Latest / The Paul Barron Crypto Show / EXTREME Sell Pressure!🔥Crypto Market Update
Transcript
- 0:00Speaker 1: There's a cell pressure and it's coming to a boiling
- 0:02Speaker 1: point for the crypto markets. So they will break it
- 0:04Speaker 1: down for you. It's going to have a huge impact
- 0:06Speaker 1: on how things could play out this year. Let's just
- 0:09Speaker 1: jump right into it. I do want to thank our sponsor,
- 0:11Speaker 1: and that is BTCC. This is where you can actually
- 0:13Speaker 1: start to move into trades and play into this volatility.
- 0:18Speaker 1: And one of the ways you can do it, of course,
- 0:19Speaker 1: is signing up with our link down below. It's going
- 0:21Speaker 1: to give you a ten percent bonus deposit first time,
- 0:25Speaker 1: so make sure and do that. There's a whole other
- 0:27Speaker 1: slew of benefits, including discounts on trade fees, additional perks
- 0:32Speaker 1: and bonuses, so just use our link. It's going to
- 0:34Speaker 1: get you set up. You can start longing shorting on
- 0:36Speaker 1: this market, especially when people are in a position right
- 0:39Speaker 1: now where they're looking for other assets to start to
- 0:43Speaker 1: make money on. So check it out using BTCC down below.
- 0:46Speaker 1: All right, let's go over to a couple of points
- 0:48Speaker 1: I want to hit on. Tippillows kind of hits it
- 0:51Speaker 1: right here. Something's brwing, big move is up on us.
- 0:55Speaker 1: I'm in an agreement with this. There's something up in
- 0:59Speaker 1: the market the way it's respawning, what I'm seeing in
- 1:01Speaker 1: sentiment data, what I'm seeing by major institutions. It is
- 1:05Speaker 1: a very unusual time, and I think everybody has been
- 1:08Speaker 1: pointing this particular issue because you look at the outflows
- 1:12Speaker 1: right now, this is the lowest or the biggest, i
- 1:14Speaker 1: should say, in outflows since twenty twenty two. Money is
- 1:18Speaker 1: leaving the market at one of the fastest rates since
- 1:22Speaker 1: the last bear market. You can kind of see the
- 1:23Speaker 1: dip that we are starting to see right here. The
- 1:25Speaker 1: question is is where is it going? You look at
- 1:28Speaker 1: the AI trade, people are questioning, You've got situations brewing
- 1:32Speaker 1: within the S and P obviously risk assets continuing to bleed.
- 1:36Speaker 1: The real question I think is going forward on how
- 1:39Speaker 1: this plays out. Well, you know that you're in a
- 1:42Speaker 1: bear market when Sailor actually says it, take a look.
- 1:47Speaker 2: We are in a crypto winner. This is the fifth
- 1:50Speaker 2: major drawdown of bitcoin into five years since I've been
- 1:54Speaker 2: in the marketplace. This is a much milder winter than
- 1:57Speaker 2: previous winters. It'll be shorter than previous winters. It's going
- 2:02Speaker 2: to be followed by a spring and then a glorious summer.
- 2:05Speaker 2: So don't fear. Why do you feel so confidencing that
- 2:10Speaker 2: the banking segment sector is supporting bitcoin. We've got the
- 2:14Speaker 2: support of the administration, We've got a bitcoin president, we've
- 2:18Speaker 2: got twelve cabinet members that are pro digital assets and
- 2:21Speaker 2: pro innovation.
- 2:23Speaker 3: Let's get to strategy. Because your company's average acquisition price
- 2:27Speaker 3: for all those bitcoin is around what seventy six thousand?
- 2:31Speaker 3: Can you just clarify that and make sure that I'm
- 2:33Speaker 3: right on that?
- 2:35Speaker 2: Yeah? In that range?
- 2:36Speaker 4: Okay, do you have.
- 2:37Speaker 3: A framework Michael for reclaiming that.
- 2:42Speaker 1: I guess that.
