✨DegenSpark✨
✨DegenSpark✨ 6 minutes reading from Bitcoin

The Great BTC Reversal – Panic, Aftermath!

The Great BTC Reversal✍️

After 11 months of nonstop dumping, heightening fears around war and inflation, the markets overall have reached a level never before seen in BTC's history.

41 on the Monthly RSI Why this is important and you need to get back into the market ASAP,🧵👇

BTC has only ever dropped below 46 on the monthly RSI 3 times. 😯

The first was in 2015, and marked the bottom of the bear market.

The second was January 2019, also marked the bottom of the bear.

Now its October 2022, and it once again will mark the bottom of the bear.

Next you have the 2018 ATH at 19k. 🙂

Historically, BTC never drops under it's prior ATH. It's impressive how well this level has held over the past months.

Panic, after panic, and this level still holds strong. 💪

The market is driven primarily by emotions.

Despite being in extreme fear most of this year, and experiencing crash after crash in what seems like escalating panic, BTC's price is diverging.

It's called a bullish divergence, and its sitting right in your face on the weekly.😏

You see, the significance here is that despite the crowd growing more scared by the day, the price barely put in a new low.

It indicates those who sell, the bears, have already mostly done so. The sellers are exhausted.

It is arguably the most important of these indicators.

When calling an important shift like this you need to have a lot of indicators in your favor.

Otherwise your just one of the thousands of bad predictions made every day.

Here is my next point, a very significant trend line. Two bounces here marked the end of the 2021 crash.

How about the macroeconomic view for BTC and Crypto?💵💴💶💷

The world has an inflation problem, and Bitcoin was literally created as a solution for this problem.

Countries all around the world are experiencing hyperinflation, this trend will continue.

What's their safehaven?

Bitcoin. 🪙😄

Hyperinflation destroys a countries economy. Stocks, real estate, and fiat all crash. 📉

Smart investors are left with two viable options. Bitcoin or Gold?

This chart compares to two. I'd also add that the storage cost for gold can be high.

It's a no brainer.🧠

We also need to consider the timing of the rate hikes and additional economic stimulus by Biden. (student loans) 💸

It takes about 1 yr for rate hikes to effect the economy. Still, being only 10 months since the first hike, inflation is peaking. Prices are coming down. ⏱️

...👇

It also takes about a year for money injected into the economy to have an effect on economic data. ⏳

These are the factors as we enter 2023: •Rate hikes taking effect, hurting the economy •Pandemic stim wearing off •New stim affecting the real economy but not yet the data 🫢

What then?

•A dovish fed pivot as inflation is tamed •Data shows we are in a recession •The economy won't last long with interest rates this high •Something big will break, and the fed saves the day, yet again

Rate cuts, a rallying market, recession already priced in. 🥳

Out of the woods? 🌲🌲

No. The bears are not all wrong. We will have a lasting inflation problem in the USA and around the world.

That's the easy part to call. The hard part is predicting the fluctuations in details as I have done today.😳

Pls like, rt, and follow for more! 😄

This post is based on this twitter thread.

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