People looks so scared for the potential recession in the US right now as we can see the equity market in the beginning of this week is getting obliterated which Nikkei has dropped pretty hard.
I fully understand how this is currently looking, pretty bad environment even for me which you know have always been in the bullish side all this time.
Not just that, the clash between Ukraine, Russia, and US regarding the ceasefire is adding more risk into the market as of now. It's getting hot in my opinion which makes people are in the sideline / bearish right now.
More to the data :
- US10 year bond yield is dropping, showing people are derisking.
- Gold price goes up has always been the indicator of chaos in the market.
- Stock market is falling and getting obliterated.
However, I want you to think as an investor and as a good market participants here. You have to answer this question. Do you think Trump will let the country fall in recession under his control?
I'll let you digest that question.
My thesis is still the same. I'm in the bullish side and still looking at current structure of correction as the short term one. It looks severe because it's a time based capitulation as price is moving so slow in the low liquidity environment.
The main play here is Trump will force the FED to enter the easing policy sooner than the market expected and the goal is to refinance the US short term debt at lower rate.
BTC will ultimately become the institutions vehicle this cycle to beat the S&P earning. It has shown us the fact that in the last few drops on stock market, BTC continues to hold its structure well.
