Chainlink Weapons Arsenal /a thread

1/ Chainlink broke its all time highs yesterday. And it just keeps going higher.

I think we& #39;re seeing a full blown parabolic advance.

$LINK
2/ This shouldn& #39;t come as a big surprise if you& #39;ve followed me for awhile.

I said I was expecting this two months ago. https://mobile.twitter.com/ColeGarnerBTC/status/1258567577443303425">https://mobile.twitter.com/ColeGarne...
4/ Finding ideal sell points in altcoin bull runs is becoming more and more of a multi-layered onion.

I consider $LINK& #39;s parabola in 2019 the first layer.

Extrapolating that parabola& #39;s fib extension offers a very specific story.

If we& #39;re right - this move has a long way to go.
5/ But fib extensions are a blunt instrument.

We can do a lot better.

The rules of alt season have changed a lot since 2017.

We have an arsenal of weapons that didn’t exist back then.
6/ $LINK& #39;s Mean Dollar Invested Age is just starting to curl down.

I’ll look for a much steeper drop -- at least as strong as the drop in February.

(data from @santimentfeed)
7/ $LINK& #39;s balance on exchanges tells the inverse story on-chain.

I think there& #39;s plenty of room to grow.

(platform is @glassnode)
8/ On-chain volume needs to spike much higher to convince me we’re anywhere near a top.
9/ You can see it on @binance& #39;s USDT pair -- by far the highest volume market for $LINK.

Orderbook delta is a leading indicator -- and a dead giveaway.

Delta should skew heavily short when whales are ready to sell.

We& #39;re not there yet.

(platform is @tradinglite)
10/ We’ll likely see large sell orders start to stack up on @binance even before $LINK has a chance to hit its top.

That’s the beauty of a leading indicator.

Use it right, and smart money& #39;s next move is often obvious -- like the market is naked before your eyes.
11/ Can& #39;t whales just market sell? Orderbook delta can& #39;t account for that.

For sure. Some will, no doubt.

But savvy whales know they might only get one shot at selling the parabolic top.

I expect to see big asks in advance of real sell pressure.
13/ This is our one red flag: $LINK just hit #1 on @santimentfeed& #39;s list.

But there& #39;s a signal-to-noise problem:

the sheer size of $LINK& #39;s unusually huge community renders social volume a less accurate signal.

Take partial profit if you like. I think we go higher.
14/ What am I looking for then, to sell?

I want to see Mean Dollar Invested Age drop hard, at the same time that on-chain volume prints a huge spike.

After that, I expect @binance orderbook delta to skew heavily short.
15/ From there, @binance orderbook heatmap on @tradinglite will dictate my take profit levels.

I’ll find the biggest orders, and slide mine in just underneath.

I expect to see multiple layers of big orders. The lower they are, the likelier they get hit.
16/ Want a more tangible profit target?

Check out $LINK& #39;s logarithmic channel.

Picture perfect, touch-for-touch, dating back almost two years.

Broken only once...by the parabola.

I’ll take some profit at the top trendline, around 75k sats, just to be safe.
17/ I consider all of this target practice for next year, when the real face-melting alt moves likely start to kick off.

These are just a few of the weapons worth using.

There are others, new ones are invented all the time, and they just keep getting better. https://abs.twimg.com/emoji/v2/... draggable="false" alt="🔥" title="Feuer" aria-label="Emoji: Feuer">
You can follow @ColeGarnerBTC.
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