Bitcoin Mania Still Has Miles To Go

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The performance of Apple stocks has been a reliable harbinger of the next stage of greed and pride in this seemingly invincible bull market. Apple is the most capitalized stock of all, valued at $ 2.5 trillion, and it has increasingly become a safe bet for institutional investors since reaching a low a generation ago below $ 5. With its large stakeholder base of big cats, the stock has been an ideal market indicator. More than any other action, it is responsible for making portfolio managers look geniuses and creating the deception that an American retirement system is heading for some disaster in the next bear market is in great shape. (Currently, it looks like the disaster is at least a bit on the road, as AAPL is trading a bit of a 151.02 target that could eventually appease the revelers.)

This week, however, we will be calling attention to bitcoin, represented in the graph above by a CME vehicle that tracks the best deals and offers for bitcoin in real time on many exchanges. It could be argued that bitcoin is an even better indicator than Apple, as it lucidly captures not only the methodical investment casino rigging by Wall Street hucksters, but the absolute madness of the players as well. They are acclaimed by the big banks who surely know better, since the supposed value of bitcoin is not backed by … nothing. Without having much real skin in the game, banks have been shamelessly talking about their book since they conspired to remove bitcoin from pariah status in March 2020.

The nerds of “Wayne’s World”

This followed an upheaval that reportedly devastated mostly Wayne’s World nerds who were the first to adopt and trade bitcoin. Virtual currency went from over $ 10,000 to $ 3,900 before the big boys began to aggressively tout crypto money as a viable medium for financial transactions. This has yet to happen, in part because cryptocurrencies (although not blockchain technology, which shows great promise) offer little benefit over a well-functioning credit card system. Bitcoin has nonetheless enjoyed resounding success as a vehicle for table staking speculation, gaining credibility in the mainstream media due to its acceptance by financial institutions and prominent players such as Paul Tudor Jones, Michael Saylor and the Winklevoss brothers.

So what can the BRTI chart tell us? For starters, that bitcoin could rise by 50%, peaking at 89,790, before the bull market cycle that began in 2020 runs out of steam. By comparison, the most ambitious target I can come up with for the Dow Industrials is 42,219, just 20% above current levels. This implies that if the bull market goes into a blowout phase, as I suspect, the evolution of bitcoin will be much more impressive in terms of percentage. More immediately, bitcoin (aka “Bertie”) would become a notional buy if the correction hits the red line at 59,302. This conforms to the “mechanical” trading rules of the Hidden Pivot method. The risk of entry is close to $ 10,000, so I only recommended this bet to subscribers who are fully conversant with the risk reduction tactics made possible with the “cover-up” of Hidden Pivot. Either way, we will continue to exploit the process of passing the bull market and its daily disappointments as long as the extraordinary opportunities it presents continue.

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