The chart above is the Total Market Cap for cryptocurrencies. The horizontal bars on the image above measure volume at price – in other words, it measures how much of something was traded at a particular price level.
When a whole lotta trading occurs at a certain level, the bars get longer. The longest chunks of the volume profile are called ‘high volume nodes.’ Now, notice the big gap between the green arrow.
Volume profile traders loooooove gaps. Why? Because gaps act like a vacuum. For volume profile traders, this chart and that gap excite them in all the right places. In theory, if the Total Market Cap moves and closes a daily or weekly candlestick above $975 billion, we should expect a violent push higher towards the next high volume node near $1.17 trillion.
It’s going to be exciting to watch what happens at these levels. And the Litepaper will keep you updated when the move happens. 🚀