Hi, girls and boys, welcome to Uncle Cat Talking about Coins!
Today we are going to talk about a more open topic, and everyone can discuss it with an open mind.
First my question:
If BTC reaches $10 next year, will the arrival of a new bull market bring an unprecedented prosperity to the crypto world or a greater means of harvesting?
Let me first state my opinion:
Initially, I thought that the new bull market would bring a bigger market and more activity to BTC, and we would usher in a prosperous era. However, when chatting with friends about the history of Asian finance, I thought about the terrifying question: maybe this time the grand bull market will be an even more jaw-dropping harvest!
Let me talk about a few points that I personally think constitute the conclusions: (the conclusions are not in order)
1. Joint layout of many top institutions and the Federal Reserve.
I got accurate information (confirmed through personal relationships, of course you can take it as bragging). Wall Street has been hoarding a large amount of cryptocurrencies from the end of last year to the beginning of the year, including but not limited to BTC ETH, etc. The entry of top global asset management companies such as BlackRock and Fidelity into cryptocurrencies has ignited market enthusiasm and triggered a wave of hoarding around the world. And the well-known institution, Microtrading, currently holds more than 150,000 BTC, and the average price is 29,600. These actions are stimulating the bull market in the crypto market in disguise, which is a good thing.
2. Global regulatory situation/domestic viewpoints of Asia’s largest trading area, making Asia the world’s largest trading area!
The regulatory storm that started with the crypto winter has continued until this year, when implementation regulations have gradually appeared. In fact, crypto regulation is imperative, which I mentioned in my previous article. The European legislation has forced most of the exchanges in the European region, and traders, to move to Asia. Then the US SEC began to sue Binance and other exchanges, and many old-fashioned copycat leading currencies, which also suppressed the US exchanges, and institutions and traders moved to the Asian trading area. Driven by these policies, it is imperative for Asia to become the world's largest crypto trading area. And the most important thing is that the overall economies of Japan and South Korea have already placed a heavy bet on the crypto market.
3. Under the high pressure of US policies, Citadel, Fidelity, and Schwab jointly supported the new exchange and implemented a new non-custodial model.
Give a slap, then give a sweet date. This is the strategy of the United States this time. First, it suppressed exchanges such as Binance and CB, and then suppressed many ecological chains. It is undoubtedly a declaration of its sovereignty and a way to make profits. The debt ceiling crisis in the United States has caused the US government to work harder to make money. The emerging and thriving crypto market is the best target. Controlling the financial power of Binance in the United States, suppressing CB and forcing it to take sides, and then assisting institutions to apply for ETFs and open exchanges, a new regulatory model has been opened up - controlling financial power.
4. SEC rejected BlackRock and Fidelity’s ETF application, what a hat trick!
The SEC rejected the ETF applications of BlackRock and Fidelity, causing panic in the market. Several large institutions successfully took a lot of chips. The most important thing is not to intimidate the market, but to change the rules of the game. After the application was rejected, a new application was submitted immediately, and the most important thing in this application was that Cionbesa became the investor and custodian. The emergence of CB shows that CB has recognized supervision and has chosen to stand on the side and admit defeat in this struggle.
5. Many giants have entered the crypto market. Where are they now?
In recent articles, many friends in the comment area questioned my point of view. They thought it was just a simple leek harvest, and it was over with low buy and high sell. But this time it really wasn't. Counting the giants that have ended up, Wall Street, the Federal Reserve, BlackRock, Fidelity, Charles Schwab, etc., this is known. The capital families behind them have not yet been determined. Each capital mention is a trillion-dollar asset, and hundreds of billions of assets can be mobilized at any time. Looking at the crypto market, the current total market value of the crypto market is 1.2 trillion, and the market value of the entire crypto market is not even as good as the stock market value of Apple. Do you think this market is big? Definitely not. Why do these capital crocodiles target such a small market? It's like a group of adults suddenly joined the children's game. Don't you think it's strange? Is it just to harvest the money that children spend on candy?
6. The giants come in to expand the market, take control of the overall situation, and make arrangements in the budding stage!
Since the crypto market is not large, and each of these giants is a large-scale player, why did they all enter the crypto market one after another? If they simply wanted to buy at the bottom and sell high, and only looked at BTC, the profit from buying at the bottom and selling high would not be enough for them.
In my opinion, the giants entered the market because they saw the trend of the crypto market and its future. It may be in its infancy now, but in the future, it may exceed the largest investment body in the global stock market. Because the crypto market is not only about finance, but also about more areas that can be expanded. So they are here to gain longer-term profits - to control the market and turn from big players into bankers. The initial layout of the giants is to activate the market and expand the market. 30,000 BTC may be a concept to everyone, but how do you feel about 60,000 BTC? What about 100,000 BTC?
Don't underestimate the market's FOMO sentiment. At the current position of BTC, they are starting to absorb funds. This action is not only for BTC, but also for ETH and many copycats. With enough chips, they can rely on their financial resources to support more projects, control stablecoins, fully activate and mobilize traders' emotions, and then expand the market. People spread the word, emotions mobilize emotions, and this round of bull market may be unprecedented and unparalleled. And the giants will smoothly turn from big players to dealers, controlling this big market. If they can control the market, the profit is self-evident, and it is not simply measured by numbers.
After reading this, do you think that the entry of the main force is a good thing? Even if they become the banker, we will also make a lot of profits in the process? In fact, I thought so at first, but a recollection with my friends suddenly made me think about it. I considered everything, but I forgot one core thing - economic warfare!
Currently, due to the regulatory policies of Europe and the United States, Asia has become the market with the largest trading volume and the most traders. The vast majority of crypto investors and institutions have been pushed to Asia. Among the many participating giants, the United States and the capital behind it account for the vast majority. If they fully expand the market and mobilize the emotions and participation of more traders, Asia will have the largest number of participants and the largest transaction amount. What would it be like if they suddenly controlled the market through their own chips, created panic, and harvested crazily when the market expanded to a peak state and everyone forgot about the danger? If a large number of investor funds in an economy are harvested, they will frantically withdraw funds from their fixed investments and relatively safe investments to maintain their stability. The withdrawal of a large amount of funds is likely to trigger a run on the bank, causing the panic to intensify. The death spiral, I believe everyone has seen its dangers.
Don't think that what I said are all conspiracy theories. I admit that many of them are speculations. But please don't forget the financial defense war in 1998, when Soros swept across Asia. If we couldn't stop and win at that time, then Thailand would be us now. Why do I mention us? I have to say it in a subtle way here. In fact, I have read many foreign articles, including Bloomberg, many Wall Street institutions, including BlackRock and Fidelity. They mentioned that they think the investment status of Asian rabbits is a bit weak now and needs to be stimulated and mobilized. In fact, it is subconsciously showing its fangs. Mobilizing our investment sentiment and investors, is it giving us benefits? Definitely not.
It seems that the drunkard's real intention is not to drink!
Some topics are just a brief mention, so that's all. If you can understand, then you can understand. If you don't understand, I won't explain it anymore. After all, many of them are just my speculations. But I sincerely hope that this speculation is not true and will not be true. However, if there is such a sign, we need to be prepared in advance!
Last sentence, investment is risky, you need to be cautious when entering the market, follow Uncle Cat and don’t get lost!