Is This The Beginnings of a Crypto Bull Market?
Are cryptocurrencies going to rally further? After the collapse of a few cryptocurrencies and crypto exchanges it can be difficult to have much faith in the crypto industry at the moment.
The major cryptocurrencies are showing signs of strong bullishness. Liquidity has returned to most crypto names during the current rally. The pricing of major coins are at a major relative discount. The Bitcoin halving cycle is about to transpire soon. All of these factors combined show that things might be looking up for the crypto world.
I have seen the crypto industry struggle in the past. Similar to the recent crash in the crypto market. But the crypto market have returned even stronger each time. Will this time be the same?
Most major cryptocurrencies and altcoins are experiencing a strong short-term rally. Bitcoin has gained over 25% from its previous lows during this current rally. Ethereum has gained over 27%. Most of the altcoins are rallying as well. Coins like Cardano and Ethereum Classic have gained over 44% and 48% respectively. Usually when you see a massive short-term rally like this in the majority of the crypto market, it can signify the beginning of a crypto bull market.
The Bitcoin halving cycle is about to occur. The only real reason BTC's price moves is because investors are buying bitcoin. The only way Bitcoins price can move up is if money is being added to the system. It is just simple supply and demand with the major cryptocurrency. This is different from equities where their price is determined by the number that buyers and sellers are willing to pay. This aspect, coupled with market makers pairing orders which determines the direction of share pricing, make the pricing mechanics of Bitcoin much different than equities.
Some Bitcoin enthusiasts argue that the Bitcoin halving cycle plays a big role in the price of Bitcoin over time. "After every 210,000 blocks mined, or roughly every four years, the block reward given to Bitcoin miners for processing transactions is cut in half. This event is referred to as halving because it cuts in half the rate at which new bitcoins are released into circulation. This is Bitcoin's way of enforcing synthetic price inflation until all bitcoins are released." (investopedia.com)
All you really need to know about the halving cycle is that it essentially limits the supply of Bitcoin. If you know anything about supply and demand then you know that when there is a limited supply, if all other factors remain the same, then Bitcoins price is likely to go up. Especially if the demand increases in the future. Here is an article that will explain the Bitcoin halving cycle in detail.
Only whales have been holding BTC the past several months. Before the current rally, Bitcoin and most all other cryptocurrencies were showing signs of extreme illiquidity. The charts on most coins were showing barcoding price action. You can see an example of this below. This is a sign that, relatively, there are not a lot of buyers and sellers trading. This causes barcoding.
The fact that Bitcoin has been barcoding and the price had not fallen shows you that only the whales and long-term holders of Bitcoin were still in the game before the current rally. The massive capital they had in the crypto held its price near $17,000. As long as the whales didn't sell then this was the temporary or theoretical bottom in Bitcoin at the time.
Since the current rally started the barcoding has ended and the liquidity has returned to most crypto's. This is a very good sign for crypto bullishness.
Cryptocurrencies are all priced at a major discount. If you believe in crypto then you are probably drooling at the fact that all of the cryptocurrencies are at extremely discounted prices relatively compared to their previous all-time highs. If you lived through any other crypto market crashes then you probably believe that cryptocurrencies will return to their previous sky high levels just like they have in the past.
Will cryptocurrencies be around forever or is this like tulip mania? Personally I could not give an exact answer as to if cryptocurrencies will be around forever. I believe that Bitcoin and Ethereum are going to be around for a very long time. They are traded on futures markets and institutions all across the world are heavily invested in these major cryptocurrencies as well as the entire crypto industry. I don't think that all of these major players with all of their smart money want this to go away any time soon.
Where can I buy cryptocurrencies? There are several platforms and exchanges where you can trade cryptos. Currently you cannot buy and sell cryptocurrencies on Moomoo. Futu intends to add crypto trading to Moomoo in the future. If you want some exposure to cryptocurrencies but you can't find a platform to trade the currencies in your area, then there are a few options. There are several companies and ETFs you could trade in the equity markets if you want to join the crypto rally.