- 2:42Speaker 3: Premium absent any rally in bitcoin back to one hundred
- 2:45Speaker 3: and twenty six thousand.
- 2:47Speaker 2: Well, that's why we have two and a half years
- 2:49Speaker 2: worth of cash on the balance sheet, So if the
- 2:52Speaker 2: markets seized up for the next two and a half years,
- 2:54Speaker 2: we just pay cash. That's why we have the fifty
- 2:57Speaker 2: five years worth of over collateralization and the bitcoin. So
- 3:02Speaker 2: you're right, if you needed to be perfect in the
- 3:04Speaker 2: next week or the next month, there might be risk.
- 3:07Speaker 2: We just need to be right over the next decade
- 3:10Speaker 2: for the equity to pay off, and we need to
- 3:12Speaker 2: be right, you know sometime in the next forty or
- 3:15Speaker 2: fifty years.
- 3:17Speaker 1: All right, So there you have, of course, Michael Saylor
- 3:20Speaker 1: kind of securing up that yes, we have seen these
- 3:23Speaker 1: times before. The question is is how much of a
- 3:25Speaker 1: drawdown will we see, especially on the major asset with bitcoin.
- 3:29Speaker 1: We have a Bloomberg strategist coming in, Mike mcgloan who's
- 3:32Speaker 1: actually pointing out to forty oh, excuse me, to twenty
- 3:35Speaker 1: eight k on bitcoin. You heard me right, twenty eight
- 3:37Speaker 1: k on bitcoin. One of his points I think is interesting.
- 3:41Speaker 1: The mode the price level that has occurred most frequently
- 3:45Speaker 1: sits closer to the twenty eight K range. And this
- 3:47Speaker 1: isn't based on practical terms that basically suggest the market
- 3:51Speaker 1: has spent more time trading in this range than any
- 3:55Speaker 1: other area. So most people who have been buying and
- 3:58Speaker 1: trading within the range for bitcoin, it's been somewhere around
- 4:01Speaker 1: that twenty eight to thirty thousand dollars. So do we
- 4:03Speaker 1: actually reach that that's the real question. That would be
- 4:05Speaker 1: a significant drawdown on the market. That I think would
- 4:09Speaker 1: probably go against what Sailor just said, is that this
- 4:12Speaker 1: might be lighter than once in the past. That would
- 4:15Speaker 1: actually be greater if we do see a twenty eight
- 4:17Speaker 1: k pitcoin. Now, let me get into this because one
- 4:20Speaker 1: of the things that is kind of I think confusing
- 4:23Speaker 1: the market is the fact that we've started to see
- 4:25Speaker 1: a drawdown on AI and all the plays that have
- 4:28Speaker 1: been pretty much indicative of running the S and P
- 4:32Speaker 1: over the last two years, but yet we have not
- 4:34Speaker 1: seen movement into risk assets. Look at this clip, so
- 4:38Speaker 1: I would.
- 4:38Speaker 4: Say we're a different market. We no longer have the
- 4:42Speaker 4: love affair with AI that we had last year. This
- 4:45Speaker 4: is a market David defined, I think and will continue
- 4:48Speaker 4: to be defined by three words volatility, dispersion. You're going
- 4:53Speaker 4: to see a lot more dispersion and fragmentation. And I
- 4:57Speaker 4: would build my position bottom up, not top down, and
- 5:01Speaker 4: I would certainly be picking up names that are were
- 5:05Speaker 4: impacted by this theory of the market for lemons, meaning
- 5:08Speaker 4: they overshoot on the way down because they end up
- 5:11Speaker 4: having a one technical correlation with names that are weaker.
- 5:15Speaker 4: So I think this is a massive opportunity for stock picks,
- 5:18Speaker 4: and it particularly in the AI world and in the
- 5:21Speaker 4: world impacted by AI. So for me, this is a
- 5:25Speaker 4: world in which people should be building their portfolio bottom
- 5:28Speaker 4: up and picking up some really good bargains. You know,
- 5:31Speaker 4: we no longer have the unifying theme. I grew up
- 5:33Speaker 4: in an easy world where there were two themes globalization,
- 5:37Speaker 4: the ever closer integration of countries and the Washington Consensus
- 5:42Speaker 4: certain ways you run your economy. We don't have those anymore,
- 5:46Speaker 4: so we will get a lot of volatility as we
- 5:48Speaker 4: go forward.
