Everything You Need To Know About The 2022 Crypto Crash

Ed48 · Feb 3, 2022

I found this an interesting read, especially the part about how Nakamoto never intended Bitcoin to be an appreciating asset, but I doubt it will appeal to diehard crypto fans.

https://investorjunkie.com/investing/crypto-crash

maxinger · Feb 3, 2022

That article needs refinement.
The writer needs to do much more research.

It didn't talk about the mother-of-all-Tulipmania.
It didn't talk about the possibility of it happening.

Ed48 · Feb 3, 2022

maxinger said:
It didn't talk about the mother-of-all-Tulipmania.
It didn't talk about the possibility of it happening.

Hasn't that already happened (bitcoin going from a few bucks to nearly $70k)?

MrMuppet · Feb 3, 2022

what I actually need to know:

1. Can I start shorting?
2. When does it end?

RedDuke · Feb 3, 2022

Crypto bubble can not be compared to any other bubble. 70% of crypto volume is in fake money (USDT and etc). All other bubbles in history were in real money. No one had the power to click few buttons and create a billion out of thin air. The real crypto test will be if/when any stable coin that has 1:1 USD peg must be audited by reputable auditing firms.

maxinger · Feb 3, 2022

Ed48 said:
Hasn't that already happened (bitcoin going from a few bucks to nearly $70k)?

I was talking about bitcoin crashing from 5 digits got just a few bucks.

Scataphagos · Feb 3, 2022

maxinger said:
I was talking about bitcoin crashing from 5 digits got just a few bucks.

Yeah... today's investor/trader thinks any 5% movement to the downside is a "crash"... and whines for the Fed to pump the markets back up. Years back, a -25% downside move was considered as "just noise".

The_Krakenite · Feb 3, 2022

MrMuppet said:
what I actually need to know:

1. Can I start shorting?

That's the best part. You can short ANY TIME!

I confirm this every time I go to:
https://www.coinglass.com/LiquidationData

It's a nice live-feed showing all the shorts that are getting rekt.

The liquidations are carried out 24/7.

cesfx · Feb 3, 2022

RedDuke said:
Crypto bubble can not be compared to any other bubble. 70% of crypto volume is in fake money (USDT and etc). All other bubbles in history were in real money. No one had the power to click few buttons and create a billion out of thin air. The real crypto test will be if/when any stable coin that has 1:1 USD peg must be audited by reputable auditing firms.

"Despite their recent growth, stablecoins still only account for around 6% of the estimated USD 2 trillion total market capitalisation of crypto-assets, though interlinkages between stablecoins and crypto-assets imply a correlation of risks between these market segments."

https://www.ecb.europa.eu/pub/finan...ablecoins,risks between these market segments.

RedDuke · Feb 3, 2022

cesfx said:
"Despite their recent growth, stablecoins still only account for around 6% of the estimated USD 2 trillion total market capitalisation of crypto-assets, though interlinkages between stablecoins and crypto-assets imply a correlation of risks between these market segments."

https://www.ecb.europa.eu/pub/financial-stability/fsr/focus/2021/html/ecb.fsrbox202111_04~45293c08fc.en.html#:~:text=Despite their recent growth, stablecoins,risks between these market segments.

it is small fraction base on market cap. But represent 70 percent of daily volume. That is what most miss