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Trump Crypto Speech Dumps Crypto Again📉 · The Paul Barron Crypto Show

• 0:06
  Speaker 1: Trump came into the market making an announcement on crypto
• 0:08
  Speaker 1: at the Digital Asset Summit. Will break that down along
• 0:11
  Speaker 1: with some Jerome Powell comments from yesterday that could give
• 0:14
  Speaker 1: us some indicators on where the market is going. My
• 0:16
  Speaker 1: name is Paul Barreon. Will come back in a tech path.
• 0:18
  Speaker 1: Let's get into it today. I want to thank our sponsor,
• 0:20
  Speaker 1: and that is Tangentum. This is a great place for
• 0:22
  Speaker 1: you guys to jump in and go into self custody.
• 0:25
  Speaker 1: So check it out. Use our link down below. It
• 0:26
  Speaker 1: gives you additional discount to get started. Let's go over
• 0:29
  Speaker 1: to a couple of headlines here. Trump calls for stable
• 0:32
  Speaker 1: coin legislation and declares that US bitcoin superpower is now
• 0:37
  Speaker 1: in play at the Digital Asset Summit. So the likelihood
• 0:41
  Speaker 1: of seeing more assets going into bitcoin in these strategic
• 0:45
  Speaker 1: reserves and in the Bitcoin Digital Asset Reserve could be
• 0:50
  Speaker 1: a possible course forward where we see the government actually
• 0:53
  Speaker 1: going in and making some purchases on this stuff. Now, again,
• 0:57
  Speaker 1: this has to be I believe net zero, meaning it
• 1:01
  Speaker 1: doesn't cost the American tax payer, and so it's usually
• 1:03
  Speaker 1: going to be done through fines or other ways. But
• 1:05
  Speaker 1: he talks about all this good stuff, and the key
• 1:07
  Speaker 1: here is stable coin. Here's a clip of him kind
• 1:11
  Speaker 1: of going through some of the highlights.
• 1:12
  Speaker 2: Take a look, a very big hello to everyone at
• 1:15
  Speaker 2: the block Works Digital Assets Summit. We're ending the last
• 1:20
  Speaker 2: administration's regulatory war and crypto and bitcoin, and that includes
• 1:24
  Speaker 2: stopping the lawless operation Choke point two point zero. I've
• 1:29
  Speaker 2: also called on Congress to pass landmark legislation creating simple,
• 1:33
  Speaker 2: common sense rules for stable coins and market structure. Pioneers
• 1:38
  Speaker 2: like you will be able to improve our banking and
• 1:41
  Speaker 2: payment system and promote greater privacy, safety, security, and wealth
• 1:45
  Speaker 2: for American consumers and businesses alike. And right here, it's
• 1:50
  Speaker 2: going to be right here with the USA, the good
• 1:52
  Speaker 2: old USA, all right.
• 1:54
  Speaker 1: So as you can see, it very short, I think
• 1:56
  Speaker 1: it ended up being around three minutes total that he
• 1:58
  Speaker 1: aired that. Again, this was a scripted response, possibly in
• 2:04
  Speaker 1: response to some things they're trying to do in DC
• 2:07
  Speaker 1: from a negotiation standpoint around the industry. Who knows, but
• 2:11
  Speaker 1: it is one of those things that I think at
• 2:14
  Speaker 1: least keeps the market ahead that he's still thinking about.
• 2:17
  Speaker 1: This is a big initiative and we need to keep
• 2:19
  Speaker 1: on it. Michael Saylor, of course, definitely thinking about it
• 2:23
  Speaker 1: with his potential prediction right here saying that twenty years
• 2:27
  Speaker 1: from now, he's predicting that we're going to see a
• 2:30
  Speaker 1: thirteen million dollar bitcoin. Now, what do you guys think?
• 2:32
  Speaker 1: Do you think we're going to see that kind of
• 2:34
  Speaker 1: action on bitcoin over the next twenty years? Put some
• 2:37
  Speaker 1: comments down below. By the way, if you're not subscribed
• 2:39
  Speaker 1: to the channel, do it right now. We are absolutely
• 2:42
  Speaker 1: flying and it's all because of you guys, and we
• 2:44
  Speaker 1: appreciate that. Just his subscribe right there and jump in.
