Heading into this week I was anticipating a bounce. We're seeing this playout and at the same time, we're seeing some positive rotation in stocks.

I have the same exposure in the coins I've discussed in recent weeks, with some additional positions in names like MARA.

Overall, a quiet yet productive week for markets.

I've anticipated sideways price action for a month.

This continues as my intermediate outlook (months) has shifted from bullish to neutral as Bitcoin lost $56,000 and stocks appear as if they need time to improve.

My short-term outlook (weeks) moves from neutral to bullish, with Bitcoin and Ethereum at their lows and negative funding set us up for a bounce. I remain long on tokens like HNT, SOL, and BLUR holding support, but await further market shape before becoming overly bullish.

While crypto is down, Helium is up. That's relative strength.

I'm also watching Polygon for longs and Maker for shorts.

More widely, the correlation between crypto and stocks is back. With Bitcoin nearing my bullish invalidation of 56,000, stocks are selling off and that's dragging crypto down.

Crypto markets have been trending lower and I have purposefully been putting on very few trades. I think this is the best approach for now while the market sets up.

View this as a positive thing, because while many are losing money and getting emotional, we have the ability to be patient and preserve our capital.

This means that when the good times inevitably return, we can go back to making money rather than clawing back from a drawdown.

The crypto market is trading sideways after a major liquidation event last month.

My base case is for sideways trading for at least a month before an upward move into year-end.

I have little trading exposure and think patience in the near-term is the best approach.

The nature of the blockchain means we can analyze the transactions of smart money holders with so much transparency.

Today I want to show off my new Power Rankings table that visualizes the coins that are seeing the greatest flows by smart money every single week.

This is the definition of alpha.

Recently, I've flipped to a higher conviction bullish view. I'm of the belief this last leg lower purged a great deal of longs from the futures market, of which provides us fertile grounds to build a new trend.

In the short-term, I still think the crypto market will be messier for longer even as Bitcoin rallies to new highs.

Ethereum and the S&P 500 are both running up to a logical level of resistance.

This is the perfect sort of market to look for relative strength.

When the tape is sideways and choppy, you want to see the first ones showing their heads above resistance levels and breaking higher. While it's not necessarily a great idea to buy those breakouts given their high likelihood to fail with everything else moving sideways, it is wise to simply note them down.

In the case of this week, MATIC stands out.

It climbed up two spots on our power rankings and the long-term setup is so well defined.

I think there's a good opportunity there.