a  chart of Bitcoin futures (BRR_F).

Note the following:

• We were sharing with you late last week that sentiment had reached the beginning of the extreme zone.  Our long time subscribers already know that when sentiment reaches extreme positive it is a sell signal.  However, as a note of caution, the signal is not precise in its timing and sentiment can move farther into the extreme zone.
• The other important point about sentiment is that it is a sell signal only if it stays in the extreme zone for a while.  Historically, often the sentiment moves back from extreme to very positive zone.