• 2:47
  Speaker 1: Let's go to a couple of other things. The market
• 2:49
  Speaker 1: is not feeling very good after yesterday's Powell's speech at
• 2:54
  Speaker 1: the FOMC. Market feels broken. This morning, between four forty
• 2:58
  Speaker 1: and six twenty, we saw in S ANDP futures SMB
• 3:00
  Speaker 1: five hundred futures erasing six hundred billion of market cap
• 3:04
  Speaker 1: and there was no real major headlines. Now, this is
• 3:07
  Speaker 1: something that people have been looking at. I'll show you
• 3:10
  Speaker 1: the chart here just to see you know, where you
• 3:12
  Speaker 1: come off of that fifty seven hundred all the way
• 3:14
  Speaker 1: down here to write at flat fifty seven. So that
• 3:17
  Speaker 1: in itself is kind of interesting to see the kind
• 3:20
  Speaker 1: of movement if I go over to the market, Actually
• 3:23
  Speaker 1: i'll go. I'll show you that chart in a minute
• 3:25
  Speaker 1: to show you where we've been, because it has had
• 3:27
  Speaker 1: a little bit of a bounce on the S and
• 3:29
  Speaker 1: P five hundred. But the point being is a lot
• 3:32
  Speaker 1: of this has been driven off of the macro pressures
• 3:34
  Speaker 1: that we continue to face, both on inflation not slowing
• 3:37
  Speaker 1: maybe as quickly as we'd like, and also the scenario
• 3:40
  Speaker 1: that's playing out on Trump's uncertainty. And that's a key
• 3:45
  Speaker 1: word here because jeral Palce said that word probably five
• 3:47
  Speaker 1: different times yesterday around uncertainty. Now, one thing that it
• 3:53
  Speaker 1: did hit the market, which is a little concerning, is
• 3:56
  Speaker 1: on the retail investor side, because the retail investors have
• 4:00
  Speaker 1: been building up an equity allocation largest in history in
• 4:04
  Speaker 1: early February and that is surpassing even the bubble. So
• 4:09
  Speaker 1: this could be in a position where we see a
• 4:11
  Speaker 1: reversal on this. Obviously, the tech stocks have already taken
• 4:14
  Speaker 1: a big beating, and the question is is is retail
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  Speaker 1: going to be setting there holding a lot of that
• 4:20
  Speaker 1: high end purchases that they made at the top of
• 4:22
  Speaker 1: the market and we see a major retlacement in that
• 4:26
  Speaker 1: I want to go to a clip real quick, because
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  Speaker 1: this gets into quantitative tightening. And Pale started to address
• 4:32
  Speaker 1: this yesterday for the very first time. Is that they
• 4:36
  Speaker 1: were going to slow the tightening process. That is a
• 4:39
  Speaker 1: big deal. I'll explain why.
• 4:41
  Speaker 3: Take a look, we lowered the pace of QT and
• 4:45
  Speaker 3: we're just going to do that again. We're going to
• 4:46
  Speaker 3: cut it roughly in half. And the sense of that is,
• 4:49
  Speaker 3: if you're cutting the pace of QT roughly in half,
• 4:52
  Speaker 3: then the runway is probably doubled. Okay, so it's going
• 4:56
  Speaker 3: to be slower for longer. So we came around to
• 4:59
  Speaker 3: the and it had a lot of appeal, and so
• 5:02
  Speaker 3: we did it. It really it has no implications at
• 5:05
  Speaker 3: all for monetary policy. It has no implications at all
• 5:09
  Speaker 3: for the ultimate size of the balance sheet. It isn't
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  Speaker 3: sending a signal in any hidden way that you can
• 5:15
  Speaker 3: try to tease out. It's just not there. We're basically
• 5:18
  Speaker 3: it's very consistent with our plans in our practices that
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  Speaker 3: we've published and that we followed since we began this.
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  Speaker 3: What is a very successful, you know, rundown of the
• 5:28
  Speaker 3: balance sheet.
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  Speaker 1: All right, So Powell stated that and he also made
• 5:33
  Speaker 1: another very big statement yesterday, and that was that he
• 5:36
  Speaker 1: did not think we would see in a recession. To me,
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  Speaker 1: those were the big statements coming out of the FOMC.
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  Speaker 1: And here's Arthur Hayes. He says, hey, j POB delivered
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  Speaker 1: QT basically over April. First, that's going to happen. The
• 5:48
  Speaker 1: next thing we need to get bulled up for is
• 5:51
  Speaker 1: what we're going to see in the SLUR exemption or
• 5:53
  Speaker 1: a restart of q E, so quantitative easing meaning lowering
• 5:57
  Speaker 1: of the interest rates. If we see that, then the
• 6:00
  Speaker 1: likelihood of a reversal on the stock price is that
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  Speaker 1: we'll see in the S and P will reverse. But
• 6:05
  Speaker 1: if you look at bitcoin and his statement here that
• 6:07
  Speaker 1: Hayes is talking about is that maybe seventy seven K
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  Speaker 1: was the bottom, and he's saying, yeah, probably, but stocks
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  Speaker 1: have more pain left to fully convert Jpowe and his
• 6:17
  Speaker 1: team and Trump to stay nimble and get in. So
• 6:20
  Speaker 1: right now everybody is cashed up. I do agree with that. Obviously,
• 6:23
  Speaker 1: the money to or the M two supplied money is
• 6:26
  Speaker 1: definitely continuing to climb. Good news out there though for ethereum,
• 6:31
  Speaker 1: and that is bitwise files to add staking to its
• 6:34
  Speaker 1: already existent ethereum ETF. That's big news because we could
• 6:38
  Speaker 1: see a big move right there. Speaking of that, so
• 6:42
  Speaker 1: a lot of futures ETF now is in place. They
• 6:44
  Speaker 1: are set to grow institutional adoption even though we've had
• 6:47
  Speaker 1: a little bit of a limited inflow right now. This
• 6:50
  Speaker 1: is probably going to be the case right now in
• 6:52
  Speaker 1: the current time frame that we're dealing with, which is
• 6:55
  Speaker 1: most likely going to be some sideways action in the market.
