Eggg yolk, what is up & going on, with the
people I like to call the viewers of the tube!
Let me introduce myself as Tyler, & your watching
the crypto channel, that like a swarm of bison
can stick your booty to the seat, while we
stampede on through...you know how I deal
with Bison Jams, it’s time for Chico Crypto!
So, first why did I show a bunch of freaking
bison in the intro?
Well I worked & lived in Yellowstone for a
summer, and had to deal with them dang bison
on a daily basis & I miss the freak out of
those ugly beasts.
But let’s talk about another B, that sweet
ole BTC & the current state of the markets
& what I think is plainly obvious.
BITCOIN is following the stock market to the
tee!
This weekend and the way stonks and crypto
reacted on Monday’s opening... made it even
more loud and clear obvious.
Pulling out the 24 hour BTC chart, the price
was hanging onto 9400, but once news about
stock futures were going down began releasing
on Sunday, Bitcoin started to retrace.
FX street put out this article, covering that
gold was defending key support, while S&P
futures were declining.
This article was released at around 1800 EST,
and look at the BITCOIN chart, at 1800 was
when the fakecovery was nullified & the true
collapse came.
And just looking at the markets, traditional,
the dow jones...it had a steep drop, opening
yesterday from 25,600 points to under 25000….but
then volatility….it rebounded, after the
grim news articles of futures spread...back
up to above 25,400, and kept surging…..past
the opening levels!
And then Bitcoin decided to rebound as well!
It’s going….Up, down, and all around.
So I will say this now, stonks are no place
to be day trading, especially if you are trying
to use leverage.
Market watch, covered a story that stuck with
me, titled “Heartbreaking story of rookie
trader who racked up $700K in debt: ‘Finance
isn’t worth losing your life over’ Unfortunately
a young trader took his life & they got exposed
to leverage….the trader’s cousin in law
posted a tweet thread about the tragedy “My
cousin in law was interested in investing.
He opened a Robinhood account.
And, he seemed to be enjoying the markets.
As many of us do, or have done, he got interested
in options.
He believed he had “no margin” selected
on his account.
So, he began buying and selling options.
Fast forward to sometime this past week and
his account showed him owing $700k+.
How does a 20 year old with no income get
access to that kind of leverage/exposure?!
The emotional stress from the exposure caused
him to take his own life.
I don’t feel right sharing this, but I also
don’t feel right keeping it from the world.
Why?
Because recently I’ve been joking about
how much I love DDTG (a day trading twitter
portal).
I’ve laughed at the Robinhood memes.But
here’s the truth.
AND PLEASE PAY ATTENTION TO THIS IF YOU’RE
YOUNG.
The markets are bananas right now.
It’s not the time for amateurs.
Really really pay attention to position sizing.
Stay away from exotic instruments like options
and futures.
And that is TRUE, the markets both stonks
and the asset that is following it like a
shadow, crypto is bananas, b-a-n-a-n-a-s..thanks
Gwen.
Remember Elon Musk, back in May just a month
ago, he tweeted that Tesla’s stock share
price was too damn high.
And since then, what has happened to a share
of Tesla?
Even when the CEO is loudly saying the share
price is too high?
It surges by another 42 percent...yup his
stonk, went from 700 just a month ago, to
peaking above 1k last week on June 11th.
And when it peaked above 1k, what did ELON
tweet on that day?
Just LOL and then someone aksed him, not fair
tell us what happened, why you laughing basically?
He replied...STONKS.
Calling it by its meme name, its new leverage
nastiness, doesn’t make sense name.
It’s bananas name.
So you guys, I’m not saying don’t invest
in things like Tesla...
Investing in assets and holding long term
is one thing, but when you add that dirty
thing called leverage, the cards get stacked
against the amateur where it’s pretty much
impossible to win for the large majority who
try.
And in crypto we have sooooo many people,
pushing leverage Sooo...I’m not going to
expose, or show pictures of who the leverage
shills are in crypto...we all know who they
are, they know it, they know it’s wrong,
but they keep on doing it.
All I gotta ask of those doing it, is take
a look at what your doing for a second, and
not the bookoo bucks you are making...read
your video comments, and see that there are
people this happens too, and by shamelessly
promoting it every single video, you are helping
REKT people’s lives for a percentage of
the money they lost.
