#056 - Is It a Good Time to Buy Crypto? (5 Step Checklist ✅)

10-Step Checklist: Is It a Good Time to Buy Crypto?

I’ve analyzed a lot of profitable traders and have gathered a lot of learnings that I have acquired over my 7 years in the crypto space to get the best insights to answer the question:

We asked top crypto experts to share their insights on the best time to buy crypto.

Here's a simple 5-step checklist to help you decide.

My name is Kierin (Onchain Edge) I write weekly, data-driven insights for crypto investors. Empowering long-term financial growth with onchain and technical analysis.

BTC Onchain Edge Index (current value: 41.94 Medium Risk)

1. Check the Fear and Greed Index

This is a pretty useful and easy-to-use metric.

The Fear & Greed index measures market sentiment from extreme fear to extreme greed.

It’s useful to use it in the short term to determine if you want to buy some crypto. The best times are when there’s been a large drop, and the Fear & Greed Index shows fear.

How to Check: Visit Alternative.me.

Tip: Extreme fear often marks market bottoms—great entry points.

2. Look at Google Trends

Google Trends is probably one of the easiest ways to see the public interest in cryptocurrencies.

Large Spikes in search volume for terms like "Bitcoin" or “how to buy crypto” can indicate that the market is close to the top.

Pro Tip: You can actually look at the related search terms to maybe spot some interesting crypto projects that people are wanting to buy.

For example $zack and retik finance seem to be interesting projects.

Retik Finance seems interesting. I haven’t done a deep dive, but I thought I’d share it with you. I would look deeper into this project as it has a real use case with its debit card.

3. Top Futures Trader Positions And Accounts

There have been times where i’ve gotten some great investing ideas by looking at what top future traders are doing.

You can see their positions and accounts on coinglass

Tip: High long ratios suggest bullish sentiment; high short ratios indicate bearish sentiment.

The next step I would take is copy the ticker like $SAGA and plug it into tradingview to see if it’s a good trade.

Below you can see the chart. Here’s what I want to see:

• The price looks like it has bottomed

• Reversal Pattern

The current price is $2.49, and I might actually take this trade and post the results on Twitter. The stop loss would be below $1.92.

You can do some more research on the team and what they create, but from experience sometimes if you do too much research you will fud yourself out of the trade.

4. Look at Active addresses activity

Most investors focus on the price but onchain metrics are the real deal and will reveal the true health of the market.

Sometimes a large spike in active addresses show that there is a growing interest in a certain ecosystem.

The chart below shows a 167+ percent increase in addresses on Arbitrum and a 213% increase in addresses on Linea.

You can check the active addresses of different chain on growthepie website.

Probably one of the best onchain user interfaces I’ve seen in a while.

It looks like something might be cooking on Arbitrum. The price of $ARB has only gone up 20% in the last 30 days. It’s now at $1.20 and looks promising.

5. Check the BTC On-Chain Edge Index

The onchain edge index is one of the easiest tools to know if the BTC market is overheated and undervalued on a long-term timeframe.

Even though it only uses BTC onchain metrics, it’s also a good overall market tracker.

You can check the current index value here

Bonus. Check Coinbase Wallet's Position on the Apple Store

Even though this stat might seem like a joke, it ties into the Google Trends step of tracking public interest.

When the Coinbase wallet position reaches 1 then it’s likely the crypto market has peaked.

But no need to sweat.

The current value is 512.