Here are a few of the larger bitcoin mining companies that are rallying along with the crypto world. $MicroStrategy (MSTR.US)$ $Riot Platforms (RIOT.US)$ $Bit Digital (BTBT.US)$ $Bitfarms Ltd (BITF.CA)$ $Hut 8 Corp (HUT.CA)$ $MARA Holdings (MARA.US)$
You might also catch some gains with some of the companies that facilitate crypto trading through their trading platforms. These companies get some of their revenue from crypto volatility as more traders are buying and selling during these times. They make money from the fees earned from retail trading. $Robinhood (HOOD.US)$ $PayPal (PYPL.US)$ $Block (SQ.US)$ $Coinbase (COIN.US)$
In the picture below there are a few ETFs to follow if you are a crypto trader. There are gains to be made on these ticker symbols as well. There are a couple leveraged ETFs at the top of the list which allow you to trade Bitcoin with long or short leverage.
So how are your feelings about the crypto industry? Do you think there will be a comeback?
$Powershares Exchange Traded Fd Tst Db Us Dollar Index Bullish Fund Etf (UUP.US)$ $SPDR Gold ETF (GLD.US)$ $iShares Silver Trust (SLV.US)$ $Ishares Iboxx $ High Yield Corporate Bond Etf (HYG.US)$ $Ishares Iboxx $ Investment Grade Corporate Bond Etf (LQD.US)$ $iShares 20+ Year Treasury Bond ETF (TLT.US)$ $Crude Oil Futures(DEC4) (CLmain.US)$ $VanEck Gold Miners Equity ETF (GDX.US)$ $VanEck Junior Gold Miners ETF (GDXJ.US)$
$TENCENT (00700.HK)$ $SSE Composite Index (000001.SH)$ $CSI 300 Index (000300.SH)$ $CSI 300 Index (000300.SH)$ $FTSE Singapore Straits Time Index (.STI.SG)$ $NIO-SW (09866.HK)$ $NIO Inc. USD OV (NIO.SG)$ $NIO Inc (NIO.US)$ $BILIBILI-W (09626.HK)$ $Bilibili (BILI.US)$ $Baidu (BIDU.US)$ $BIDU-SW (09888.HK)$ $XPeng (XPEV.US)$ $Li Auto (LI.US)$ $BYD COMPANY (01211.HK)$ $BYD Company Limited (002594.SZ)$ $S&P/ASX 200 (.XJO.AU)$ $FTSE Singapore Straits Time Index (.STI.SG)$
$Chevron (CVX.US)$ $Phillips 66 (PSX.US)$ $Valero Energy (VLO.US)$ $Devon Energy (DVN.US)$ $Occidental Petroleum (OXY.US)$ $W&T Offshore (WTI.US)$ $United States Oil Fund LP (USO.US)$ $United Sts Brent Oil Fd Lp Unit (BNO.US)$ $Imperial Petroleum (IMPP.US)$ $Houston American Energy (HUSA.US)$ $Indonesia Energy (INDO.US)$ $BP PLC (BP.US)$ $Exxon Mobil (XOM.US)$
$Bitcoin (BTC.CC)$ $Ethereum (ETH.CC)$ $ETC (ETC.CC)$ $Yearn.finance (YFI.CC)$ $Terra (LUNA.CC)$ $Litecoin (LTC.CC)$ $Stellar (XLM.CC)$ $Cardano (ADA.CC)$ $Bitcoin SV (BSV.CC)$ $Bitcoin Cash (BCH.CC)$ $Compound (COMP.CC)$ $Polygon (MATIC.CC)$ $Dogecoin (DOGE.CC)$ $Metaverse ETP (ETP.CC)$ $Verge (XVG.CC)$ $Orchid (OXT.CC)$ $OMG Network (OMG.CC)$ $0x (ZRX.CC)$ $Qtum (QTUM.CC)$ $NEO (NEO.CC)$ $Dash (DASH.CC)$ $Theta Token (THETA.CC)$ $Tezos (XTZ.CC)$ $ZEC (ZEC.CC)$ $Maker (MKR.CC)$ $Decentraland (MANA.CC)$ $Cosmos (ATOM.CC)$ $ChainLink (LINK.CC)$ $Monero (XMR.CC)$ $TRON (TRX.CC)$ $Polkadot (DOT.CC)$ $XRP (XRP.CC)$ $Binance Coin (BNB.CC)$ $Bitcoin Gold (BTG.CC)$ $Uniswap (UNI.CC)$
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mita23 : apple broke
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