As I said yesterday — I felt extremely bearish yesterday. However, it is too early to make bold statements for now — $62,000 support still holds the price. This is the KEY support.

On the one hand, there were plenty of reasons for the dump:

  • Binance hack

  • Democrats winning midterms (usually bearish)

  • Stocks collapsing

  • Jensen Huang's resignation

  • Binance selling crypto to cover hack losses

  • CPI came in hotter than expected

    Yes, all these events took place in the past 15 days.

During this time, $TOTAL lost $600B (-22%). Given all these events, we can say that the collapse of the crypto market was not really extraordinary.

🧐 But where were the buyers? ETFs were selling ($2B+ left $BTC ETF this month), exchanges (Binance, Bybit, OKX) were selling, whales mostly selling or holding what was bought at $60K during summer time. More to say, stablecoin liquidity has been shrinking as well: over the past 30 days, almost $15B in stablecoins has LEFT the crypto space. They withdrew money from crypto to save them/buy stocks/Anthropic IPO.

As a result, the only support that managed to stop the dump and provide a considerable bounce was the last one: $62,000. Is it good? Not at all. Breaking this support down = crossing the Rubicon for bulls. My good friend and colleague gave me a great example of the current case: when a thief steals your phone from your pocket, you try to chase him for 5-10 sec without realising you can’t catch up with him. Then you stop.

🏃‍♂️‍➡️ The same thing is happening with $62,000 support. It is only a matter of time before bulls realise that defending the $62,000 support is pointless. Not enough demand to hold the level. Once this support will be broken downwards I will go SHORT. Massive SHORT, down to new lows around $48,000 - $52,000. But not earlier than below $62k.

What stops me from opening this swing SHORT right here? The crypto capitalization — $TOTAL has just reached the 1W MA300 which was never broken downwards before. Luckily, this level alignes perfectly with the $62,000 support on Bitcoin.

TLDR: As long as $BTC stays below $74,000 resistance — I can't speak about being bullish on crypto, especially on Bitcoin (some alts can still perform well). A break below the $62,000 support will send crypto to new lows. #CryptoSelloffTriggersMultipleWhaleLiquidations #BitcoinActiveSupplyInProfitDropsBelow45% #USSpotXRPETFsSeeLargestWeeklyOutflowIn8Months #WhatWillDriveCryptoandStocks’NextRebound?