INCOOOM TIMES MARKET WATCH
The 9,9 council prepares a weekly market recap for you to read as you sip your coffee on this brisk autumn morning
At INCOOOM, we value transparency and active communication for our incooomers, so every week we’ll post a weekly article on how the 9,9 strategy is working out, and helping you generate wealth.
To track the 9,9 VAULT (we added a COOOMA)
The 9,9 vault, the 320th biggest wallet, currently has a total of 1131 sOHM, with 67.843 sOHM bought from the 9,9 strat. This is an evaluation of $873k. To be aligned with the framework proposed on TEN-ONE, a leverage ratio of 6.9% was initialized. This has generated an additional 5.5 sOHM for the 9,9 vault, with an overall 244 sOHM Generated. Because of the price appreciation of OHM, this has decreased our borrow limit by 7%, netting us an additional profit of 5.98 sOHM.
This week, The internal 9,9 council has decided not only to increase the borrow % to the initial value, but to increase it to 9.9%. This will generate an additional 42% extra incooom from the leveraged staking rewards. The liquidation price will increase from $76.75 to $95.42.
When taking a leveraged position, it’s important to have an idea of key support areas in regards to the liquidation price. For our purposes, we will use three technical indicators to help us: VPVR (volume profile visible range), Ichimoku Cloud, and RSI (relative strength index).
Looking at the daily chart, we can form a range using the all-time VPVR (about $630) and post FOHMO 3 VPVR (about $900). Drawing a mid-line at $765, we can see price is lingering towards the upper-middle of the range, perhaps indicating a decision point is looming.
The Ichimoku cloud is green, indicating bullishness. However, with price 20%+ above the top of the cloud, the decision point narrative reemerges. Will price test the top of the VPVR range and break out towards ATH? Will it linger in this VPVR range or, worse, touch the green cloud?
This narrative emerges again when looking at RSI. Recently taking a drop from overbought to the midline, RSI is hanging precariously in the middle of the range, so a move down to oversold doesn’t seem unlikely. That said, it’s Q4, a historically bullish season, so it wouldn’t be shocking to see RSI test 80 again in a markup scenario.
The four hour chart is clearly up-only. There’s no reason it can’t re-test and break out above the $900 VPVR wall. That said, consolidation appears likely and a deeper correction to low- to mid-$600s seems like a realistic floor.
So what about liquidation price? Looking back at the daily chart, it seems like the kumo twist (when the cloud twists and changes colors) at $410 is a good area to target low. Then, of course, is the recent low of $225 back in mid-August. Following that is the all-time low of $164 in late-May. Finally, $80 is both 2x RFV/OHM and about half of the all-time low.
In order of probability within the next 30 days, I’d rank in order of most-likely to least-likely:
- Consolidation between VPVR midline ($765) and post FOHMO 3 VPVR ($900) — 30%
- Drop to all-time VPVR ($630) — 20%
- Breakout above $900 and continue upward towards $1000–18%
- Drop to Kumo Twist ($410) — 15%
- Drop to mid-August low ($225) — 12%
- Drop to late-May low ($164) — 3%
- Drop to $80–2%
You can use these to align your liquidation price when opening a (9,9) position. The last thing anyone wants is to get liquidated.
Please note due to the degeneracy and 24/7/366 cycle there is no mark to market close, these figures are a snapshot and will have changed by the time you have read this article