CoinsKid Liquidity Dance
How does the "CoinsKid Liquidity Dance" work?
The
Liquidity Dance line is inversely correlated to the Bitcoin price. This indicator is based on liquidity.
A sharp drop in the Liquidity Dance after a spike signals cash re-entering the system and encouraging investment.
This liquidity influx is seen as bullish for bitcoin & crypto, usually driving prices up.
There is a macro-level inverse correlation between the Liquidity Dance and the crypto markets.
• When you see the LD trending up expect a pullback in crypto.
• When you see the LD trending down expect a push up in crypto.
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Liquidity Dance Chart Access
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