The crypto community coming forces joining to say,
"Hey. Ripple? Not a security. Stop applying these 1934 laws to crypto."
Well, you know what?
Markets, you know,
we want to know what the heck's going on.
I did a stream this morning.
For anybody that doesn't know, we have a BitLab YouTube channel
that I stream every day Monday through Friday 10 AM to 11:30.
Basically, leading into this show.
We talk about everything going on in the markets,
as well as not just what's going on with price action and TA charts,
but also bridging those pro strategies, advanced strategies,
to understand what's happening also in an understandable way
so both pros and beginners can follow along and learn
and grow into what's happening,
and as it stands right now,
we have that--
we're forgetting our patience at the moment, you know?
When we look at the history of Bitcoin,
the majority of time, Bitcoin, you know,
we're all chasing those giant parabolic runs where the price is just running
and anybody that's been in the space for a few years will tell you
that that's a small window of time in Bitcoin.
The rest of the time, it's your job to have healthy capital management
and to make sure that you're getting yourself positioned to be ready when the market moves,
not jumping in at the top.
You know, jumping here onto the chart,
we can see that anytime you see price action go anywhere,
you know, even this wick right here,
somebody bought at the very top of this wick.
Now, somebody that bought down here and it was taking profits up here,
they're very thankful for whoever that schmuck was that bought up here.
And every one of us, you, me, Ben, Deezy, every single person in the market that you talk to,
no matter how, Crypto Face, anybody,
every single person has bought high and sold low at some point.
They bought the top and sold the bottom.
Everybody's bought stupid.
Everybody's capitulated in a dumb way.
The point is, how do we get out of doing that?
Well, one of the things is, is understanding that there's always buyers and sellers
and we can just change when we're buying and when we're selling,
and to do that of course, we want to look at this price action,
and so do we want this to go straight up?
Well, part of us does,
but if we really think about price action,
and look even back here,
you know, this is a global economic shutdown,
March 2020,
people panic sold here.
Somebody sold here to somebody else that made the best buy of their life.
And so when we're looking at the price action as it is right now,
people are getting worried that price action is, you know, maybe flirting with retesting $25,000.
And in reality, if we even just look at this rollover right here,
this rollover, just at the most basic level, all this was was retesting these highs right here,
this zone, this blue zone that we have,
came down and retested it.
Now, this washout here,
this is just, you know, people being silly, going as long as they can
and just getting eaten alive by just not healthy capital management when they're trading.
Now, looking at where we're at right now,
this is still very, very healthy for the start of this uptrend,
especially considering that price action,
let me kind of go back here,
especially considering that, you know, thinking about where we're at.
We want to be the smart money accumulators
and not these hype cycle--
these hype buyers with no conviction, right?
And so with this pullback,
which, you know, we've already had two of the small ones
re-emphasizing this downtrend level of previous resistance
that we flipped twice to support,
we're still so far above those zones.
I mean, this is that zone I'm talking about right here.
We've tested this twice.
We're way up here.
Have we lost this level?
Yes.
But we've got this key level that we're still well above,
and I do think that, at some point, price action, whether it's a 3-day
or a weekly candle that just has a wick, very brief sort of price action
that comes down and test this zone, this $25,500 being the top of it,
would be very healthy, and it's okay if price continues down.
If any of you are upset with what the price action is doing right now,
it's a good indication that you're either, your position, you have too much exposure
or you're not aware of what your strategy is
because you bought here because somebody else said,
"We're going to be going to 50," and then it drops, and you're like,
"Well,"
if you bought it at the top, you know, not understanding what's going on,
it makes sense that you're frustrated the price is now below it.
If you bought it at the top,
and you're DCAing along the way, you know, on pullbacks for instance,
then that's fine.
I want to point out something, utilizing not only price action,
this rollover,
bounce, support, bounce,
this pushed up,
rollover,
now, we're trying to figure out at what point this is going to bounce.
Is this going to be the bounce where we have this small wick right here?
Or is it going to push a little further down?
Well, if we look at the chart,
I want you to notice the colors on this chart,
this is part of the new, the update to the BitLab Trading Stack,
all the indicators we have.
This integrates the relative extrema into this.
And I want you to notice,
these green bars flash green when the relative extrema is saying
that this is unhealthy movement to the downside.
