Bitcoin Situation Right Now (Patreon)

Bitcoin is experiencing a significant consolidation phase after its recent 4x price increase.

The market is currently facing more selling pressure than buying demand due to several factors:

• Mt. Gox is preparing to distribute 143,000 BTC and 143,000 BCH to its creditors starting in July 2024, potentially flooding the market with supply. This has many rattled. I think the real amt of selling will be far less than this.

• Bitcoin ETFs have seen over $1 billion in outflows over the past 10 days, though BlackRock's IBIT fund continues to hold.

• Miners are selling their holdings and showing signs of capitulation as they struggle with profitability post-halving.

• Retail investors are experiencing "max pain" with sentiment turning bearish. The Crypto Fear & Greed Index has dropped to 39, indicating a bearish market sentiment.

• The price of Bitcoin has fallen below $61,000, I've been talking about this STHRP for 2 weeks now... and it was looking very fragile - well it was. This dip below is now triggering a spike in long liquidations.

• Germany is selling.

• Hedge Fund Carry Trade is unwinding.

This consolidation phase is typical for Bitcoin's market cycles, but it's causing significant pressure on current holders and traders. The market is now testing key support levels as it navigates this challenging period.

I am still a buyer at 60K. We got close to my weekend target - but no cigar... we only hit $60,600 so far.

I am 15% cash and will deploy some soon.

PS Level 5 is 57K and we were at 60K on the 11th May