- 5:50Speaker 1: I wonder how much in terms of volatility, because you're
- 5:54Speaker 1: dealing with enterprise companies out there right now that may
- 5:57Speaker 1: not even have a realization of how the AI plays
- 6:01Speaker 1: are going to affect them. And what I'm getting at
- 6:03Speaker 1: is when you look at the things that are happening
- 6:04Speaker 1: around Claude Bot, the idea of where we might start
- 6:07Speaker 1: to see a new resurrection of companies that are building
- 6:11Speaker 1: against the enterprise. That's why you were seeing a lot
- 6:13Speaker 1: of those enterprise software companies down quite a bit in
- 6:16Speaker 1: the SMP. That of course puts more pressure on the
- 6:19Speaker 1: AI play. But again many people would say, well, why
- 6:21Speaker 1: aren't we seeing if we're seeing a rotation out of that,
- 6:23Speaker 1: why aren't we seeing that into risk assets. I think
- 6:25Speaker 1: Muhammad is right. I think the rotation is going into
- 6:29Speaker 1: whether it's the Rustle two thousand or other plays within
- 6:33Speaker 1: these categories that could be much more diversified, whether it's energy,
- 6:37Speaker 1: look at defense, you could see all sorts of companies
- 6:40Speaker 1: out there that are implementing AI that will benefit from that,
- 6:44Speaker 1: where maybe the actual AI companies are not so a
- 6:47Speaker 1: lot definitely having a factor on where this market is going,
- 6:52Speaker 1: and volatility is going to be one of them. Here's
- 6:54Speaker 1: another issue, because volatility is going to be let out
- 6:57Speaker 1: by the FED chair and of course your own power
- 7:00Speaker 1: is stepping down or will be ending his term, i
- 7:02Speaker 1: should say, and his term ends on the fifteenth of May. Now,
- 7:05Speaker 1: the way it works is normally the FED Committee takes
- 7:09Speaker 1: direction from the new FED starting in before the term
- 7:12Speaker 1: is over, and right now, this would be the March
- 7:15Speaker 1: tenth day. That's twenty nine to thirty days from right now.
- 7:19Speaker 1: So if you look at this, many people would say
- 7:21Speaker 1: this is still about thirty days out before a regime change,
- 7:25Speaker 1: because if we are getting dictator a dictation right now
- 7:28Speaker 1: from Kevin Walsh, granted he still has to go through
- 7:31Speaker 1: the confirmation phase, but the point being is if that
- 7:33Speaker 1: does start to move, and I think that's why the
- 7:35Speaker 1: White House has already started to kind of push to
- 7:37Speaker 1: get Congress moving on Kevin Walsh's confirmation as quickly as possible.
- 7:41Speaker 1: That could mean early potential signs that the market could
- 7:45Speaker 1: respond to Walsh and whether or not we see rate
- 7:49Speaker 1: cuts now, whether or not that matters in the market.
- 7:51Speaker 1: I think you've got to look at historical areas of
- 7:55Speaker 1: where the markets have come from, and if you look
- 7:57Speaker 1: at the psychology of a market cycle, this is a
- 8:00Speaker 1: good one right here. Many people are thinking we might
- 8:03Speaker 1: might be right in this area right here, which is
- 8:06Speaker 1: in the area of anger, and I think we might
- 8:09Speaker 1: be a little bit further into this trend. We aren't
- 8:12Speaker 1: at the depression phase yet because I think there's still
- 8:15Speaker 1: some people out there that are playing and this I'm
- 8:16Speaker 1: talking about all markets. I think the one that will
- 8:19Speaker 1: start to put the depression phase in is the complete
- 8:22Speaker 1: abandonment of any AI plays that we start to see
- 8:26Speaker 1: in the major markets. If we do see that starting
- 8:28Speaker 1: to retrace down, then I think you're in a position
- 8:31Speaker 1: where we could see movements into the market from there.
