Technical Analysis & Industry Trend | $ETH, $AIXBT, $FAI, $HYPE and more - May 20th
This is GOLD/S&P500 Weekly Chart with Global Money Supply.
The yellow line is global money supply.
I am thinking that this chart will be a forward indicator for global liquidity trend.
Simply put, more liquidity, $BTC and altcoin will go up.
Gold is safe heaven asset. Thus, once most investors concerns about global recession risk, they sell risk assets like stocks and buy golds.
Then, because of raising recession risk, central banks in global print more money by buying more government bonds, and provide liquidity to the risk asset market. Eventually, stock market like S&P recovers again. This is a typical money market cycle.
This means when Gold price goes up while S&P500 goes down, the recession risk is increasing.
Currently, the RSI of this chart already hit higher than 70, very high level. Thus, global liquidity is increasing to avoid recession.
For more detail:
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