Market Wrap for January 2023

January 31 2023 Written by AXiS ALiVE

Welcome in for the first Newslog Market Update.

This blog post is going to take you through some assets that we have been tracking in the STA Private Discord server over the past six months.

STORES OF VALUE (BITCOIN, HEX, GOLD)

Bitcoin's most recent run-up has been brewing in the charts for many months. I first detailed a Fibonacci analysis on #BTC back on December 2nd, 2022. Bitcoin time spent under the 1.618 Downward Fib Extension historically lasted between 27 and 182 days historically.

Bitcoin's most recent breakout validated this hypothesis as you will see in later chart analysis.

Bitcoin is currently back-testing and forming support above the year long Descending Channel. A measured move on Bitcoin off the break of the Pennant Pattern shows the target of a 120% gain and price of roughly $37,000.00 per Bitcoin. Bitcoin meets its first resistance at the 50% Retracement level around $32,000 and a secondary target of $38,000 at the 61.8% Fibonacci Retracement level.

For more information on Fibonacci Analysis and Breakout Charting Patterns check back for updates to the Technical Analysis section of the free Resource Library on axisalive.com.

The reason we thought Bitcoin was setup for a multi-week run was because HEX formed a multi-wick capitulation bottom. HEX then had a 42% run in mere days, while Bitcoin only ran 4.5% off its local lows.

Here you can see the clear capitulation lows on January 5th, 2023 on the HEX 4 Hour Chart. This happened to mark exactly three years since the All-Time Low price of 0.000056 Cents per unit on January 5th, 2020.

The other asset that formed a similar bottom was the $12 trillion asset class of Gold. The thinking is that as the U.S. Dollar topped and market actors were forced to flee to stores of value. This triple bottom on Gold was a very well protected support level and the rally that followed was predictable on the basis of Central Bank accumulation.

HEDRON

HEDRON/USDC is seeing bullish continuation off of the 21 Daily Bull Market Support Band. The price saw a major bounce off of the OA support wall at the end of 2022 and has never looked back. Hedron's price consolidated around the 21 DMA for about 12 days before seeing a bullish engulfing candle today on falling volume.

Notice on the bottom panel I have shown how the Relative Strength Index (RSI) entered into a falling wedge in August of 2022 on a lower high where price made a higher high. This is typical Bearish Divergence. As of today, we saw Hedron break above the upper limit

(55 RSI) and is heading into the upper band of the major Descending Channel which was originally formed in October of 2022. Price is moving up on low volume and recently performed a clean bounce from the 21 Daily Bull Market Support.

Hedron is following HEX on a bullish posture.

Here is some history on the Hedron price from the STA Private Discord Server.

On November 15, 2022 I posted a chart in the Private Discord Server at a key inflection point on Hedron. If HEX were to fall, Hedron was going to fall with it, and that is exactly what played out.

In the middle of December we outlined in the STA Private Discord the liquidation event which caused HEDRON's price to fall 50% in minutes. We outlined how this quick drop in price was a massive opportunity as price fell into the OA Wall. The hypothesis was that large HEX whales who mint millions of HEX per month would be able to accumulate large bags of cheap Hedron without incurring slippage on the HDRN/HEX pair.

So, as the Price tested the OA Wall, buyers came in and gobbled up those cheap coins and the price recovered and consolidated above the wall ever since.

Check out these current statistics on minted Hedron versus burned. Approximately 9% of the supply has been burned and about a half of a percent has been loaned creating upwards pressure on the chart. As the deals get better on the HSI Auctions, the demand for Hedron increase, which in turn reduces the deal price. This seesaw effect is what reduces the margins of opportunity and eventually leads to a moment of accumulation before massive price expansion across the HEX and ICOSAHEDRON ecosystem.

FED FUNDS RATE vs S&P 500

Check out these current FED Funds Rate (Orange) versus the S&P 500 (White).

Every time the orange line reverses off of a high the white line sees a decline. This relationship describes how when the Federal Reserve pivots on rates (decreases) the stock market declines rapidly. The hypothesis here is that when rates drop, money gets cheaper and so large market participants sell off their assets, borrow new cheap money, and buy it back much cheaper when the rates bottom and which creates a stock market bottom.

Watch carefully at what the Federal Reserve does in their meeting on Wednesday. A pivot in rates is usually preceded by a pause. The average pause is about 7 months long.

Thanks for reading today's Newslog. This marks the beginning of a life-long journey to understand and conquer evolving markets. Stay tuned to the website and sign up for the mailing list to receive regular updates from the AXiS ALiVE web team.

Wishing you a year of safe accumulation and mad gains!

- AXiS ALiVE