In last weeks update it was mentioned
While crypto hasn't broken down yet, there are cracks appearing in the TradFI space as mentioned in the weekly update: Macro Looking Ominous There's a high probability there could be a spillover to crypto as well.
It played and out and the reaction was quite strong.
In 2023 the price action pattern has been
A massive up week followed many weeks of sideways chop, followed by a big capitulation candle followed by a massive up week.
We could possibly have the same play out soon too but that would be making a subjective call.
As far as the quantitative aspects are concerned, crypto is looking really weak.
Model has exited ALL positions and is sitting on CASH.
Considering the selloff has been quite strong, we could likely have a relief bounce in the coming week.
While from a trade perspective, there isn't much till we get a breakout. but from an investment perspective, there's a good opportunity to load off on medium to long-term holdings.
I believe we are on the cusp of another bull run and the coming months are probably the best time to allocate.
I will soon (in a week or so) be publishing a post outlining the full thesis along with price projections of high-conviction cryptos and crypto stocks.
One more thing! Soon there will be an announcement on the lower time frame model that I have been working on for a while. Watch this space.
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