Hi All, Crypto Sludge here.
If you followed my previous post The Correction - The bigger picture I raised an hypothesis that the correction in BTC we are seeing right now, is part of a bigger picture :
That the announcement of the US Federal Reserve that it will stop the "Quantitative Easing" aka : printing money like it's toilet paper is causing the markets to price in the simple fact - that the "cheap money" they all enjoyed for the past 10 years is over, and the bubbles in all sectors/markets that got blown from this cheap money over the last 10 years are about to burst"
As a side note, BTC is probably the least significant bubble of them all.
Someone has asked me for predictions, and i said that it's still to early and we now need to monitor all markets, not just BTC as it seems it's all connected now.
So traditional markets opened this morning, and this is how it looks :
DAX : Germany
FTSE: UK
VIX - you know what this is allready :)
Scary ha?
And guess what, the only thing that was strange to me, was Gold dropping as well on the day i wrote the 1st post as it is almost always the safe haven in situations when the traditional markets are in a down trend , but guess what?
GOLD
Starting to go up.
USD Index
Continues the uptrend.
The US markets are soon to open, i will be watching them very closely, but i have a strong feeling they are going to behave similarly.
I think it's still too soon for predictions, but my gut is telling me we haven't seen the floor yet in any asset class, UNLESS the US FED suddenly announces that "you know what? we might not stop printing after all ", but with the first signs of inflation finally hitting the US market i don't they have a choice.
Stay Strong and Stay tunned
TRADE ON!
Crypto Sludge
