The recent buzz around the "Bitcoin dropping below 60,000 to buy the dip" argument, I have to be honest—there's a logical flaw. Retail investors see a correction and want to chase short positions, but what is the essence of a correction? They haven't really understood it.



Having traded in the crypto market for many years, I must state a fact today: candlestick charts can be deceiving, but data won't. Every real opportunity to get on board Bitcoin corresponds to these two core indicators. Mastering them can directly improve your entry success rate.

**First: Genuine Chip Movement**

Many people only focus on how much the price has fallen, but prices can be easily manipulated. The true story is written on the blockchain. What should you look at? The "net outflow" from exchanges and the "large transfer flows."

During a correction, if Bitcoin is continuously flowing out of exchanges, and large transfers over 100 BTC are moving from exchanges into cold wallets, what does this indicate? Institutions and whales are quietly accumulating. This kind of correction is actually a layout opportunity.

Conversely, if net outflow turns into net inflow, and a bunch of Bitcoin floods into exchanges with large sell-offs happening one after another, then it's truly panic selling. If you insist on buying the dip at this point, you're just carrying water for others.

A particularly profound example—when Bitcoin dropped from 70,000 to 58,000 last time, I decided to increase my position because I saw net outflows remaining positive. In less than 15 days, the price rebounded to 65,000. Many said I was lucky, but in fact, the indicators were speaking.

**Second: The True Pulse of the Ecosystem**

Whether an asset can go far isn't about how high it has risen, but whether there are real people doing real work behind it. How to judge? Look at on-chain transaction counts, active addresses, and the ecosystem data on Layer2.

If during a correction, these ecosystem indicators are still growing or even accelerating—transaction activity remains high, new addresses are increasing, developers are continuously iterating—that indicates the fundamentals haven't collapsed. Such corrections are often short-term profit-taking exits, with long-term funds still deploying. Conversely, if ecosystem data is declining during a correction, be cautious.

Simply put: looking at price alone will only make you chase highs and sell lows. Only by watching these two indicators can you catch the real bottom. Next time you see a correction, remember to check the on-chain data first—don't rush to get on board.
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PonziWhisperervip
· 12h ago
Net outflow and trading activity are really the ultimate indicators, much more reliable than just staring at the candlestick charts.
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SleepTradervip
· 12h ago
Is the net outflow still increasing? That means institutions are quietly accumulating. This dip is indeed a good opportunity to jump in.
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TokenomicsDetectivevip
· 12h ago
Is continuous net outflow enough to sit back and win? I feel like it still depends on the overall market sentiment. How can we address the issue of data lag?
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SeasonedInvestorvip
· 12h ago
Focus on net outflow, don't just blindly watch the K-line.
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SchrodingersFOMOvip
· 12h ago
Net outflow is the real signal; prices rebound quickly
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AirdropSweaterFanvip
· 12h ago
Bro, I've heard this theory before, but to be honest, on-chain data can also be faked. Don't idolize it.
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