CRYPTO ALERT: VOLATILITY INCOMING (WATCH BEFORE 20TH JAN)

MoneyZG

Market Update

The market is expected to get wild over the next few months, with a chart setup that is "absolutely insane" and every dip being bought up.

Trump's Crypto Plans

  • Trump plans to designate crypto as a national priority through an executive order
  • Trump allies are discussing stopping federal crypto litigation
  • This move is expected to make the US go pro-crypto, which will lead to other countries following suit

Bitcoin Cycle

  • The Bitcoin cycle is playing out as expected
  • The macro cycle and central bank cycle are also playing out as expected
  • The market is expected to cut rates and stimulate, which will lead to asset prices going up

Metrics

  • The MVRV (Market Value to Realized Value) ratio is low, indicating a potential bull run
  • The NUPL (Net Unrealized Profit/Loss) ratio is not high, indicating that the market is not overbought

Fiat Currency

  • Fiat currency is a pyramid scheme that requires inflation to survive
  • The government needs to create more currency units to pay off debt, which leads to inflation
  • The actual rate of inflation is around 12%, not the reported 2%

Investment Advice

  • Bitcoin is a great opportunity, but the CAGR (Compound Annual Growth Rate) is coming down
  • It's essential to get into Bitcoin before the CAGR drops to 25%
  • The S&P is a great store of value, but it's not accessible to everyone, unlike crypto
  • Bitcoin is beating the S&P and other assets in terms of returns.