We are experiencing the largest liquidation in crypto history.
Over 20 billion.
Sunday, but this couldn't be overlooked.
What happened, what does it mean, and what can we expect?
Starting a thread.
And now what?
The pattern repeats:
‑ Brutal drop.
‑ Retail liquidation.
‑ "Cheap" price with no buyers (because they were liquidated).
‑ Inflows from funds and institutions.
And then, the rebound.
Key: the macro.
Today we are not in 2022.
We are more similar to 2020:
‑ Liquidity rising.
‑ Global M2 on the rise.
‑ Central banks injecting.
That provides context for this to recover faster than before.
Today that liquidity exists.
And that's why Bitcoin will be the first to recover.
Then, Ethereum.
And much later, the altcoins.
My strategy?
Almost no leverage and only solid tokens.
Yesterday, BTC fell due to the tweet,
Meanwhile, the market was closed:
‑ Nasdaq closed
‑ S&P closed
‑ ETFs closed
Only crypto open.
All the adjustment was discounted there.
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