• 6:58
  Speaker 1: But with all that being said, you got to look
• 7:00
  Speaker 1: get well, what is going on and this makes it
• 7:02
  Speaker 1: more sensible, and that is that tether becomes the seventh
• 7:05
  Speaker 1: largest buyer of US treasuries. Well, the reason that that's
• 7:08
  Speaker 1: happening is people are converting to stable coins, and stable
• 7:12
  Speaker 1: coins of course are just part of that M two
• 7:14
  Speaker 1: in terms of you look at the bigger picture here
• 7:17
  Speaker 1: of people going to cash. And that is the case
• 7:20
  Speaker 1: because what could be going on right now is that
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  Speaker 1: last leg down on the S and P five hundred,
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  Speaker 1: which means there's going to be a lot of opportunities
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  Speaker 1: to buy. That being said, a couple of points right here.
• 7:32
  Speaker 1: Almost everyone underestimates how massive tether is and what are
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  Speaker 1: ridiculous and good businesses is This is something I've talked
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  Speaker 1: about quite a bit. Seventh largest buyer of treasures one
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  Speaker 1: hundred and forty five billion reserves, thirteen billion an annual profit,
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  Speaker 1: all with one hundred employees. I'm not sure that there
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  Speaker 1: is a company on Earth that is more efficient and
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  Speaker 1: profitable than what Tether is doing. This is a global
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  Speaker 1: entity that fuels the really the birth in all so
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  Speaker 1: the growth of Web three, crypto and almost all the
• 8:04
  Speaker 1: all coins and including in bitcoin and ethereum as well.
• 8:07
  Speaker 1: So it's definitely a big one. So I want to
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  Speaker 1: go back to the S and P five hundred. This
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  Speaker 1: was the chart I was going to talk to you about.
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  Speaker 1: This is on the daily but if you look at
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  Speaker 1: that top right there, which was around sixty one hundred,
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  Speaker 1: this was back in mid feb and where we are
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  Speaker 1: right now down almost eight percent. Now we have seen
• 8:24
  Speaker 1: a decline before of eight to nine percent. If you
• 8:28
  Speaker 1: go to the bottom of the chart right there, there's
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  Speaker 1: your ten percent. Many analysts are still calling for another
• 8:34
  Speaker 1: potential ten percent that would really change things up a lot.
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  Speaker 1: And back to what Arthur Hayes was saying is that
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  Speaker 1: it could get sideways action on bitcoin if you look
• 8:43
  Speaker 1: at bitcoin. Let's take a look at gold first. Take
• 8:45
  Speaker 1: a look at gold continuing the up only and that's
• 8:49
  Speaker 1: coming because the amount of liquidity, and of course everybody
• 8:52
  Speaker 1: looks at what's next to cash, Well let's go into gold.
• 8:55
  Speaker 1: That would be the next safe asset, which is why
• 8:58
  Speaker 1: I think we're continue to see gold breaking all time
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  Speaker 1: highs now above three thousand. This is all time highs
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  Speaker 1: for gold. If we go out on the monthly, I
• 9:07
  Speaker 1: want to just show you guys how far this has
• 9:10
  Speaker 1: come over the years, and gold has continued to see
• 9:14
  Speaker 1: an upward only move. So on the lookout right now again,
• 9:18
  Speaker 1: that starts to push I think a lot more faith
• 9:20
  Speaker 1: into bitcoin, and of course bitcoin after a couple of
• 9:23
  Speaker 1: days seeing a little bit of retracement off of that.
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  Speaker 1: This is on the monthly, but if I go back
• 9:28
  Speaker 1: to the daily, we'll zoom up a little bit. Here's
• 9:31
  Speaker 1: what I'm getting at right now. Bitcoin over the last
• 9:34
  Speaker 1: few days has started to move upward trend here where
• 9:38
  Speaker 1: we're holding it around eighty six k on the high,
• 9:41
  Speaker 1: eighty three right now on the daily low. So look
• 9:43
  Speaker 1: at that volatility. Could we go into a sideways range here?
• 9:48
  Speaker 1: I think quantitative easning is on the verge of being unlocked.
• 9:52
  Speaker 1: The question is going to be is it may or not.
• 9:55
  Speaker 1: If you guys want to catch all that, stay tuned
• 9:56
  Speaker 1: right here, get into the Diamond Circle, and of course
• 9:58
  Speaker 1: follow me out there on X at Paul Baron. We'll
• 10:01
  Speaker 1: catch you next time right here on Techpath
• 10:08
  Speaker 3: M hm.