Ethereum - A Sucker's Rally Before The Bitter Winter
Updated
Whoever is shorting crypto right now probably has a death wish. And this isn't because there's going to be some new paradigm replacement of the USD or because institutions finally see the value of digital currency BECAUSE BLACKROCK ETF.
It's because Bitcoin, Ethereum, and all the other chains are going to zero, because they're in the way of the advent of Central Bank Digital Currencies, which are needed to underpin the worldwide roll out of the Chinese Communist Party's social credit system.
You shouldn't have faith in digital currency. There's nothing decentralized about them. It's not a free market. They're not saving you from anything.
The people who like them like them because they're getting Monero payments on the sly for being part of Palestine (Hamas)/Antifa/BLM events, which they can use to buy all sorts of horrific stuff on the Dark Web.
These "assets" are heavily concentrated in the hands of players either squatting in Shanghai (Babylon) with the CCP, or with entities who have stained their hands earning "the Mark" for "the Plan."
The problem for the CCP and Xi Jinping is that the 24-year persecution and organ harvesting genocide against Falun Dafa's 100 million practitioners looms over their head like a guillotine about to drop.
And so everything related to these digital currency things and people are things you want to practice social distancing from, wash your hands of, and inoculate yourself against by formally filing a statement of withdrawal on the Tuidang website.
Whoever doesn't have the guts, can't see it, or doesn't want to is gone with the wind.
So, here's the trade.
The Eth rally is obviously real, and it's obviously an exit pump at the same time. This means the target is painfully higher. Not to raid a monthly bar and then turn around and dump.
This means that shorts are trapped, more shorts are trapped.
A problem is that market psychology is not what you think it is. People love to buy when stuff is expensive and they love to sell when stuff is cheap. Because emotion is what drives everything, and it's why every U.S. election is lynch pinned around the words "fear" and "hate."
Price going up means a lot of big on-chain wallets get sold off at very high prices. Not only because shorts are force liquidated/force covered, but because people come piling in to buy with the number $5,000 in their eyes.
Eth monthly shows us that the dump was too deep and took too long to rally to be some sort of a prelude to a new high.
But because this rally shows no signs of retracing anywhere on futures or BTC, we can only assume that the target is the most obvious and painful target, which is the $3,600 pivot level set in 2022.
The problem for proponents of $4,000 is that despite these rallies and this supposedly bullish news about ETFs, there's no contango in futures at the moment.
And so this means that the CME Futures pattern will constrain the exchange spot prices, which we see in the charts
This means $3,600-$3,800 is the likely top.
And what's going to kill the rally?
It's really simple. A raid by the FBI/DOJ/SEC on Tether/iFinex/Bitfinex will do it and end it all forever.
What happened with online poker in the late 2000s when this happened to Full Tilt and Pokerstars?
One day everyone woke up to find their websites, where all their money was held, had been shut down with a takedown notice.
Everyone lost their money and it took many years for it to be paid back by the companies that bought FTP/Stars, the industry never recovered, and now you never even so much as hear about poker.
And that's what is going to happen to crypto. In the future, it will be gone.
And so will the 9th Communist International's CBDCs.
It's because Bitcoin, Ethereum, and all the other chains are going to zero, because they're in the way of the advent of Central Bank Digital Currencies, which are needed to underpin the worldwide roll out of the Chinese Communist Party's social credit system.
You shouldn't have faith in digital currency. There's nothing decentralized about them. It's not a free market. They're not saving you from anything.
The people who like them like them because they're getting Monero payments on the sly for being part of Palestine (Hamas)/Antifa/BLM events, which they can use to buy all sorts of horrific stuff on the Dark Web.
These "assets" are heavily concentrated in the hands of players either squatting in Shanghai (Babylon) with the CCP, or with entities who have stained their hands earning "the Mark" for "the Plan."
The problem for the CCP and Xi Jinping is that the 24-year persecution and organ harvesting genocide against Falun Dafa's 100 million practitioners looms over their head like a guillotine about to drop.
And so everything related to these digital currency things and people are things you want to practice social distancing from, wash your hands of, and inoculate yourself against by formally filing a statement of withdrawal on the Tuidang website.
Whoever doesn't have the guts, can't see it, or doesn't want to is gone with the wind.
So, here's the trade.
The Eth rally is obviously real, and it's obviously an exit pump at the same time. This means the target is painfully higher. Not to raid a monthly bar and then turn around and dump.
This means that shorts are trapped, more shorts are trapped.
A problem is that market psychology is not what you think it is. People love to buy when stuff is expensive and they love to sell when stuff is cheap. Because emotion is what drives everything, and it's why every U.S. election is lynch pinned around the words "fear" and "hate."
Price going up means a lot of big on-chain wallets get sold off at very high prices. Not only because shorts are force liquidated/force covered, but because people come piling in to buy with the number $5,000 in their eyes.
Eth monthly shows us that the dump was too deep and took too long to rally to be some sort of a prelude to a new high.
But because this rally shows no signs of retracing anywhere on futures or BTC, we can only assume that the target is the most obvious and painful target, which is the $3,600 pivot level set in 2022.
The problem for proponents of $4,000 is that despite these rallies and this supposedly bullish news about ETFs, there's no contango in futures at the moment.
And so this means that the CME Futures pattern will constrain the exchange spot prices, which we see in the charts
This means $3,600-$3,800 is the likely top.
And what's going to kill the rally?
It's really simple. A raid by the FBI/DOJ/SEC on Tether/iFinex/Bitfinex will do it and end it all forever.
What happened with online poker in the late 2000s when this happened to Full Tilt and Pokerstars?
One day everyone woke up to find their websites, where all their money was held, had been shut down with a takedown notice.
Everyone lost their money and it took many years for it to be paid back by the companies that bought FTP/Stars, the industry never recovered, and now you never even so much as hear about poker.
And that's what is going to happen to crypto. In the future, it will be gone.
And so will the 9th Communist International's CBDCs.
Note
So where's the trade if you wanted to go long and hadn't been long already?Frankly, probably on another dump under $2,000, because the algos like to liquidate leverage.
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