BTC, the unprecedented crash(avoid becoming the exit liquidity)Bitcoin's price action can be best described by its tendency to create numerous fake S&R levels & S&D zones to confuse retail traders. Now that it's testing the previous cycle high & 200wma(which has historically signaled the cycle bottom), retail can fall once again into the trap of consistently buying the dip on each low.
With the inflation soaring, interest rates at levels the likes of which has not been seen in a long time, and a looming recession, I can't see neither 20k nor 200wma as the cycle bottom .
Bitcoin will most likely visit its origin at around 10k range. Next stop is the flip level at 4k. Each and every rally to supply areas is a fake rally in my opinion.
Significant price action needs significant shift in sentiment & attitude of retail traders. Sub 15k is easily in the cards for now.
Lastly, don't become the big player's exit liquidity at these tough times in the world.
Invest wisely.
(FaN-)
Crash
"The consumer is in great shape" - The Big Lie of 2022 They will tell you we are in great shape all the way down & they will raise raise raise rates until we create a triple bottom to 1999 -2010 (red line).
This will be the point where you want to unload the wheelbarrow and buy everything - SPX - BTC - ETH - SOL
They can't stop the carnage simply because it's not their priority. Just go touch some grass until we reach the red line.
BTC = $14000
ETH = $250
SOL = $3
DOGE = $.001
SPX = 2000
Cheers to the worst crash in our lifetimes and the best buying opportunity of the decade.
BTC rejection (weekly red candle close) BTC has stayed below the previous support for two weeks. It’s only a matter of time before a drop further to the downside. I’m not a financial advisor, but you must keep in mind 3 factors that confirm more bleeding for BTC.
1. Downward Trend ( Heiken Ashi multiple weekly red candle closes)
2. No support (broken support).
3. BTC has always corrected 80% from its ATH. Right now, BTC is only at 44% from its previous ATH.
The 5 Crashes That Shook The Markets.A very brief look at 5 of the most significant market crashes to date, using the Dow Jones Index.
Content taken from various online sources.
Great Crash 1929
Many factors likely contributed to the collapse of the stock market. Among the more prominent causes were the period of rampant speculation (those who had bought stocks on margin not only lost the value of their investment, they also owed money to the entities that had granted the loans for the stock purchases), tightening of credit by the Federal Reserve,
the proliferation of holding companies and investment trusts (which tended to create debt), a multitude of large bank loans that could not be liquidated, and an economic recession that had begun earlier in the summer.
During the mid- to late 1920s, the stock market in the United States underwent rapid expansion. It continued for the first six months following President Herbert Hoover’s inauguration in January 1929.
The prices of stocks soared to fantastic heights in the great “Hoover bull market,” and the public, from banking and industrial magnates to chauffeurs and cooks, rushed to brokers to invest their liquid assets or their savings in securities, which they could sell at a profit.
Billions of dollars were drawn from the banks into Wall Street for brokers’ loans to carry margin accounts. The stock market stubbornly kept on climbing. That is, until October 1929, when it all came tumbling down.
Catching on to the market's overheated situation, seasoned investors began "taking profits" in the autumn of 1929. Share prices started to stutter.
They first crash on Oct. 24, 1929, markets opened 11% lower than the previous day. After this "Black Thursday," they rallied briefly. But prices fell again the following Monday. Many investors couldn't make their margin calls.
Wholesale panic set in, leading to more selling. On "Black Tuesday," Oct. 29, investors unloaded millions of shares — and kept on unloading. There were literally no buyers.
The rapid decline in U.S. stocks contributed to the Great Depression of the 1930s.
The Great Depression lasted approximately 10 years and affected both industrialized and non industrialized countries in many parts of the world.
When Franklin D. Roosevelt became President in 1933, he almost immediately started pushing through Congress a series of programs and projects called the New Deal. How much the New Deal actually alleviated the depression is a matter of some debate — throughout the decade, production remained low and unemployment high.
But the New Deal did more than attempt to stabilize the economy, provide relief to jobless Americans and create previously unheard of safety net programs, as well as regulate the private sector. It also reshaped the role of government, with programs that are now part of the fabric of American society.
Black Monday 1987
Many market analysts theorize that the Black Monday crash of 1987 was largely driven simply by a strong bull market that was overdue for a major correction.
1987 marked the fifth year of a major bull market that had not experienced a single major corrective retracement of prices since its inception in 1982. Stock prices had more than tripled in value in the previous four and a half years, rising by 44% in 1987 alone, prior to the Black Monday crash.
