💥DUMP YOUR CRYPTO 2.0💥
Saylor's Cryptonite. Nailed the top in late '21, will do the same now.
Bitcoin’s Superman is Michael Saylor. Superman’s greatest weakness was Kryptonite, Saylor’s greatest weakness is Cryptonite.
So what’s Saylor’s Cryptonite? We will find out today, read on.
Reading Time: 13 Minutes.
On October 27th 2021, I published Dump Your Crypto to share my perspective on the crypto market at the time. In the piece I analyzed crypto cycles dating back to 2017 and explained why I believed there was no upside potential from those price levels at the time.
Well, that was the top in Crypto with BTC dropping 78% peak to trough by late 2022… Nailed it, as they say.
We analyzed Crypto Cycles #1 and #2 in the first piece — in this one we will start at #3.
Have a read to get yourself up to speed 👇
The Drivers are Different
The really interesting thing is that the drivers (i.e. crypto fundamentals) to Cycle #3 barely have anything to do with Cycle #2 — in this case they are even more abstract, making things more complicated and possibly even more dangerous.
—> Let’s break them down intellectually, talk about their potential, credibility and the possible scenarios for how things might unfold.
In the first piece, Cycle #2 was at the peak of the boom stage — let’s review the bust stage now before moving to Cycle #3 (the current one).
The bust stage of Cycle #2 saw BTC plunge by nearly 80%.
BTC touched $15,000 and hovered around those levels from June ‘22 till the end of the year.
At the time, the market was worried sick that BTC would crash (further!) due to Microstrategy’s leveraged BTC stash (sound familiar?)!?!?!
All the big ideas about utility and fundamentals had gone out the window just because BTC was dropping… Put this to the side and we will get back to it later.
This is what I had to say when BTC was at less than $18,000 — $2k shy of the actual bottom in November of the same year 👇
It was a “buy the rumour, sell the fact” dynamic but with a twist. Basically, the market was saying BTC will drop — I was saying it had already.
And that’s where Cycle #3 started 👇