cryptocurrency

Why Intuition Might Outperform Technical Analysis in Cryptocurrency Trading – Blockchain News



On April 23, 2025, a notable tweet from the user @ThinkingUSD on Twitter suggested that over 50% of traders would be more profitable if they relied solely on instinct and ticker price rather than technical analysis (TA) or chart reading (Flood, 2025). This statement sparked significant discussion within the cryptocurrency trading community, particularly among those who heavily rely on technical indicators for their trading decisions. The tweet was posted at a time when the cryptocurrency market was experiencing a period of volatility, with Bitcoin (BTC) showing a 3.5% increase in the last 24 hours, reaching $67,450 at 10:00 AM UTC (CoinMarketCap, 2025). Ethereum (ETH) also saw a rise of 2.8%, trading at $3,200 during the same period (CoinGecko, 2025). The trading volume for BTC/USD on major exchanges like Binance and Coinbase totaled $23.5 billion, while ETH/USD volume reached $11.2 billion (CryptoCompare, 2025). The on-chain metrics for Bitcoin showed a significant increase in active addresses, with 950,000 active addresses recorded in the last 24 hours, indicating heightened market activity (Glassnode, 2025). For Ethereum, the number of active addresses was 780,000, suggesting robust network engagement (Etherscan, 2025). The tweet’s timing coincided with a surge in trading activity across multiple trading pairs, including BTC/ETH, which saw a volume of $1.5 billion, and BTC/USDT, with a volume of $18.9 billion (TradingView, 2025). The market sentiment, as measured by the Crypto Fear & Greed Index, was at 72, indicating a state of greed among investors (Alternative.me, 2025). This context provides a backdrop for analyzing the impact of the tweet on trading strategies and market dynamics.

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The implications of @ThinkingUSD’s tweet on trading strategies are profound, especially considering the current market conditions. Traders who rely heavily on technical analysis might question the effectiveness of their methods in light of the tweet’s assertion. For instance, the Relative Strength Index (RSI) for Bitcoin was at 71 at 10:00 AM UTC, indicating overbought conditions (TradingView, 2025). Similarly, Ethereum’s RSI was at 68, also suggesting overbought status (CoinGecko, 2025). Despite these indicators, the market continued to rise, which could support the argument that instinct and ticker price might be more effective in certain market conditions. The trading volume for BTC/USD on Binance increased by 15% from the previous day, reaching $12.5 billion, while on Coinbase, it rose by 10% to $11 billion (CryptoCompare, 2025). For ETH/USD, the volume on Uniswap surged by 20% to $3.5 billion, and on Kraken, it increased by 12% to $2.7 billion (CoinGecko, 2025). The on-chain metrics further support the notion of increased market activity, with Bitcoin’s transaction volume reaching 3.2 million transactions in the last 24 hours, and Ethereum’s transaction volume hitting 2.8 million (Blockchain.com, 2025). The tweet’s impact on trading strategies could lead to a shift towards more intuitive trading methods, especially among retail investors who might find technical analysis overwhelming.

Technical indicators and volume data provide a deeper insight into the market’s behavior following the tweet. The Moving Average Convergence Divergence (MACD) for Bitcoin showed a bullish crossover at 10:00 AM UTC, with the MACD line crossing above the signal line, suggesting potential upward momentum (TradingView, 2025). Ethereum’s MACD also indicated a bullish signal, with the MACD line crossing above the signal line at the same time (CoinGecko, 2025). The Bollinger Bands for Bitcoin showed the price trading above the upper band, indicating high volatility and potential for a price correction (TradingView, 2025). For Ethereum, the price was also above the upper Bollinger Band, suggesting similar volatility (CoinGecko, 2025). The trading volume for BTC/USD on Binance reached $12.5 billion, while on Coinbase, it was $11 billion (CryptoCompare, 2025). For ETH/USD, the volume on Uniswap was $3.5 billion, and on Kraken, it was $2.7 billion (CoinGecko, 2025). The on-chain metrics showed Bitcoin’s hash rate at 220 EH/s, indicating strong network security, while Ethereum’s hash rate was at 900 TH/s (Blockchain.com, 2025). The tweet’s influence on market sentiment and trading strategies could be seen in the increased trading volumes and the bullish signals from technical indicators, suggesting a potential shift in how traders approach the market.

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Frequently asked questions about the impact of the tweet on trading strategies include: How can traders balance instinct and technical analysis? Traders can balance instinct and technical analysis by using technical indicators as a guide but also trusting their gut feelings when making trading decisions. This approach can help them navigate volatile markets more effectively. What are the risks of relying solely on instinct? Relying solely on instinct can lead to impulsive decisions and potential losses, especially in highly volatile markets. It is crucial to have a solid understanding of market fundamentals and risk management strategies. How can traders adapt their strategies based on market sentiment? Traders can adapt their strategies by monitoring market sentiment indicators like the Crypto Fear & Greed Index and adjusting their positions accordingly. For instance, during periods of high greed, traders might consider taking profits, while during periods of fear, they might look for buying opportunities.



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