Technical Analysis for AMD 12/26------Pre-Market
Looking for that bounce like Travis Hunters fiancé -------ooooo pop culture and sports burn!!!!
So I woke up today on the "fuck crypto" side of the bed today and if you have followed this sub before, I am a HUGE HUGE skeptic. Not a fan whatsoever. I don't believe in it. Don't understand it. Think its a giant rug pull where you are just looking for the greater fool. But I have a question posed to you: Bitcoin doesn't produce anything. It doesn't have any practical applications where you can actually purchase things with it. It purely exists as a speculative trading vehicle and along with all other crypto. This whole "block chain is the future" web3 development still doesn't appear to have materialized from where I'm sitting. And frankly I'm not sure what it is that we are supposed to get with web3 in the first place. BUT SINCE Bitcoin only exist as a trading vehicle, the only way it can go up is if demand outpaces the supply. We know the supply of bitcoin is finite. But there are very few people who will hold a security that returns $0 in any sort of production, or dividend growth, or increased value. There is no reason for the value to go up right?
Enter companies like microstrategy. So they are about to issue a bunch of stock and just turn around and use it to buy more BTC. But their entire strategy is to just buy bitcoin and hold it. Therefore removing supply from the market. That is the same reason people are pushing for Trump to make the treasury buy BTC and hold it as a reserve currency. They know that the overall number of enthusiast is waning as fewer and fewer people are going to see runs at these levels. Best way to create an artificial supply/demand imbalance is to simply remove A SIGNIFICANT amount of supply from the market. Take a 1.9T market cap and reduce it to $1.5 Trillion and the value of BTC goes up. And the strategy of just artifically buying more BTC and removing them from the market works until finally there is no more to buy. Its literally an unsustainable strategy for Microstrategy and they are buying an asset that you can't do anything with. You can't buy a normal car for it. You can't buy a pizza with it. You can't use it to pay for college. You can't use it to buy a house. You can't do anything with it except hope that when you want to sell it, you can find someone who is willing to buy it for more than you based on pure hype only and zero value.
Fuck Crypto.
Now stepping off my soapbox. If there was a Santa Claus rally it would start now for sure. I was a little optimistic with we saw the move on Monday that perhaps we were going to get some positive movement. But VIX is jumping up which isn't great and markets are currently red which I don't love. We got that bearish hammer on the 24th from AMD on the short trading day which leads me to believe that the bears have already turned and are trying to catch the bulls in the trap they laid on Monday. Soooo oooof lets see how this plays out today. I still am bearish move and don't see it breaking out from here. I do think Monday was interesting that it bounced right off that trendline that I had drawn which makes me feel like the downtrend is still in play and a return to the 52 week low for potentially a double bottom is in play. I am NOT a buyer here.