And so this is not a buy signal in and of itself.
It's signifying that you need to start looking for other signals or price action levels
that you may be coming into.
And what I want to point out here is that we had only one green candle here
where we had a strong bounce,
and on the weekly, we're getting this green candle again right here.
Now, if we actually come out and show all the rest of the indicators,
we can see this.
Right here, each time we get this triangle,
the triangle on either side is when the first candle shows that the movement is unhealthy.
In this case, it was unhealthy coming into this,
and then we rolled over.
Unhealthy coming up to the zone, and then we went sideways.
Now, we're pulling back,
and this is unhealthy coming to the downside.
The pink is unhealthy for bullish action.
The green is unhealthy for bearish action.
"My Grandpa wants to put $10K into one coin."
This is from Sean Adams, his second Super Chat.
Probably didn't type it in the first time.
Probably hit enter and said, "Dang it!"
So you got it right this time, Sean.
I want to make sure I read this.
Grandpa is putting $10K, one coin, 81 years old.
Who do you go with? What coin do you go with, Drew?
- Let's hear about your thoughts. - I thought I'd start him with Bitcoin.
I got it like, you know?
It's just I want to teach people about how to self-custody.
If I'm choosing one coin,
- I might go Cardano. - Okay.
Because I feel like Grandpa is going to say,
"Okay, I spent $10K, and I have 0.38 of one thing?"
- Okay. - Yeah.
And then he wakes up the next day.
"Oh, my $10,000 is, you know, $10,400."
"Oh, it's $9,980."
- I want him to wake up and be like, - Long term--
- I want his eyes to fall out of his head. - Cardano would be a more exciting bag
to hold in three years, much more so than Bitcoin, but, you know,
I just like the sovereignty aspect of crypto and then degen up,
but, you know, that's just me.
Alright. First, we're going to run through the VR thing.
I'm pretty excited about this.
Apple VR/AR headset could likely launch early June, spur metaverse,
could fast-track the emergence. Alright.
Look, new VR headset coming out.
We don't know much about it.
There's rumors.
Like, a lot of people are trying to get hands on it, especially the YouTubers.
- Yeah. - But here's a little Deezy wisdom.
Here's what you're not going to hear.
Here's another little Deezy original I pulled out of that specialist place there.
- Drew? - Yes?
What do you think of this thought?
Once it is released,
and potentially five days ahead the launch day,
potentially a week or two after, depending on the hype,
we will see a mini bull run of metaverse tokens.
- Thoughts? - Oh, absolutely.
- Have you heard anyone say that? - No, I had not. That's a great take.
That's why you come here for the alpha, but, no, that has not dawned on me.
I've been thinking about, because we've been following the meme token season,
I've been looking at AI tokens.
But, yeah, I mean, if metaverse hardware is actually done in a really good way
at a reasonable price point,
you know, I think that that could actually spur a lot of activity on it,
but it'd have to be--
do you think it's going to be Decentraland?
- Or kind of the same-- yeah. - Well, I think it would be not sophisticated metaverse resurgence.
I don't think it's going to be the guy that's like found the next Meta,
- the next SAND, the next APE. - Yeah.
- I think it's going to be retail money coming in. - Yeah.
I think they're going to go to CoinGecko, CoinMarketCap.
I think they're going to type in metaverse category.
They're going to hit enter.
And what are they going to see?
They're going to see SAND.
- They're going to see MANA. - Yeah.
They're going to see APE.
I think those are the top three.
- I haven't checked myself. - Okay.
And so I would maybe say, if you're into speculative plays,
- there could be a little speculation there. - That's good.
Maybe the market sees zero connection.
But what we saw with AI and ChatGPT,
huge influx of money into AI tokens.
People were literally just hitting AI tab and yellowing in money.
We might see something with the metaverse.
I don't know. I'm feeling pretty good.
I'm a little overextended with APE.
I don't hold any SAND or MANA,
but maybe I'll buy a small speculative bag on Coinbase or something, so.
I'm going to have to get--
I'm going to make action. I'm going to take action on this idea you just had
because it's very speculative, but, I mean, I think you're dead on with it.
It's going to be a resurgence of the same narrative.
Alright. Let's get into Ledger.
I know we were hyping it up.
