The news about banks shutting down has been all over my feed all morning, and a bunch of people have been asking me whether they should pile into $BTC .
Let me make one thing clear: this has absolutely no direct connection to the price of crypto.
What’s going on? Over the past year, 670 banks in China have been absorbed or merged into larger banks. Most were small rural banks. Their bad-loan ratio climbed to 2.8% in the first half of the year, compared with an industry average of just 1.5%. In July, authorities in Wuhan even took over a bank with around 100 billion yuan in assets—the first such case since the Baoshang Bank incident in 2019. Fitch says the risk of contagion is limited.
Put simply: banks are shrinking, and money is looking for somewhere to hide.
And then? Then people start yelling, “The money’s going into Bitcoin.” Let me ask you: 670 banks have been closing for two years, and the money only decided today to buy crypto?
Bitcoin surged to 86,950 this time, then got pushed back down. That’s the third time, folks. There’s a dense cluster of bagholders above, while buyers are slowly stepping in on-chain below. It’s all called “safe-haven” buying, but gold is as steady as a rock, while over here a one-point-something-percent pullback in a day is enough to shake people out.
To see where the money is really flowing, watch the daily net inflows into ETFs. Don’t listen to people shouting “massive bull market” in their memes.
If someone’s making trade calls to hundreds of thousands or millions of people, tell them to post a screenshot of their holdings before you take them seriously. Anyone can talk a big game.
If you’re holding, hold on. If you haven’t bought in, don’t chase it every day at this level. You’re chasing a pullback, not a ticket into a bull market. $BTC
Let me make one thing clear: this has absolutely no direct connection to the price of crypto.
What’s going on? Over the past year, 670 banks in China have been absorbed or merged into larger banks. Most were small rural banks. Their bad-loan ratio climbed to 2.8% in the first half of the year, compared with an industry average of just 1.5%. In July, authorities in Wuhan even took over a bank with around 100 billion yuan in assets—the first such case since the Baoshang Bank incident in 2019. Fitch says the risk of contagion is limited.
Put simply: banks are shrinking, and money is looking for somewhere to hide.
And then? Then people start yelling, “The money’s going into Bitcoin.” Let me ask you: 670 banks have been closing for two years, and the money only decided today to buy crypto?
Bitcoin surged to 86,950 this time, then got pushed back down. That’s the third time, folks. There’s a dense cluster of bagholders above, while buyers are slowly stepping in on-chain below. It’s all called “safe-haven” buying, but gold is as steady as a rock, while over here a one-point-something-percent pullback in a day is enough to shake people out.
To see where the money is really flowing, watch the daily net inflows into ETFs. Don’t listen to people shouting “massive bull market” in their memes.
If someone’s making trade calls to hundreds of thousands or millions of people, tell them to post a screenshot of their holdings before you take them seriously. Anyone can talk a big game.
If you’re holding, hold on. If you haven’t bought in, don’t chase it every day at this level. You’re chasing a pullback, not a ticket into a bull market. $BTC