The other culprit pinpointed as contributing to the severe crash was computerized trading. Computer, or “program trading,” was still relatively new to the markets in the mid-1980s.
The use of computers enabled brokers to place larger orders and implement trades more quickly. In addition, the software programs developed by banks, brokerages, and other firms were set to automatically execute stop-loss orders, selling out positions, if stocks dropped by a certain percentage.
On Black Monday, the computerized trading systems created a domino effect, continually accelerating the pace of selling as the market dropped, thus causing it to drop even further. The avalanche of selling that was triggered by the initial losses resulted in stock prices dropping even further, which in turn triggered more rounds of computer-driven selling.
A third factor in the crash was “portfolio insurance,” which, like computerized trading, was a relatively new phenomenon at the time. Portfolio insurance involved large institutional investors partially hedging their stock portfolios by taking short positions in S&P 500 futures. The portfolio insurance strategies were designed to automatically increase their short futures positions if there was a significant decline in stock prices.
On Black Monday, the practice triggered the same domino effect as the computerized trading programs. As stock prices declined, large investors sold short more S&P 500 futures contracts. The downward pressure in the futures market put additional selling pressure on the stock market.
In short, the stock market dropped, which caused increased short selling in the futures market, which caused more investors to sell stocks, which caused more investors to short sell stock futures.
A key consequence of the Black Monday crash was the development and implementation of “circuit breakers.” In the aftermath of the 1987 crash, stock exchanges worldwide implemented “circuit breakers” that temporarily halt trading when major stock indices decline by a specified percentage.
For example, as of 2019, if the S&P 500 Index falls by more than 7% from the previous day’s closing price, it trips the first circuit breaker, which halts all stock trading for 15 minutes. The second circuit breaker is triggered if there is a 13% drop in the index from the previous close, and if the third circuit breaker level is triggered – by a 20% decline – then trading is halted for the remainder of the day.
The purpose of the circuit breaker system is to try to avoid a market panic where investors just start recklessly selling out all their holdings. It’s widely believed that such a general panic is to blame for much of the severity of the Black Monday crash.
The temporary halts in trading that occur under the circuit breaker system are designed to give investors a space to catch their breath and, hopefully, take the time to make rational trading decisions, thereby avoiding a blind panic of stock selling.
The Federal Reserve responded to the crash in four distinct ways: (1) issuing a public statement promising to provide liquidity, as needed, “to support the economic and financial system”; (2) providing support to the Treasury securities market by injecting in-high-demand maturities into the market via reverse repurchase agreements; (3) allowing the federal funds rate to fall from 7.5% to 7.0% and below; and (4) intervening directly to allow the rescue of the largest options clearing firm in Chicago.
Dotcom Bubble 2000
The dotcom crash was triggered by the rise and fall of technology stocks. The growth of the Internet created a buzz among investors, who were quick to pour money into start-up companies.
These companies were able to raise enough money to go public without a business plan, product, or track record of profits. These companies quickly ran through their cash, which caused them to go under.
The Internet bubble, grew out of a combination of the presence of speculative or fad-based investing, the abundance of venture capital funding for start-ups, and the failure of dotcoms to turn a profit.
Investors poured money into Internet start-ups during the 1990s hoping they would one day become profitable. Many investors and venture capitalists abandoned a cautious approach for fear of not being able to cash in on the growing use of the Internet.
With capital markets throwing money at the sector, start-ups were in a race to quickly get big. Companies without any proprietary technology abandoned fiscal responsibility. They spent a fortune on marketing to establish brands that would set them apart from the competition. Some start-ups spent as much as 90% of their budget on advertising.
Record amounts of capital started flowing into the Nasdaq in 1997. By 1999, 39% of all venture capital investments were going to Internet companies. That year, most of the 457 initial public offerings (IPOs) were related to Internet companies, followed by 91 in the first quarter of 2000 alone.
The high-water mark was the AOL Time Warner megamerger in January 2000, which became the biggest merger failure in history.
As investment capital began to dry up, so did the lifeblood of cash-strapped dotcom companies. Dotcom companies that reached market capitalizations in the hundreds of millions of dollars became worthless within a matter of months. By the end of 2001, a majority of publicly-traded dotcom companies folded, and trillions of dollars of investment capital evaporated.