Are we going to talk about it?
What is going on?
Where's the truth?
Is it a scam?
Are they giving away my seed phrase?
Is it all FUD?
- What is the truth? - Yeah.
Ledger releases extremely controversial update, users are leaving the platform.
That's basically what I'm seeing on Twitter.
Hardware wallet manufacturer Ledger has released a highly controversial update
that has some users abandoning it.
The update, which allegedly exposes seed phrases to the internet,
has been met with alarm and dissatisfaction in the crypto community.
Update offers an opt-in "recovery services" feature
that can potentially expose seed phrases,
the unique combination of words that gives access to the wallet.
This concern would make users' funds less secure
than if they were stored on a hot wallet like MetaMask.
To Vitalik's, you know,
- to his point, he uses hot wallets. - Yeah.
He doesn't use cold wallets.
I don't use cold wallets either.
I've never bought a cold wallet, probably never will.
Back to Ledger here.
Users on Reddit have expressed their disappointment and frustration with the update.
One user noted, "Leger, it was nice while it lasted...But it's game over."
The sentiment was echoed by others who now plan to purchase new wallets
and transfer their crypto assets.
Ledger Recover is currently compatible with Nano X and available on Android and iOS
running the latest Ledger Live version.
It's an ID-based key recovery service that provides a backup
for your Secret Recovery Phrase.
In response to the criticism,
Ledger clarified that the device sends encrypted shards of their seed phrases
to different companies only if you decide to use this service.
They can still choose to back up their seed phrases themselves.
However, this explanation has done little to alleviate the concerns of those who believe
that the device should not have the ability to leak data to the internet in the first place.
I think leak is the wrong word here.
It would be share.
The device would not have the ability to share a section of your seed
with other companies.
You have to use the internet.
I mean, they're not--
at Ledger, with 10, with yarn,
and then there's another company and they're like,
"Apple, Walrus, Tan--"
- no, no, that's not how it's going to be. - Yeah.
So, yeah, of course, they're going to send a--
look. Here's what they say.
It's generated on your device.
"We shard it."
I don't know how many pieces.
Maybe it's three pieces.
Maybe it's 3,000. I don't know.
They shard it.
And then different companies have a section of the shard.
And then you say, "Hey, I'm Deezy. Here's my license.
Share with me, you know the phrase. I've lost it. I need it."
And then there's some sort of process.
You don't have to embrace it.
- Clearly, the community hated it. - Yeah.
It's a reminds me of a Bud Light marketing strategy, you know,
where you're kind of, you know, look, this is kind of what we're known for
and then we kind of do some contrary to that to branch our audience.
Let me give you the the hot take care that's not popular.
These type of things are going to be necessary for crypto to go to mainstream.
I don't need it.
You don't need it.
We don't want it.
I don't want to share my seed phrase.
I'm very comfortable with my current situation.
The best thing? Memorize it. Look, write it down on a piece of paper.
Don't take a picture with your phone.
Don't type it into a computer.
Don't have it on any kind of--
don't have it living on the internet anywhere.
That's good for me.
That's going to freak some people out.
"Oh, I write this down,
but if there's a house fire and the paper burns up
and I've not memorized, I lose every Bitcoin I've ever held,
never Ethereum I've ever had,
and I lose all my NFTs, and they're gone forever!"
- Most people, that is a turn off. - Yeah.
That's not a turn off for me.
- It turns me on. - Oh.
It's not going to turn on everybody. It's not going to get everyone's rocks off.
In fact, they're going to stay away.
And so this is going to be necessary.
These type of things are going to be necessary.
Is it a fail by Ledger?
It appears because the market is vilifying them.
- They're roasting them. - Yeah.
I'm kind of looking at it like, "Hey, you don't have to do this."
You don't have to do this.
So at the end of the day, it's not the worst thing in the world.
Yup.
You can not upgrade.
- Too many techno babies. - 2.2.1 is the update.
Just, you know, know so you can not choose to update your Ledger account
and it won't implement it.
So there's a choice.
It's a tough choice for me too.
I'm huge about self-sovereignty
- and don't trust-- - You use a Ledger, Drew, don't you?
- Yep, I use a Ledger. - Has this changed--
- alright. You're a customer. - Yeah, I'm a customer.
