The last two months have seen an unusual phenomenon - a complete loss of correlation between $BTC and US stock indices. The SP500 index is strictly following our scenario and we thought that the same would happen with Bitcoin.
In past years, BTC clearly followed the Sp500 and Nasdaq, but at some point this connection disappeared and BTC began to grow. This is clearly visible on the chart, which shows the SP500 index and the BTC price chart (orange line).
It’s hard to say whether this is an anomaly or a new paradigm, we’ll see...
Although we have always believed in the long-term future of BTC, past history shows that BTC was a carbon copy of the main index of the planet.
Now many assets on the planet have lost their correlation. Apparently, the restructuring of the world order is in full swing.
💰 Why Bitcoin and cryptocurrencies, and not other assets?
1️⃣ BTC is doomed to strong growth in the long term
Everyone needs to understand this.
Lately, many countries have been competing to accumulate BTC. And states such as El Salvador have even made this asset their official currency.
Other poor countries are already seeing the positive effect and will learn from the experience.
And we personally saw with our own eyes how the cryptosphere is very well developed in such countries.
For example, in the Philippines there are entire companies that openly provide their services within the BTC Lightning Network.
Also, many sellers provide the opportunity to pay for goods or services with cryptocurrency.
In Thailand, you can cash out your cryptocurrency at an ATM almost anywhere in the country.
And in Georgia there are terminals everywhere where you can buy cryptocurrency, not to mention numerous official exchangers.
And there are a lot of such examples on the planet and we know this from our own experience.
Considering that in all countries all problems (from Covid to war) are solved through the “printing press of new money”, BTC cannot be printed further.
Moreover, each country's "printing press" is the new liquidity for BTC.
This is its main value and advantage over fiat money.
2️⃣ Any strong drawdowns in BTC will be quickly redeemed
In theory, we may yet see a “black swan” event that could bring down markets.
But in 2022 BTC has already fallen by -76%, therefore, even when buying BTC at levels above $30,000, you are not buying at a historical high, but somewhere near the bottom.
Of course, shopping at local high stores is also a dubious idea. Therefore, now we recommend paying attention to violas.
Many of them have already fallen by -90%! Of course, not everything will grow, but there are plenty of interesting coins on the market.
🤷♂️ For example, we publicly posted trading ideas that already bring a good plus:
1. Ethereum
2. Yearn.Finance
3. PAXG(Gold)
In general, the attentive reader knows what to do. And we have no doubt that everyone in their right mind will be able to make money in this market.
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