The bubble ultimately burst, leaving many investors facing steep losses and several Internet companies going bust. Companies that famously survived the bubble include Amazon, eBay, and Priceline.
The US government would date the start of the dot-com recession as beginning in March 2001. And by the time of the economic shock from the terrorist attacks of September 11, 2001, there was no longer any doubt. In that tragic month of September, for the first time in 26 years, not a single IPO came to market. The dot-com era was over.
Global Financial Crisis 2008-2009
The crisis, often referred to as “The Great Recession,” didn’t happen overnight. There were many factors present leading up to the crisis, and their effects linger to this day.
The foundation of the global financial crisis was built on the back of the housing market bubble that began to form in 2007. Banks and lending institutions offered low interest rates on mortgages and encouraged many homeowners to take out loans that they couldn’t afford.
With all the mortgages flooding in, lenders created new financial instruments called mortgage-backed securities (MBS), which were essentially mortgages bundled together that could then be sold as securities with minimal risk load due to the fact that they were backed by credit default swaps (CDS). Lenders could then easily pass along the mortgages – and all the risk.
Outdated regulations that weren’t rigorously enforced allowed lenders to get sloppy with underwriting, meaning the actual value of the securities couldn’t be established or guaranteed.
Banks began to lend recklessly to families and individuals without true means to follow through on the mortgages they’d been granted. Such high-risk (subprime) loans were then inevitably bundled together and passed down the line.
As the subprime mortgage bundles grew in number to an overwhelming degree, with a large percentage moving into default, lending institutions began to face financial difficulties. It led to the dismal financial conditions around the world during the 2008-2009 period and continued for years to come.
Financial stresses peaked following the failure of the US financial firm Lehman Brothers in September 2008. Together with the failure or near failure of a range of other financial firms around that time, this triggered a panic in financial markets globally.
Many who took out subprime mortgages eventually defaulted. When they could not pay, financial institutions took major hits. The government, however, stepped in to bail out banks.
The housing market was deeply impacted by the crisis. Evictions and foreclosures began within months. The stock market, in response, began to plummet and major businesses worldwide began to fail, losing millions. This, of course, resulted in widespread layoffs and extended periods of unemployment worldwide.
Declining credit availability and failing confidence in financial stability led to fewer and more cautious investments, and international trade slowed to a crawl.
Eventually, the United States responded to the crisis by passing the American Recovery and Reinvestment Act of 2009, which used an expansionary monetary policy, facilitated bank bailouts and mergers, and worked towards stimulating economic growth.
Covid Crash 2020
The 2020 crash occurred because investors were worried about the impact of the COVID-19 coronavirus pandemic.
The uncertainty over the danger of the virus, plus the shuttering of many businesses and industries as states implemented shutdown orders, damaged many sectors of the economy.
Investors predicted that workers would be laid off, resulting in high unemployment and decreased purchasing power.
On March 11, the World Health Organization (WHO) declared the disease a pandemic. The organization was concerned that government leaders weren't doing enough to stop the rapidly spreading virus.
Investors had also been jittery ever since President Donald Trump launched trade wars with China and other countries.
Under both the Trump and Biden administrations, the federal government passed multiple bills to stimulate the economy. These included help directed at specific sectors, cash payments to taxpayers, increases in unemployment insurance, and rental assistance.
These measures further soothed investors, leading to additional gains in the stock market. Investors were also encouraged by the development and distribution of multiple COVID-19 vaccines, which began under the Trump administration.
The driving forces behind the stock market crash of 2020 were unprecedented. However, investor confidence remained high, propelled by a combination of federal stimulus and vaccine development.
WORST yet to come. Crypto's bubble bursting? Maybe.Disclaimer: This is a Newbie analyses with no past Experience!
Don't get me wrong, I love everything about Crypto and appreciate being alive to witness this astonishing technology.
Some people have made fortunes, others lost fortunes and salute to those STILL HODLING. 2020-2021 was INSANE, everything was hitting the roof, people invested pennies and got rich. But this time its different, this year is different, I mean BITCOIN BTC is down 53%.
I CAN'T help but to think that we are witnessing something similar to the DOTCOM Bubble of the 90s. Where:
-Money was everywhere
-New start-ups were emerging everyday,
-Hell, NASDAQ reached 5048, at its peak, then plummeted to 1114 in Oct 2002.
Similarly,
-Money was everywhere in the Crypto space,
-People made 100x-1000x-10000x on their investments.
-A dozen of new projects are emerging every single day.
