Crypto is no longer in the hands of crypto. You should know that, kiddies.
If you've grown up as a crypto-only trader, you may be surprised to know this. Crypto is now controlled by institutions with only a small percentage of their money in crypto. These billion and trillion dollar funds have way more money than you, but only a small amount of that money is in crypto. They are trading in commodities, Forex, a million other markets. Yet their 1% allocation of cash in crypto controls your entire market.
And the Fed, with its limitless fake dollar balance sheet, controls these institutions.
That's who your heroes Michael Saylor, CZ and the rest of em let into the space. Got to deal with it now.
The mantra in crypto is "survive." Everybody I respect says that the way to win, and they are right. If you simply put a substantial amount of money into crypto in early 2020 and didn't do stupid leverage trading stuff, you're not really worried about this dip. BTC could go to $30K and your bags would still be way higher than they were in 2020. You're winning.
But for the Johnny-come-lately's — you guys are in for a rough time. Well, not really. You're in for paper losses. But you may equate paper losses with a rough time.
Q1 2022 is not going to be good on paper for any risk-on assets. Because bitcoin is controlled by entities who function in 50 other markets, it doesn't matter what you think about how siloed the crypto community or crypto tech is. Faggits like Kevin O'Leary are going to treat the shit like a risk-on tech stock, and when the Fed tightens interest rates, they're going to move out into value plays.
Saylor may even sell. Don't believe all that bullshit he talks. And all these little high-schoolers Pomp wants to promote as on-chain analysts — if you bet on them, you're retarded. All this bullshit about cold wallet percentages and bitcoin age/old-coins-haven't-moved-onto-exchanges bullshit is shit. Crypto is made to be a super-fast liquid market with no middlemen. When those old coins get ready to move back onto exchanges to spoof you or sell, they'll do it faster than Dylan what's-his-name or that other little goofy ass faggit on Pomp's show can react. Not saying the coins will move, just saying don't base your fuckin portfolio on what a 19 year old has to say about a bunch of anonymous multimillionaires who could cash out and care less at any time.
Now is the time to either:
1. play the market level to level with a bias towards the short, or
2. get in good yield farms and hold so the yield can give you your automated market-beating returns.
By the way, you're still looking for the microcap speculative plays. Because the ones that survive downturns are the ones you know will take off when stuff gets good.
Using the mantra of "survive," I would play everything as though bitcoin is going to hit $30k. That means DCA into high-quality stuff, don't blow your whole bag now looking for some quick turnaround. More importantly, don't get fooled if there some quick turnaround. More than likely, it's a fakeout lower-high that will try to draw you in only to dump you further down. That's what happens in bear markets. The trend is down, so act like it. Real traders don't care about down only; they just invert the chart.
Now may also be the time to call your family and tell them slow down on betting the farm just yet. It's a lot harder to explain real investing to lazy folks who only want uponly, but hey, them's the breaks. Take the pain now.
Me personally, I'm also buying assets in upcoming NFT games to prepare myself to be a play2earner. Not even kidding. Gaming isn't going anywhere, and before I'll work for anybody in the "real world," I'll put my goofy ass right in the Discord chat and beg for a Pegaxy scholarship. But I have a Pegaxy horse or two, so maybe I won't have to beg.
We'll get more in the weeds about how I'm going to survive Q1 2022 and stay 100% crypto, coming up after the break.
What break?
This one.
