May 25, 2022

Cryptoidiocy was on the rise. Crypto trash is over, the bubble is deflating.

A few words about crypto. The number of registered currencies is over 10 thousand, capitalization at its peak reached almost 3 trillion dollars, now 1.3 trillion (yesterday it fell to 1.17 trillion), the turnover of trading in 24 hours balances from 110 to 160 billion dollars. In recent weeks, the utilization of value was 30-99%

The only reason for the recent growth of all thiscryptoidiocy was the excess liquidity generated by insane fiscal and monetary policies and, as a result, the role-playing game of “finding a financial surrogate” on a trajectory to undermine confidence in fiat currencies. In simple terms, when liquidity burst the system from all the cracks, a sufficiently capacious mechanism was needed to utilize all this impulse of monetary madness.

This tool has become crypto-garbage,the fundamental price of which is ZERO, however, entire analytical centers were created at investment banks that were looking for “the best and most promising digital coins”, trying to create a rational grain where it does not exist and cannot exist.

Created on the knee all this digital slagcan be useful only on the wave of hype and madness with a disconnected consciousness, i.e. when the speculative frenzy is so comprehensive, all-pervading, that it turns off all mental activity and allows you to invest where there is no value by definition.

It is worth noting that crypto garbage grew on the trajectoryhype and heated memo stocks - all your Tesla, Netflix and others, not counting Reddit residents, when companies (relative to memo stocks) that have nothing cost like entire industrial empires with multi-billion dollar cash flows.

Now it's all blown away.Therefore, on the trajectory of tighter monetary policy and deformation of flows into debt markets, all this bubble rubbish (both stocks with p/e under 1000 and crypto) will be where it should be – at zero.

@spydell_finance