- BITCOIN soared all the way to 65k USD in 2021, and now potentially it might bottom out to 11k-12k zone.
All this, with what the world is witnessing, GLOBAL WARS, RECESSION and INFLATION, I think we are at verge of CRYPTO's bubble bursting. However, it is not all bad news, if this scenario is executed, then after the crash, only the strong, most promising and solid projects will SURVIVE.
NOTE:
For further observation, open the NASDAQ Composite MONTHLY chart, set the year between (1995-2003), and compare it to CRYPTO's Total (2018-2022).
This is not a financial advise!
Please comment your ideas about the analyses.
Appreciate your constructive comment and feedback in advance.
BTC SUPPORT LINES AND GAME OVER RIP LINE. This chart I am showing you what I think are the support lines that must hold or down to the next is 100% guarantee. Note the 3k line IF we go down that far must hold or DEFI is dead and all coin is nothing but a memory of how the world lost money. Also know that the longer we go down and stay down, the bigger the recovery will be. This is crazy and stay clear of alts, some will die. My TOP TEN LIST, of coin I think will recover best are in no particular order are. BTC, ETH, SOL, MATIC, CRO, SHPING, DOT, AVA, ADA, UNI. No I did not list meme coins because they are manipulated by twitter critters who just smell MUSKY to me. I think 10K is going to hit and I hope hold, but no one knows anything anymore at this point, Best of luck to you all, I might place some more at 10K but I want to see 3 steps up before I go long with a real investment. It will go up, just have to wait months or years, No one knows anymore, until lending coins stop failing. But things happen in 3's and watch for big time regulations to hit hard as feds get protective due to all them crying eyes who did not believe the crash, heck, this deep down got me off guard. I thought 23K would be it. I was wrong. Be safe, Be smart, and get wealthy my friends.
US30 Market Crash Incoming soonI'm not a financial advisor and these are only my pure thoughts about what US30 will do soon.
This is my prediction for the US stock market crash that I think will happen in the next weeks to months this year.
Some people say this crash will be the biggest of all time, I think is possible. My estimation is a crash of a minimum of 25-30%.
The best chances are to happen in the mid of the year between july and September.
Usually in this range, people go on holiday, and buying habits change (more spending on transportation, local attractions, expensive food, etc) which can lead to imbalance that can lead to a market crash when added the actual fear of a market crash in calculations.
BTCUSD breakdown macro high - waiting for capitulationBTCUSD is a a pretty big danger zone as it drops towards the 2017 peak.
The resolve of Bitcoin maximalists and dip buyers is about to be tested.
So many say things like "Bitcoin bear market bottoms NEVER go below the previous cycle high!"..... never say never.
BTC will rise again, but it's hard to say how low it may end up going before a bottom is found. "Rules" from previous cycles/trends are about to be broken.
Bag holders from the 2017 peak may soon be in the red again which could lead to them throwing in the towel during the next capitulation event. Below 21k things can get ugly fast. The huge MicroStrategy fund may be forced to dump A LOT of BTC: fortune.com
The 100 month MA looks like it could easily be in play.
No Bearish Volume WEEKLYJust to check again, after this month's CPI report, I looked at the Weekly chart & there's STILL no Bearish Volume. Whales are accumulating HODLing & REMOVING coins from exchanges. If you DCA NOW might be your chance to get your stack however you do so, whether through a shopping app, exchange or P2P. Not FA, but if you ever want a whole Bitcoin now is your chance. Should you wait for lower? Perhaps if we've blasted through 28K support below 2020 levels we may see lower. Will you DCA at 20K? 15K? Or will you flee back to the safety of dinosaur dollars?
ETH BREAKDOWN. WHERE IS THE BOTTOM?!COINBASE:ETHUSD
ETH HAS JUST BROKEN BELOW THE 2018 TOP!
ETH broke down below 1200 and below the previous all tie high.
huge sell off going on across the entire market right now
please be careful trying to time the bottom of moves like this.
we have not seen price action like this on ETH...ever. just momentum of this move down was strong enough to break thru every resistance made during this current bull run
where does everyone think the bottom is ?
let me know your thoughts!
CRYPTO CRASH!! EMOTIONAL DAMAGE BINANCE:BTCUSDT
HUGE DUMP ALERT!!
