💎 Enjoy Your Exclusive Bitcoin Analytics! (31 July 2024)

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Welcome to Bull Market Bytes!

Your byte of cryptocurrency insight where we bought $1,000 on Tether and hope to make 100% on our investment one day. 🤣

…Tether is pegged to the US dollar and will only be the price of 1 US dollar…

Well, we thought it was funny… 😅

Let’s Explore Today’s Highlights

🥳 Fun Fact: US Government Stacks Crypto

📊 Market Breakdown: What an Odd Market…

📌 Bull Market Bulletin: Current News & Stories

📚 Trading Strategies: Triple Bottom Formation

US Government Stacks Crypto 🥳

There is a lot of speculation for how Bitcoin will be adopted into everyday use…even though we are pretty much there…

With Bitcoin, you can buy:

1. Cars

2. Gift Cards

3. Jewelry

Heck, you can even buy Pokémon and Digimon (if anyone ever actually played that one) cards. 😅

So, what if I were to tell you that the US government was a large holder in Bitcoin…I bet you would be surprised…

Or maybe not, I’m not a mind reader over here… 🤣

According to data from Arkham Intelligence, the US government actually holds more than just Bitcoin! 👀

It is stated that the US government actually owns…

1. 40,000 BNB ($23.4 Million)

2. 50,000 Ethereum ($164.7 Million)

3. 10,000,000 USDC ($10 Million)

4. 121,000,000 USDT ($121 Million)

And let’s not forget the big dog…Bitcoin! 🐶

It is estimated that the US government owns 183,000 Bitcoin, valued at over $12 Billion!

Now, that sounds like diamond hands to me! 💎

US Government’s Crypto Portfolio

Market Breakdown 📊

What an odd time in the market…

One minute we hear that the US government is proposing to acquire 5% of the current Bitcoin supply (986,678 Bitcoin = $65 Billion)! 🤯

And then the next minute I am watching the price of Bitcoin along with my portfolio drop lower than my GPA in high school. 🤣

So, what exactly is going on?

Well…for this market breakdown we are going to cover a few things to get everyone on the same page. 😎

We will be covering:

1. Cryptocurrency Market Anticipation

2. Bitcoin’s Long/Short Ratio (24-Hour)

3. Cryptocurrency Heatmap (7-Day)

4. What to Expect Next? 🤷‍♂️

Cryptocurrency Market Anticipation

The 2024 Bitcoin Conference held in Nashville; Tennessee had expectation to yield higher Bitcoin prices…

And unfortunately, that was not the case this time around… 😬

We even had a former US President say that he expects Bitcoin’s market cap to surpass gold’s market cap…

That would mean Bitcoin’s price would be $838,317! 🤯

Granted, that doesn’t mean that it will be true, but it does show a government official vouching for Bitcoin’s success…

That can’t be a bad thing, right? 🤔

Also, we can’t forget about the Mt. Gox reimbursements…the kryptonite of Bitcoin’s bull run…

This reimbursement that is expected to total around $9 billion is held over the heads of investors…think about it… 💭

Would it be safe to buy something if the price could potentially dump the next day? Doesn’t sound too safe…

And then we come to the US government moving around $2 billion worth of Bitcoin! 🤦‍♂️

Why this gives negative vibes is because the identity of the wallet that received the Bitcoin is unknown…

Which means that the intention of why it was transfer over is unknown…and of course people will assume the worse.

Now, with that said, let’s take a look at the market and see exactly how the investors and traders are reacting to everything… 🧐

And without further ado, let’s take a look at the Bitcoin’s long/short ratio for the past 24 hours.

Bitcoin’s Long/Short Ratio (24-Hour)

So, from our previous newsletter, we are seeing the ratio increase in the percentage of short sellers…

Long (48.36%) - Traders in anticipation of price increase
Short (51.63%) - Traders in anticipation of price decrease

The image below is breaking down the major exchanges and the liquidity (money) that is behind the long and short traders. 👇

The increase in short sellers from our previous newsletter on the 27th of July…

And if you missed it, go ahead and click here…

Confirms that the price of Bitcoin is decreasing. That is why it is so important to check the psychology of the market…

Even very bullish news could result in Bitcoin’s price decreasing…sounds weird, but it is true!

Speaking on the decrease of Bitcoin’s price, how is the rest of cryptocurrency looking at the moment? 🤷‍♂️

Great question! Let’s dive straight into it!

Cryptocurrency Heatmap (7-Day)

So, the interesting thing about today’s heatmap is that even though we have seen negative movement from Bitcoin recently…

The price fluctuation over a week period has been nearly 0%… 👀

Can’t say the same for several others…but yeah…

So, let’s take a look at the heatmap below! 🔥

I’d also like to point out…Ethereum is -5.92% for the week…but the Ethereum ETFs launched recently…

Two things to note regarding that…

1. Cryptocurrency can be down even if there is bullish news or releases such as the Ethereum ETF.

2. Ethereum has a strong competitor…Solana, which is actually +3.89%.

There is much to be said about #2, but we will save that for another day. 🤣

Now, for my XRP investors! You are +9.10% for the 7-day period!

A lot of this has to do with the closed meeting with the SEC, a judge ruling in favor of XRP, and speculation of price increase…

For many other cryptocurrencies…don’t worry, your time will come! 💪

And with that said…what are we anticipating is going to occur next?

A word from this newsletter’s sponsor, of course! 😂

Thank you so much to Value Investor Daily for sponsoring today’s newsletter!

Now, where were we…ah, yes! What we anticipate next…

What to Expect Next? 🤷‍♂️

Even though we do have a higher percentage of short sellers in the market, there is no need to panic!

We have to remember…we are still holding near Bitcoin’s all time high even after the break of the all-time high that occurred this year.

