BTC: 2018-Present - Global Interest Comparison (Google Trends)

24 нояб. 2020 г.

Hello Traders. Since TradingView does not offer the values of key interest data in terms of specific values for Google Trends (the amount of people interested in Bitcoin?), I have decided to create the graph myself via the data pulled from Google's keyword trends for the search term, "Bitcoin". A small disclaimer: this graph is not drawn to perfect scale. It is to show the extremities of the different values shown within the timeline to show the past and current data of interest within the Google trends - which can be an alternative view of how the general public is really interested or not. Furthermore, this is a continuation of my risk management series, so I hope you take this post light heartedly and try to understand this post from a pure observational perspective and use this research to your trading advantage.

In the above diagram, we are seeing a timeline of the actual interest via the search interest for the keyword, "Bitcoin" in a timespan period of five years. The point of this graph is to show an alternative view of how much interest the general public may have.

As we can see, we are seeing a possible case of almost no interest within the cryptocurrency space due to possible low interests. The data suggested is showing a possible evidence that either:

1. We may set to blast through new ATHs (all time highs) due to this being a possible lagging indicator, or,
2. We may never see the same amount of interest in the near future and have a possible crash in the near future.

Case number two is a high possible case for me, as well, personally; however, number one is also a highly valid and sound case.

In the case of number two, we can truly dissect the real meaning of how much public interest we had back when Bitcoin hit new highs. Everyone was in Bitcoin! But looking at the current data, we must ask ourselves, "who is really invested into Bitcoin?" - Is the public interest still there? Is everyone on the sidelines?

That question is only answered possibly by time. We cannot predict the future, but we can learn from our past mistakes since this post is to give an alternative view to possibly help any future traders to not make the same mistake we did in 2018.

In terms of risk management, we can see that Bitcoin is currently creeping its way to our previous 2017-2018 high; however, many are now begging the question, "Is this the time to sell?" - or, "Is it time to buy?"

I hope this chart shines light onto all investors and traders. The data is embedded, but how we can interpret is very tricky. If you are interested in more of my risk management posts, please check the posts below!

Trade Safe.
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