The HODLers Wall
The beauty of the current Bitcoin market setup, is that the downside risk is so well defined. The HODLers Wall has been constructed, and the bears have so far failed to shift it even one inch.
G’day Folks,
As many of you know, my background is in a very peculiar, but very important field of civil engineering; called geotechnical engineering.
Geotechnical engineering is the fine art of digging large holes, and making sure they stay open.
It’s dirty, it’s expensive, and ground analysis requires a lot more gut feel than you’d think, and a willingness to accept risk, imprecision, and uncertainty. Structural engineers have the luxury of installing the well understood and calibrated materials of steel and concrete, whilst geotechnical engineers get what mother nature gives us at the site.
If you designed for a footing on rock, and you encounter clay when you dig it up…you’re out of luck.
You will be surprised how often I find myself trawling through Bitcoin market data, and end up stumbling across a pattern or parallel to my past life designing really big holes in the earth.
Today I want to talk through one such idea, which I am calling the ‘HODLers wall’, which describes the demand support which appears to have been installed right below us.
It reminded me of the classic force diagram we apply to a gravity retaining wall design, which as you can imagine, is designed not to move, or give into the bears.
On top of that, there are a plethora of metrics signalling that this market is READY TO MOVE, and our latest batch of chopsolidation may well have done its job…
…lulling the market to sleep.
📈 Reminder: you can find the charts from our articles on the Checkonchain Charting Website, and a guide in our Charts Tutorial Video.
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