And I hope we don’t get a crypto news article
like the marketwatch one soon, but crypto
is following stocks like a shadow, and the
leverage shills make it darker each day.
And the grips of leverage are getting weirder,
and weirder each day.
Tokeninsight put out their 3rd bitcoin mining
report, for post halving 2020 & they explain
their is the growth of mining derivatives.
Which means not only using the asset of bitcoin,
as the underlying collateral in futures contracts,
but also mining hashrate now.
The report states “Derivatives exchange
FTX recently announced the launch of the Bitcoin
hash rate futures contract.
At present, FTX has launched three Bitcoin
hash rate futures contracts, which have maturity
on Q3, Q4 2020
and Q1 2021.
And the large outlet are covering it...Cointelegraph,
at the end of May, put out this article….Bitcoin
Miners Will Use Derivatives Like Traditional
Commodity Producers...and yes, I agree, bitcoin
miners, the large whales will use them, as
they have been for a long time through Bitmex
and more, but if we are comparing this to
gold, gold miners don’t put futures out
against their equipment or power it’s generating,
they put it out against the asset they are
mining, gold...to capitalize on market fluctionas
to buy more equipment and power.
Maybe, I’m just old school, and don’t
see why….or maybe since there wasn’t a
way to quantify a gold hashrate, there was
never a futures contract put out against it.
Although, I see the play, for these “futures
contracts” Let’s just go back to the token
insight research piece….they post the mining
derivative providers, of course FTX, but also,
Babel Finance, Matrixport, and RenrenBit...are
the leading providers.
Haven’t heard of them before?
Neither did I, but now I know who they are,
and who they serve….
Businesswire covered Babel Finance, and as
we can see they serve “F2Pool, Poolin, Cobo,
Onchain, Genesis Capital and more” Well
f2pool and poolin, are two are the largest
chinese mining pools, and control combined
over a third of the hashrate….
They are serving some of the largest chinese
whales, with financial tools...as going to
Matrixport’s website, we can see they serve
bitmain, their mining pool antpool, btc.com...so
why the sudden surge from miners within the
last year to trade derivatives, especially
from the Chinese?.It’s where all the mining
related trading volume is coming from?
Well going back to that research once more,
they show which section of the world has increased
their hashrate the most since late summer,
September of last year.
And look who has pushed up higher in the number
2 spot for worldwide hashrate, the US in blue,
which increased it’s rate from 4 percent
to over 7 percent as of today, a growth of
78 percent.
It’s obvious to me, China is financially
weaponsing bitcoin, to protect their dominance
in hashrate.
We all know of the Gigawatt bitcoin mine being
built in Texas, Rockdale to be exact...well
it’s damn close to being finished, construction
kicking back into full gear after a delay
because of the Viral Panic, and northern data,
the company behind it put out a blog post
last week titled “Northern Data AG update
on the status of the build-out of the world’s
largest HPC Data Center” and in it, they
explain it will be expanded to 1 gigawatt
by the end of 2020, and a further expansion
to 3.6gigawatts is planned for by the end
of 2023.
And this bitcoin mine is already serving it’s
first customers, as the blog states “Initial
commissioning successfully completed / Innovative
cooling and proprietary AI systems are online
and running well and in the actual article
“The first customers of the data center,
who are now operational, are large international
corporations, including the multi-billion
dollar Japanese SBI Group”
Ya, that massive Japanese conglomerate is
using the cheap sustainable energy of Texas,
to power their mining operations.
But Tyler, they said AI systems?
Well just go to SBIcrypto, the blockchain
focused subsidiary of SBI group, and from
the about us “SBI Crypto, is the Bitcoin
mining subsidiary of SBI Group” and below
one of their partners is….Northern Data….so
it’s for mining bitcoin, not AI
But the fact that we have, mining competition
coming at China..from all angles, including
from a multibillion dollar conglomerate, makes
me thinks, volatility is coming.
Derivatives are a financial weapon of mass
destruction, and the Chinese miners are arming
themselves with the nukes.
Get ready!
Cheers I’ll see you next time
