No, really, this isn't pretty, neither on the weekly, nor the daily. Deviation up, back into channel, now sitting at the bottom of it... This isn't trivial support. This is quite an important level. Not sure it can hold, but we can pray.
Be sure to keep praying please. We‘ll need all of the gods.
Keep praying. It‘s working.
Hedged all four breaks of this line, so feels good to finally make some money on those hedges. Felt miserable the whole time.
Now, if we get a full blown wash out of all Bulls before the Fed meeting, I think high chance it becomes a buy the news event... We ll see.
Scaling back a part of these hedges around here ($3675) as I can see ppl buying 3.6k ish. Rest of the hedges has a floating stop. Hoping for the best, fearing the worst 💪🏻
Vomit now going back into camel’s head 💪🏻
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Picked up a number of under performing, high quality protocols along with some of the most strongest recently, hedged it with low quality stuff. I think we are at the point where things are so low sentiment-wise it’s difficult not to see a pop. Low qual hedges will help otherwise
Too tired to provide more reasoning, but should echo my previous few posts
This is a part of the story. Lot’s of room with this and funding to squeeze shorts.
FWIW I am in the latter category. I think both traditional markets and crypto need to shake off the fact liquidity will reduce, but the underlying drivers (economy, virus clean up, innovation) are going to win out at the end.
Separation based on utility needs to happen though. As long as memecoins are 1:1 correlated with actual working projects, #wangmi long term. But I am optimistic it will happen.
So the Nasdaq Bearishly engulfed the Fed relief rally, which makes it look more and more like a short squeeze. The S&P wasn’t quite as bad, but the picture isn’t pretty for risk assets. Unless we turn around quickly, this could mean stocks are in for more pain.
As I said before, I think that crypto as a whole has become a risk asset like all others, meaning that I find it hard to see that crypto rallies extensively but stocks don’t. So therefore unless stocks recover quickly my stance will be cautious.
In an ideal world, we can get a de-coupling between $BTC and productive alts (those with actual network usage, like $ETH & $SOL). The latter have been much stronger on this rebound so that is a good start, but I am not convinced.
Still scared of the open interest, but realistically, this is no longer a super dangerous set up. Highly theoretical of course, but given supports around $58k & $4k that we'd all like to see held on weekly I guess it's as good a time as any to look at these favorably. Not advice.
I dipped more than a toe this time. Keeping a pretty tight stop of course.
So look. I think there are great things happening in #crypto.I think we have ways to go in terms of growth. I am not Bearish on this industry.
But when I look at all indicators I track, it seems pretty likely that we‘ll see a full on leverage flush sooner than later. Not advice.
A) Leverage premium both in coin and $USDT margined futures is high
B) Funding (a result of A) is downright scary for some coins like $SOL and nowhere near neutral for any of them
C) $BTC Futures open interest was up the most in any 30 day rolling period before,then remained high
D) A lot of non-crypto people are talking to me about $SHIB and $DOGE again
So what that tells me is: people are euphoric about crypto and just buy everything with leverage.
People even bought the dip with leverage. That is generally not a reason to be negative on price.
Super busy today, but felt like I needed to put out a few thoughts on the #solana DDoS / downtime, how it was solved and what it means for $SOL & #DeFi
Firstly, I understand that what happened was that too many bots tried to claim/buy a token and spammed the network excessively.
There was already a patch that was released to take care of situations like these, but it was not adopted fast enough.
To solve this, the validators decided that they would do a re-start of the network with the new patch and it was fascinating to be a live spectator on discord.
Pausing here for a second, this means that, we have learned that #solana is indeed a decentralized network. It was impossible for "engineers" to go and solve the problem. They needed 80% of validators to take part in the re-start. It took almost a day because of decentralization.