🧘♂️ALERT: What Next For Crypto?!
Essential Fundamental and Technical Updates
We’ve had volatility before in the crypto markets.
Some people panic and run away.
Others study patiently and reap the profits in the future.
The choice is yours. If you’re serious about financial freedom through crypto, read on.
⬇️ Falling Price, Rising Fear
The bearish sentiment continued its momentum which started Thursday into yesterday, with BTC dropping another almost $6,000 USD from Friday into Saturday to close out the week.
This marks the lowest level reached in the past six months for BTC’s price.
The sell-off of Bitcoin was more severely echoed by most altcoins and DeFi tokens in the cryptocurrency space.
Despite record levels of attention pouring in from previously uninterested orthodox sectors like government, commercial and institutional investors, Bitcoin’s price has sustained a downtrend since recapturing an all-time high set on November 21st.
Weekend volatility is reliably unreliable, but this weekend proved true to the trend. Bitcoin took another dive in price, but the use-case and fundamentals remain unchanged.
In times like these, it’s important to remember why we invest in the first place. BTC stands for more than speculation and the opportunity of life-changing wealth.
Our Market Meditations are longer format educational segments. Each letter features a Market Meditation which will deep dive and analyse a relevant crypto event, theme or tool.
⛈ The Storm After the Calm
We’ve just entered the bearish zone.
Likely to see further downside to $30k. Shorts become interesting but the market is extremely volatile so position management will be essential.
Highly bearish structure overall.
Only thing that would signal a reversal is getting back above $40k. We will be favouring shorts over longs until this level.
We urge caution in these market conditions. Avoid destructive behaviour such as aggressively and emotionally taking positions to recover losses.
Taken a big hit.
Heading towards $80 support.
$70 is not out of the question.
Potential bounce thereafter but it’s extremely hard to predict what will happen at the moment. This would be a very risky play.
Further downside to $1800 is not out of the question.
Next level after that would be $1400.
TIP: we mark and watch our levels to help inform our take profits levels if we are short and to help us understand where to accumulate if we are interested in a long.
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🦍 The wrong apes get rugged
With great success comes people looking to take advantage. Recently, the NFT project “Big Daddy Ape Club” turned out to be nothing more than a rug pull!
Big Daddy Ape Club was set to launch on January 11. They instead rug pulled all others involved. Creators stole 9,136 SOL or roughly $1.3 million!
This project had been verified by Civic, including being “verified” by them through its Verified by Civic Pass program. This verification included verifying a 3-D scan of the creator and comparing it with their photo ID.
Civic said that they are in “direct contact with US-based authorities” to track down the people involved in the scam.
How to avoid these? Take into account NFTs that piggyback off of another popular and established NFT using part of their name. This does not mean that they are all scams, but some will look to appear to be part of the same “family” of NFTs. To avoid other scams, avoid phishing scams and suspicious pop-ups.
We must remember to research the projects we are investing in. Sometimes, despite thorough research, there will be projects that have been vetted that nevertheless turn out to be scams. For this reason, it is important to also practice good money management.
On Mondays, our ‘Scan The Week’ section is designed to show our community what events and headlines we will be keeping an eye on.
Monday, 24 January
Exchange BitYard will list the GLMR/USDT pair Monday, January 24th.
Tuesday, 25 January
ACA is due to be listed on KuCoin, trading January 25.
🇺🇸 Federal Reserve Meeting
Federal Reserve meetings are due tomorrow and Wednesday. No major announcements are expected but investors will want to hear about inflation updates. This meeting will likely be the last before the hotly anticipated interest rate hike in March.
The first round of ISO rewards will be calculated. Qualification requires the delegation of ADA to qualifying ISO Scoopers before 21:45 UTC on Jan. 25th in order to earn SUNDAE for all five ISO rounds.
Wednesday, 26 January
The world’s largest online Web 3.0 conference kicks off today and continues into tomorrow. Participation includes a free NFT with every ticket. The conference is set to feature some of the biggest players in the Web 3.0 industry.
Thursday, 27 January
Elrond will be featured in a Town Hall focusing on Web 3.0 payments and how they stand to change conventional business models.
DeFiTalks featuring Benzinga and David Gokhshtein in addition to special guests from Axie Infinity to take place this Thursday.
Friday, 28 January
Polkadot’s Hungary meetup is set for January 28th. Sacha Lansky from Parity Tech will discuss the capabilities of Substrate.io regarding building decentralized governance systems on Substrate-based blockchains.
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🌎🧘♂️✍️ Stories in this newsletter were written by Kyle F., Misael Calleja, Nick T., Max P., Kimia K., Ellen B. and Koroush AK. Graphics were produced by Ellen B.
Not financial or tax advice. The content in this newsletter is for informational purposes only. Nothing in this email is intended to serve as financial advice. We are not financial advisors. Every investment and trading move involves risk. Do your own research when making a decision. See our important security disclaimers here.
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