Bitcoin (BTCUSD)

[ap17]

WHEN IN DOUBT, ZOOM OUT 📈
The recent Bitcoin “crash” had people a little worried…

But sometimes you need to zoom out a little and look how far we’ve come.

That’s the latest message out from Anthony Pompliano.

Pomp
In his latest interview, Anthony Pompliano put Bitcoin’s recent price action into context.

First things first, Bitcoin is up 46% year-to-date.

And up over 100% in the last year.

Previous bull markets have also seen 4 - 6 drawdowns of 30% or more.

And right now we’re only down ~20% from the all time high.

The bars coming down from the top of the chart below indicate how “deep” cycle corrections have been.

The black area refers to the current Bitcoin cycle.

And as you can see, the corrections we’ve seen so far are nothing compared to prior cycles. (last cycle saw corrections of over -50%)

onchain
Things don’t seem that bad when you put it like that…

“What occurs is that when an asset goes up a lot, people start taking profits. So what we’ve seen is this explosive rally to start the year, and people naturally take some of that profit.”


Anthony Pompliano
Pompliano then refers to the popular adage “Sell in May and go away”.

Typically stocks trade sideways during the summer months and begin picking up again around Halloween.

That’s exactly what is happening to crypto right now.

Pompliano explains:

“People are seeing these really explosive moves at the beginning of the year and then also Q4 tends to be a big quarter for crypto as well. Q2 into Q3 tends to go sideways and thats what we’re seeing now”


Anthony Pompliano
Closing out the interview, Pomp raises the question, “if you have cash, where do you put it?”

His answer?

Obviously - Bitcoin.

“If you still have cash, where else are you going to put it? You could put it into the stock market or you can put it in Bitcoin. But again if you look over a long period of time, what is beating inflation? Naturally Bitcoin ends up being one of the only solutions.”


Anthony Pompliano
During times like these it’s always best to zoom out.

Bitcoin is still hovering around ~$61,000…

It’s far from over. 😎