- 8:34Speaker 1: Other points I want to get on all coins. Sell
- 8:36Speaker 1: pressure just hit a five year extreme level. And this
- 8:40Speaker 1: is big because for the thirteen straight months, all coins
- 8:43Speaker 1: have seen continuous net selling right now on centralized exchanges
- 8:48Speaker 1: right there, so retail largely out. I agree with the
- 8:51Speaker 1: guys over at coin Bureau on this one. This is
- 8:54Speaker 1: a big deal. Look at that chart in terms of
- 8:56Speaker 1: the fall off that we've seen at all coins, so
- 8:58Speaker 1: no all coin season at all in this round, so
- 9:01Speaker 1: completely different cycle. And because of that, you've got even
- 9:05Speaker 1: Ran talking about this is this is completely different of
- 9:09Speaker 1: where it's looking. He's going completely off the reservation in
- 9:13Speaker 1: terms of how to play this. And this was the
- 9:15Speaker 1: reason why in twenty eighteen, the move that we're seeing
- 9:18Speaker 1: right now, which was the move from one to twenty
- 9:20Speaker 1: six to the two hundred week moving average, was in
- 9:23Speaker 1: four months. Look at the chart. In twenty eighteen, that
- 9:26Speaker 1: move took a took a year. In twenty twenty two,
- 9:28Speaker 1: it took thirty weeks. So we are seeing this in
- 9:31Speaker 1: a very limited time. So that along with the issue
- 9:35Speaker 1: that we're facing right now with people even we've got
- 9:38Speaker 1: a video that's just breaking this whole issue around quantum
- 9:41Speaker 1: risk for bitcoin. Bitcoin is failing the debasement test, that's
- 9:44Speaker 1: going against the issue around the store of value. Funds
- 9:47Speaker 1: are unwinding, AI is pulling capital. This is the whole
- 9:51Speaker 1: issue that we're getting into. And then you still have
- 9:53Speaker 1: the issue with clarity. So I'm in agreement with ran
- 9:57Speaker 1: in this in the sense that I think you have
- 10:00Speaker 1: to get much more diversified, much more aligned with some
- 10:04Speaker 1: of the volatility plays that are going into the market.
- 10:07Speaker 1: So that's exactly the way I'm playing it. It is
- 10:10Speaker 1: definitely one of the things I think that people need
- 10:12Speaker 1: to do. Other things you have to look at is
- 10:15Speaker 1: where the guys that are going with the money, and
- 10:18Speaker 1: that of course is a billionaire Peter Thiel. He of
- 10:20Speaker 1: course is pulling out of the eth Treasury firm. This
- 10:23Speaker 1: was eat Zella Selles his entire stake. This was a
- 10:26Speaker 1: big deal because it does affect DATS. I think dats
- 10:28Speaker 1: are another big factor going on right now. And when
- 10:32Speaker 1: you have that pressure along with this, which is a
- 10:34Speaker 1: potential war brewing right now. Axios reporting that there is
- 10:38Speaker 1: evidence that the US is now brewing and setting up
- 10:42Speaker 1: for a scenario that we could have a war active
- 10:45Speaker 1: in a very interesting time of when the Epstein files
- 10:49Speaker 1: are going to drop the next tronch which is later
- 10:51Speaker 1: this week, and all of these tankers moving and starting
- 10:56Speaker 1: to basically head into the Middle East. I don't know.
- 10:58Speaker 1: Timing is always a reason, and I think these things
- 11:02Speaker 1: play out. I'm not saying that this could happen, but
- 11:04Speaker 1: this will have an effect on the market. All right.
