FG Cheat Sheet 122321
Bitcoin falls -1% overnight
Don’t miss last weeks public podcast!
JVL, writer for the the Bulwark, joins Hal and Boomer to discuss the use case and future for crypto.
CHEAT SHEET
What We Are Watching
We further breakdown our case for these cryptos here : What We Are Watching
Are you buying these tokens? Did you read our guide on how to buy them on Sushiswap and Uniswap? Got questions? Leave them in the comments.
The Decentralized Reserve Currency
Crypto News
Microsoft Director Says Ethereum Will Become the “Decentralized App Store” in 2023
SHAQ.eth now at the top of the ENS leaderboard.
Jack Dorsey Goes on Unfollowing Frenzy After Web 3 Beef
El Salvador Buys 21 Bitcoins on 21st Day of Last Month of 21st Year of 21st Century
Hundreds of Salvadorans claim money is vanishing from bitcoin accounts
Michael Saylor Reveals His Personal Bitcoin Holdings To Be Worth Over $800 Million
Bitcoin Is An Enduring Bull Market, Says Bloomberg Strategist
Bitcoin Outlook
On this weeks episode BTC continues to crawl sideways leaving the entire market dripping in boredom. If BTC can get out of this rectangle expect to see some more volatile price action again.
A more interesting note is that when BTC hangs out and goes sideways like this altcoins tend to rally. See (LUNA,SUSHI, SPELL on the cheat sheet)
Possible Course of Action
Pick up some altcoins to bet on continued BTC sideways price action
If you took the trade back to $50k consider scaling out
Pick up a short near $50k if it doesn’t hold looking for a retest of $40k
Buying a breakout of this rectangle could be a good trade
The Bulls’ Defense:
Reclaiming $50k and holding as support would be a show of strength and an indication that buyers have returned to the market
Santa Clause rally
The Bears’ Prosecution:
Multi-week downtrend could continue. $50k has been rejected multiple times. $40k would be next major support. Based on recent price action it’s possible $30k is wicked to again on some exchanges.
ETH OUTLOOK
ETH is competing with BTC for the most boring price action award. After whip sawing for months with +/-15% daily or weekly swings ETH is now grinding sideways as altcoins rally. The great news is ETH gas fees have come down considerably as well. Expect more sideways grinding if the price cannot get above $4250 or goes below $3500.
Apologies, we can’t make boring price action more exciting.
Possible Course of Action
Do nothing
If you want to short we’d recommend waiting for a failed retest of $4200
Could look to open a long near $3450
Could also buy a breakout if $4200 holds as support
The Bulls’ Defense:
EIP-1559 has burned $4,915,594,709 (1,249,836 ETH) so far. Supply constraints should continue to have a positive impact on price.
The Bears’ Prosecution:
Potential macro double top that could result in multi-week (or month) consolidation
Please don’t forget to like (heart button at bottom) and share this post!