What has this done to your opinion?
You know, as of right now, I don't plan on updating
and, you know, I'm looking at Trust Wallet a little bit closer now.
I'm going to be looking at kind of online hot wallets a little bit more closely
and kind of diversifying across a larger slew of hot wallets
rather than one centralized point of control, basically.
Ledger had its Bud Light moment.
I mean, people seem to like it. Should I tweet that out?
- Oh, my. - Is that too hot to take?
I mean, it's pretty hot. It'll get them hot and bothered.
- Wait for Miller Lite. Miller Lite-- - I sure had. Yeah, I saw that.
- Its Bud Light moment. - Yeah.
Alright. I'm typing it.
Now, is this going to get people to unfollow me?
- Potentially. - Yeah, potentially right?
- Ledger had its Bud Light moment. - Any time I say something--
Boom! It's tweeted. It's tweeted out there.
Ledger had its Bud Light moment.
Also, token holders posing a threat in the court.
We've seen a lot of people come forward, you know, basically assisting Ripple Labs,
saying, "Hey, you know, here's what we had to deal with dealing with the SEC."
And so we have the crypto community coming forces joining to say,
"Hey. Ripple? Not a security. Stop applying these 1934 laws to crypto."
Does not make any sense.
- I thought about this because of Miami. - Okay.
Drew, what is Miami known for, I guess?
Besides the drugs, but what is everyone playing there?
They're playing a type of game. What kind of games are they playing out there?
Oh, God.
Geez, I mean, I know that football is a big deal.
I don't play many games.
- Not like a sport. - Okay.
- Adultery? - Status.
- Status game. It's all about status in Miami. - Status game?
- Would you agree? - Yeah, that's very true.
- Where's your table? How big is your yacht? - It's very true.
What restaurant are you at?
Where's your penthouse?
What block do you live off?
What's your car?
You know, how do you look in this?
How's your Instagram?
- What's your followers? - We call it class game?
- They're playing classes? Okay. - Yeah. Alright.
- So there's a status game happening. - Yeah.
Okay. So if you're the coolest kid in eighth grade, okay,
but what happens if the No. 2 kid becomes the coolest kid?
What happens to the coolest kid then?
- He's no longer the coolest kid, right? - He's got to be--
- He goes down a point. - Yeah.
So we see a zero-sum game.
For you to be, you know,
"I have the best car in Miami. I just bought it,"
that means I knocked down the previous guy.
- The top guy went from No. 1 to No. 2. - Yeah.
There's only a zero sum.
It can only equal what it can equal.
To beat at the top, you have to push someone down.
For you to climb, someone else has to fall.
For you to fall means someone's stepping on your head.
Yep.
You know, what's a game that doesn't have losers?
What's that?
- That's the wealth creation game. - Okay.
And so there's two types of games.
One, wealth creation.
If I mine a mineral out of the earth and I trade your pumpkin seeds for it,
did we, you know, lessen--
do we pull from the economy or do we add to the economy?
- I would say it's an add. - It is an addition.
- And there is a positive sum game. - Yeah.
And so you can get wrapped up in these zero-sum games
of "how do I look on Instagram?"
"I want to get this brunch,
but you know what? If I buy this brunch that costs $10 more,
it makes a better Instagram photo. Let me take this.
Oh, I didn't even want the lobster Benedict.
Oh, but it will look better for the clout."
And so don't get wrapped up in these zero-sum games
where "Oh, I've got to have the best car."
Look at me. I'm wearing a free work t-shirt with holes in it.
- That's right. - Why?
Because that's less Cardano I could buy if I'm buying new clothes.
I'm not wrapped up in this status game.
Sure. Okay. Yeah, I'm trying to gain followers on Twitter,
but at the end of the day,
what's important to me is family, friends, happiness,
resting my head on my pillow at the end of the night
and feeling content and not having my mind racing a million miles per hour.
So you want to play wealth creation games.
You don't want to play these status games.
Build. Don't compare. Okay?
Create. Don't look at the next guy.
Don't worry about the grass on the other side of the fence.
Worry about your own grass.
That is the key to the game.
That is the key to happiness.
Let's play wealth creation games.
Let's all get rich together.
Best thing you can do to make that happen?
Hit that like button.
That's all I got.
Deezy out.