- 11:07Speaker 1: So let's pick up some other issues right here, and
- 11:09Speaker 1: that is around institutional investors rarely have been this bearish
- 11:14Speaker 1: on the US dollar. Look at this US dollar net
- 11:17Speaker 1: exposure by global fund manager down thirty five points. All right,
- 11:20Speaker 1: that's the lowest in the last fourteen years. And this
- 11:22Speaker 1: is below the twenty twenty five bottom when President Trump
- 11:26Speaker 1: surprised the markets with Liberation Day. So it's worse than that.
- 11:30Speaker 1: It's worse than you can look back all the way
- 11:33Speaker 1: in past the pandemic. The examples are striking in terms
- 11:37Speaker 1: of how the dollar is performing, and this I think
- 11:40Speaker 1: does have a big factor on the global markets. Other
- 11:43Speaker 1: things that would have a big factor on the global
- 11:45Speaker 1: markets is the ECB, because now you've got essentially a
- 11:49Speaker 1: move right now by Laguard setting up for a resignation. Now,
- 11:54Speaker 1: the reason that I think I was watching France twenty
- 11:56Speaker 1: four on this, and I think their analysis was a
- 11:58Speaker 1: spot on, is that Macron and Mertz are essentially concerned
- 12:03Speaker 1: that if they lose a potential left leaning position at
- 12:07Speaker 1: the ECB, this would make things much more difficult for
- 12:11Speaker 1: the EU and especially around the European plan around the
- 12:15Speaker 1: Digital EU and the Digital Euro, which has of course
- 12:19Speaker 1: been led by Kristin Legard. So interesting timing here. I
- 12:23Speaker 1: think she's coming out before they potentially lose control and
- 12:26Speaker 1: the right potentially could come into the ECB. That was
- 12:29Speaker 1: the factor going forward right there, the digital Euro to
- 12:32Speaker 1: be cheaper than credit cards. This of course is again
- 12:35Speaker 1: what she has been working on to try to get
- 12:37Speaker 1: this done. This is more pressure on the EU, I
- 12:41Speaker 1: think on a macro standpoint, and I think if we
- 12:44Speaker 1: start to see more conflict in the world, and especially
- 12:48Speaker 1: if we get into Iran, this starts to get things
- 12:50Speaker 1: very dicey into the EU, and of course this gets
- 12:53Speaker 1: things much more volatile overall in the markets. Other things
- 12:58Speaker 1: to look at when volatility, well, everybody kind of runs
- 13:01Speaker 1: for the metals, and this is what e Toro was
- 13:03Speaker 1: talking about. They are now in traditional assets and they're
- 13:07Speaker 1: moving into gold. Now twenty four to seven, you're going
- 13:10Speaker 1: to be able to get into tokenized gold over there.
- 13:12Speaker 1: So this is just more assets going in that direction.
- 13:14Speaker 1: We've seen tokenized gold climbing dramatically. I want to go
- 13:18Speaker 1: to a clip real quick because this explains a little
- 13:21Speaker 1: bit more about the metals market and how it plays
- 13:24Speaker 1: into crypto investors. Take a look.
- 13:26Speaker 3: Tell that those people jumping into the metals are the
- 13:30Speaker 3: same ones who are exiting some crypto.
- 13:33Speaker 5: I'm not sure whether they're exiting most of holders of
- 13:36Speaker 5: crypto in many cases are hoddlers. But we see they're
- 13:39Speaker 5: more engaged now in commodity. So if in the past
- 13:42Speaker 5: we've seen crypto people come to eToro then trade stocks,
- 13:46Speaker 5: suddenly now we're seeing crypto people come into etro then
- 13:49Speaker 5: trade commodity.
- 13:50Speaker 3: Okay, when you say trading gold, can you explain to
- 13:53Speaker 3: our viewers is it physical gold? Is it GLD?
- 13:56Speaker 5: No, It's very similar to a future, to a perpetual future.
- 14:00Speaker 5: So it's basically a leverage contract that basically doesn't expire,
- 14:05Speaker 5: unlike traditional futures.
- 14:06Speaker 3: Where e Toro plans to be in let's say a year,
- 14:10Speaker 3: a year or two. You want to be a super
- 14:12Speaker 3: apt most how many active users? How many registered users?