Where is the bottom?!? lets take a look at the chart
bitcoin in the recent days has cut thru all previous supports and just like when we ran straight from 20k to 30k we are dumping straight from 30k to 20k
cant say where the exact bottom is in this kind of market. everyone please be careful trying to time this market and watch who to believe out there especially in the crypto space.
just looking at the chart it certainly looks like we are coming to test 20K. will it hold?!
looking across the market it certainly looks like some of these assets have more room on the downside.
let me know what your guys thoughts are>
Major downtrend in SPXAfter almost two years of market exuberance due to central banks' unconventional actions, the SPX has recently entered a major downtrend which has just started.
The index has just formed a top under a major resistance and its next target is the major support level around 3200.
The RSI Exhaustion confirms the same analysis, in fact, there's no evidence of divergence and the indicator is currently "bullish exhausted" meaning that a bull run from here is extremely unlikely.
Remember to do your analysis, be patient and always look for confirmation from the indicators.
AMAZON DOT COM CRASH PATTERN STILL ACTIVE ON BTC MUST SEE CHART.Take a look at this bearish scenario for BTC the dot com crash of 2000 the chart looks identical to btc right now, are we going to have 655 more days of a bearish BTC with a 91% market correction? This chart is food for thought yes there are many bullish scenarios out there right now. 95% of all coins are sh*t coins with next to zero chance of success this downtrend would in fact shake out all the rubbish coins and make the market much more relevant. Leave your thoughts in the comments hope you enjoyed my 5 minutes. SEE OUR PREVIOUS CHART IN LINKS FROM DEC21 when we first pointed this out. People say you cant compare stocks to crypto, well it has the same market sentiment the same format the same fear and greed I was a forex trader that moved over to crypto in 2016 and my TA is accurate across the board, feel free to look at my reputation and other posts before dissing the idea.
BTC - Wondering where it is going, the Elliott's shows youHello traders,
Crazy what happened with the market init?
Well well, we might see the end after the terrible week that is coming....
....Yeah right, the FOMC meeting on the 14th-15th of Junes is not going to please the markets investors...
It is therefore, why today I show you this plan, where we could see even more bearish moves for the BTC and fall to the price of:
25800 (again) for the 61,8% of extension of the WXY which started the 10th November
24000 it's 66,7%
You can check directly on the chart how I decided to sub-count the last downtrend from the 28th March, in a Triangle ABCDE waves
Wave Y extension where I think it could go until 66,7% at maximum
Wave E extension, for the 100% which resonate with the 66,7% zone
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BTW, I am selling a PDF , regrouping all the knowledge I have found on Elliott Waves , from the greatest analysts books, into a clear, simple and explicative way,
Contact me in private, or in comment if you don't have enough reputation point if you are interested
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Don't hesitate to comment and check my other ideas
BTC Smackdown event 2022 Bulls vs BearsThis is how I see the rest of 2022 playing out. I see next week, last week in June hitting bottom for BTC to about 23K and then flat for a few days before aggressively bouncing as Fireworks go off! July and August will be big rally months for BTC up to 44K or 45K but then economic collapse of stocks and food shortage warnings will hit the world. This will send all stocks and crypto crashing down on or around Sept 2nd we will see this news coming out. Most of us see this anyways. Also with shortage in food, water and gas hitting hard at the start of 2024 as distribution centers report they can not keep up with demand to fill stores because they don't have the supply coming in. Nov and Dec we will see more on TV and News papers about this threat, and right after Christmas it will hit as we ring in the new year. This will be like the the great depression of 1929-39 In fact you can say it started with covid so that puts us almost 3 years in to it, and it will get very bad. The escalation of the UN and allied forces moving closer to Poland and Ukraine is also alarming as Russia basically signs it's demise and fall. So I think this will make Crypto and stocks fall faster then most think. Fear will sell, smart will buy the bottom. Because BTC has a Max number of minted coin, we know it will and has to go up. But here is another thought. What if the NATO starts trading in BTC and stops using USD. Or USD turns crypto and Fiat money is wiped out an attempt to bring the world together economically, to help isolate all communist (Russia China) . War is a booster for sure and ending the USD as the world currency by turning it crypto might keep America the world leader and secure freedom for all NATO. Just thinking outside the box because I believe it will shape how crypto gets excepted as the only funds available as FIAT is abolished. If not a lot of Country's including the US will have to pay back China, and that will never happen IMO. Good luck, stay safe, stock up for a year and never take anything anyone says as financial advice unless you are paying them to do so and never invest or trade more than you can afford to lose.