when i think about cryptocurrencies it's a network effect that's really what you're buying here
similar to how you're buying facebook early and thinking okay at some point they're going to have
a billion users you're buying crypto and thinking at some point there's going to be a billion users
but if you get in an environment like this where everybody's been been hurt during this downturn
and you have people being laid off and there's not venture capital money to have the new products
that's gonna hurt your network effect now to be clear i do have a very bullish view
over the next five to ten years on bitcoin it's just we have to get through this period of time
before we can say all right all clear
welcome back everybody to altcoin daily you subscribe for daily videos on everything going on
in cryptocurrency bitcoin is 69 down from its previous all-time high of 69 000 bitcoin continues
to dip at 20 teetering on the edge of support of last cycle's all-time high in today's video i want
to talk about why bitcoin continues to dip what is the absolute range the absolute price point range
where we can see bitcoin bottom and what events in the macro backdrop what events in the world will
we have to see for bitcoin to have a reversal for bitcoin to have a trend change if you appreciate
our daily content if you are part of the altcoin daily team smash the like button let's answer
the question why is there so much cell pressure in the market why is bitcoin continuing to drop
listen to cnbc analyst bk talk about why he is still short bitcoin he's going to talk about the
leverage upon leverage upon leverage the impaired collateral the distressed buyers and then another
analyst is going to talk about how this is the first time in bitcoin's history where banks are
starting to implement responsible policy listen to this and then we'll talk about where the absolute
bottom could be we got to go to bk on this um you have been short bitcoin where do you stand now
i am still short not as short as i used to be but i am still short so what we have going on here is
crypto's 2008 moment that very similar things happen in crypto that happened during the great
financial crisis and what we still have is collateral that was pledged in multiple
different areas that is now impaired leverage upon leverage upon leverage distressed buyers and
that combination has not been cleared yet so until that is cleared it is going to be hard for crypto
to bottom and i just don't think it's here yeah essentially bk obviously wrote the book in 2014
he has clearly forgotten more than i'll ever know but i'll say this and we've been pretty steadfast
bitcoin was created in my opinion this fear that central banks run amok and they were right
to create it on the back of that these bitcoin bowlers out there they never saw central banks
try to be responsible until november of last year and i don't think it's coincidental at all that
bitcoin topped out the same time our federal reserve pivoted now when you see the swiss
national bank out of nowhere seemingly raise rates and now global central banks raising rates
that speaks to them trying to be responsible not coincidental now bitcoin is seeing levels
we haven't seen in three years these central banks will pivot at some point i think bk
agrees with that and when they do that to me will be the green light to get into bitcoin
totally appreciate this point of view central banks will eventually pivot and that'll be the
green light that shows us and the rest of the world who's looking that a trend changes in
order and it's time to get back into bitcoin and bitcoin can start trending up i'm going to like
this video i feel like i'm getting value and let's dive in even deeper what else do we need to look
for that will signal a reversal in trend what will tell us the bottom is and we can start going up
and by the way at what price range will the bottom be in best guess listen to this there's two things
that i'm looking for number one is what guy just said some sort of panic and or pivot on the uh
on the front of the central banks that's number one or something or them doing something that
just breaks markets then you need an alternative currency what they're doing right now particularly
with the bank of japan is absolutely choosing you know uh to fight inflation at the expense
fight inspiration at the expense of their currencies uh and they're torching their
currency so um that is a catalyst so i need that to happen i need central banks to panic and say
wait we need growth now all of a sudden and then number two i need this this this leverage to be
flushed out of the system um and we'll probably see that you know i i don't know but if i had to
guess right now you know maybe 15 000 on bitcoin is probably a place where i'd start to look
and say did the leverage get blushed out and how close were the central banks panicking
hey bk it's karen you had talked a couple of weeks ago about not wanting to get long bitcoin
until you felt like the nasdaq sell-off was over do you have a particular level in mind that would
make you be a bitcoin buyer yeah so so right now based on my my particular valuation model
um between 12 to 18 000 is kind of a fair value or i should say that is a a cheap value for bitcoin
based on the network effect so somewhere around those levels now what's interesting is most of
the year the correlation between bitcoin and the nasdaq has been running at 80 percent
that's dropped down into the mid 50s right now so you're starting to see a break in the correlation
which i view as positive and by the way 12 000 15 000 18 000 this is actually congruent with
what other famous analyst jim cramer has to say on bitcoin listen to this you've gotten
pretty negative on bitcoin so the market can can uh bounce but bitcoin goes to zero or
did you hear tim armstrong strong he's he's pretty smart that you do you think bitcoin bounces from
here or is it over yeah i think well look i think the people who are involved with bitcoin have to
take another stand you know like i like novogratz he was out there yesterday dave we need we need
some guys to just say look this is the level that's typical of what happens what when you're
when it's about to really drop big uh so they just come on air and they say listen i'm a buyer
we had sailor the other day i mean i mean hello if they changed the margin rates on crypto he'd
be out in a second so i i do think that they have to make a stand joke they can't let it go down
anymore whoever the day is they gotta just think they gotta i mean with that thing you're saying
it goes down another fifty percent or or another hundred percent i think it goes to twelve thousand
where it was in uh before this whole fiasco began still a lot though for for something that we don't
really know what the heck it is well it really isn't anything right i mean maybe it's like
maybe it's like a distributed it's like a distributed ledger
that you can make a case blockchain yeah if i have to hear about that one more time here's the thing
my friends as some of our og subscribers are no doubt sharing in the comments cnbc oftentimes
is a counter indicator when they get bearish you buy when they get bullish you sell so
is bitcoin going to go down to 12 000 i'd be surprised could bitcoin wick down to 15 i
think that's definitely possible it is refreshing however if you listen to this whole video how it's
clear that they are long-term bullish on bitcoin and cryptocurrency now which is a stark contrast
from how they talked about bitcoin and crypto in bitcoin's first decade i mean it's amazing to see
even the federal reserve confirming that crypto is not going to die and they're here to compete
looking forward rapid changes are taking place in the global monetary system that may affect the
international role of the dollar in the future most major economies already have or are in the
process of developing instant 24 7 payments our own fed now service will be coming online in 2023
and in light of the tremendous growth in crypto assets and stable coins we are examining whether
a u.s central bank digital currency would improve upon what is an already safe and efficient
domestic payment system our as our white paper on this topic notes a us cbdc could also potentially
help maintain the dollar's international standing so understand there's just so much going on in
cryptocurrency today that has nothing to do with the price but just shows me the damn this is the
future in a huge way instagram now working on the ability to see ethereum and polygon nfts
in augmented reality on their platform in fact ethereum addresses that hold one ethereum
hits a new all-time high and has just been trending up for the longest time charles hoskinson
founder of cardano has received an invitation to speak in front of the u.s house of representatives
so much money continues to come into crypto not to pump and dump but to build things that
hopefully will be here years to come immutable launch is a 500 million ecosystem fund to boost
game fight option of course immutable the coin is immutable x it's a layer two on ethereum and yes
we've seen several companies firing percentages of their staff crypto.com block five we've went over
them with you if you subscribe to our channel but there's so many companies who have been
on a hiring spree so don't get it twisted fidelity hiring spree to expand crypto services including
ethereum trading and custody kraken hiring for 500 plus roles finance hiring 2000 open positions
there's so much going on in cryptocurrency my friends subscribe to the channel you don't want
to miss it we drop a video every day lightly tap that like button and i'll see you tomorrow