That has never happened before! 😮

With each of Bitcoin’s all-time highs in the past…

1. 2013 - Bitcoin over $1,000

2. 2017 - Bitcoin over $18,000

3. 2021 - Bitcoin over $67,000

Each one of these resulted in a massive crash shortly afterwards…yet here we are…still around the high of ~$73,750. 😎

Also, let’s not forget that we are still holding two very bullish formations on Bitcoin’s daily chart.

Check them out below! 👇

1. Ascending Triangle - Yellow Triangle

2. Bullish Pennant - Blue Pennant

In trading, we have to give the asset “room to breathe” … 🌬️

If we panic when there is a slight -1% movement, we will never make profit…

We will lose all of our money in trading fees from constantly buying and selling at the slightest inconvenience. 😅

🧠 Don’t forget! The market is a constant upward and downward movement. For assets to increase in price, there must be downward movement along the way.

Bull Market Bulletin 📌

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Bitfinex Hacker Spotted at Bitcoin Conference 2024! Heather Morgan, known as “Razzlekhan” was arrested and pleaded guilty to one of the largest cyber heists in history. Which one exactly? The Bitfinex hack that took place in 2016 that stole 120,000 Bitcoin, worth $7.8 billion at today’s price! As you can see from the title…she has been spotted at multiple Bitcoin events including the Bitcoin Conference that took place in Nashville this year. 😬

How is she not in jail? Well, she eventually pleaded guilty on the 3rd of August in 2023 and has been awaiting sentencing which won’t occur until the 8th of November this year…I’m just as confused as you are…

Russia Explores Crypto for International Payments! Russia is beginning to make strides towards adopting cryptocurrency as a means of payment. With the recent events involving Ukraine, Russia has been cut off from the global payments network, but it appears things are changing…

With the two bills that were passed, the first one will allow Russia to utilize cryptocurrency as a payment method for international trades. To put that in perspective, Russia imported $231 billion worth of goods in 2020. The second bill will legalize cryptocurrency mining in the country. 👀

US Government is Moving Around Bitcoin. So, as you may have read in the “fun fact of the day”, the United States is the owner of about $12 billion worth of Bitcoin! Now, with that said, what happens when this large sum of Bitcoin is being moved around?…well, people automatically go into panic mode. 🤦‍♂️

Let’s also keep in mind, this is two days after former President Trump stated that the US would create a Bitcoin stockpile. With the transaction that took place, the $2 billion was split into two addresses…one that held 10,000 Bitcoin and another that held 19,800 Bitcoin. What could this mean? Well…it is speculated to be transferred to an institutional custody for safe keeping…

US Presidential Candidate Speaks at Bitcoin Conference! Former President Donald Trump attended the Bitcoin Conference in Nashville, Tennessee…and there was a lot of “rocket fuel” words being tossed around. 🤣 No matter your political view, let’s dive into the key points he spoke on and why crypto investors are becoming more bullish.

Over his speech, he said that he will fire Gary Gensler (the current SEC chairman). Mr. Gensler is notorious for wanting to sue every crypto known to man. 😂 He even mentioned that Bitcoin may surpass gold’s market cap, which is $16 trillion! However…the one that seemed the most bullish is that his administration will create a strategic national Bitcoin stockpile. 😮 Now, is this all just political talk…quite possible, but time will tell…

Triple Bottom Formation 📚

Welcome back, everyone! Class is now in session!

Last week, we covered the triple top formation and all of the fun things associated with it…

If you missed that lesson, click here! 😎

For today, we are going to dive more into the Triple Bottom Formation.

As always, make sure to grab your pen, paper, and thinking caps as we dive into this awesome lesson! 🤠 

Don’t ask us why the thinking cap is a cowboy hat… 😂

Alright…so what do we know about the triple bottom formation?

This formation is a bullish formation! 📈

With this formation, there are a few key components that we will cover:

1. The Bottoms

2. The Neckline

3. The Triple Bottom Confirmation

So, let’s take a look below and break down those key components to the triple bottom formation.

The Bottoms

As shown in the image below, there are three bottoms within this formation…

Hence the “triple bottom” part of the formation’s name. 🤣

Ultimately, what these bottoms are showing is a support line that the asset’s price is able to bounce up from.

Yes…it does hit the resistance (the neckline) and go back down, but keep in mind…

Every time the asset’s price bounces off of the support line, it is confirming a buying presence which attracts more buying pressure. 👍

The Neckline

So, the interesting thing which the neckline is that it acts as both a support and resistance line…

How exactly does it do this, you may ask? 🤔

At the beginning of the formation, the asset’s price breaks downward, and it continues to act as a resistance line…

HOWEVER…once the price breaks through the “triple bottom confirmation”, the neckline will then turn into a support line.

This ensures that the price continues upwards…don’t forget, this is a bullish formation. 😎

Speaking of triple bottom confirmation…

The Triple Bottom Confirmation

This confirmation line is the turning point of the triple bottom formation.

That turning point is from bearish to bullish. 🐂

Once the asset’s price breaks through the confirmation line and then pulls back down to it, this is now confirming that turning point.

Let’s take a look below at the triple bottom formation in its entirety. 👇

As we see, before the formation takes place, we have a strong downward trend…

Which is something I always experience once I buy any crypto… 🤣

Then once the formation takes place, the end result is the trend reversal or the upward trend.

That end result is ultimately what makes it a bullish formation! 📈

The short video below shows the triple bottom formation in real time along with how traders project movement and profit potential. 👀

🧠 Remember! The triple bottom formation is initiated from a move downward which eventually finds support and moves upward.

With trading, do not force a trade. Even though it begins with downward pressure that does not mean that it will continue.

Just because you think it will continue downward, the market may be reversing to become bullish!

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