- 14:15Speaker 5: Registered users? Now about forty five millions. Now that audience
- 14:21Speaker 5: is a young audience joined just in their twenties, now
- 14:23Speaker 5: maturing going into their forties. We want to make sure
- 14:26Speaker 5: we cater to their entire financial needs.
- 14:28Speaker 3: You've got a real business here, eighteen point five billion
- 14:32Speaker 3: dollars a year over year, so.
- 14:34Speaker 5: On the path will fully to a trillion dollars.
- 14:36Speaker 1: Well, there you have e Toro moving on it. Of course,
- 14:39Speaker 1: one of the things that also starts to signify movement
- 14:42Speaker 1: within the metals market is what Tether's doing. They're offering
- 14:46Speaker 1: dividends and tokenized gold. They announced this that their shareholders
- 14:49Speaker 1: will have the option to receive dividends in either tokenized gold,
- 14:53Speaker 1: and they're expanding the use of tokenized gold as a
- 14:55Speaker 1: payout alternative, going further and further away from bitcoin. Interesting
- 15:01Speaker 1: times over there at Tether. You look at the gold
- 15:03Speaker 1: chart right here. This is up right now almost ten
- 15:07Speaker 1: percent just from this recent down around forty five hundred
- 15:10Speaker 1: back to around holding at the five thousand. As we're
- 15:13Speaker 1: talking today, it is trading at forty nine to ninety
- 15:16Speaker 1: one an ounce, so check that out. Last up, of course,
- 15:19Speaker 1: you have the White House considering another stable coin yield
- 15:22Speaker 1: meeting with the banks. This, of course is more pressure
- 15:24Speaker 1: on the banks. I think Polymarket knows something, or the
- 15:28Speaker 1: people in Polly Market know something that we are about
- 15:32Speaker 1: to see Marct Clarity come to reality. The other thing
- 15:35Speaker 1: that plays into this is whether or not the stable
- 15:39Speaker 1: coin yield has been conceded by both the industry or
- 15:44Speaker 1: has there been maybe a relationship, because remember Patrick Witt
- 15:48Speaker 1: pivoted a little bit. Patrick Witt is the digital advisor
- 15:51Speaker 1: for Crypto underneath David Sachs. He was kind of pro
- 15:55Speaker 1: I felt like it was more pro bank trying to
- 15:57Speaker 1: get a deal done. And then recently it's been yes,
- 16:00Speaker 1: we need to protect stable coin yields. So has something
- 16:03Speaker 1: changed out there in the clarity that has caused it
- 16:06Speaker 1: to skyrocket right now over on poly markets starting to
- 16:09Speaker 1: bump near almost seventy percent out there. Wall Street wants
- 16:13Speaker 1: to turn the twenty twenty eight election into an ETF
- 16:16Speaker 1: and if you look at a couple of points here,
- 16:18Speaker 1: I want to zoom in on this right here. The
- 16:20Speaker 1: framing is clever. It's also convenient turns what most people
- 16:23Speaker 1: would recognize as gambling into something that sounds respectable and measurable.
- 16:28Speaker 1: Analysts like Jay this. Of course, James Seyfert from Bloomberg
- 16:32Speaker 1: and Balshoun has talked about this, pointed out that the
- 16:34Speaker 1: ETF industry will try to wrap almost anything into a fund.
- 16:39Speaker 1: If there's demands. So this was being proposed out by
- 16:42Speaker 1: bit wise, so much out, guys. We got some crazy
- 16:45Speaker 1: stuff here. A meaning is the volatility is there. The
- 16:47Speaker 1: volatility is there, and there's assets that could potentially play
- 16:52Speaker 1: into this to where there's always a way to make
- 16:55Speaker 1: money in these markets. So we'll cover this in much more.
- 16:58Speaker 1: Expect some big news being an unclarity. If you like
- 17:08Speaker 1: this video, hit like and subscribe, drop a comment down below,
- 17:11Speaker 1: and also join our free private member group. The link
- 17:14Speaker 1: is in the description.
- 17:16Speaker 5: Mm hmm