A mid-term crypto bottom and oncoming “echo bubble”
1/ 2022 Echo Bubble – Full thesis
— Andrew Kang (@Rewkang) January 16, 2023
A thread presenting evidence for a mid term bottom and oncoming "echo bubble" with thorough confluence from technical analysis, onchain data, and exchange/derivatives data pic.twitter.com/wEME5IB1CB
/2 From a TA perspective, we have just given every person that considers technicals in their trading/investing reason to start to look for long exposure. $BTC & $ETH have broken above diagonal trendlines & MAs, started weekly momentum crossovers, reclaimed important supports pic.twitter.com/DqfaZDOib9
— Andrew Kang (@Rewkang) January 16, 2023
3/ The most important indicator of an oncoming rally is the weekly RSI crossover from a previous very long period of bearish momentum implying large potential energy for a move higher based on a supply squeeze.https://t.co/1fuMUmguAX
— Andrew Kang (@Rewkang) January 16, 2023
4/ This supply squeeze is shown by various onchain metrics from BTC and ETH on exchanges (fallen past pre-bull run levels) and reduction of sell pressure from miners pic.twitter.com/9PTna6uWMJ
— Andrew Kang (@Rewkang) January 16, 2023
5/ A large driver of bearish momentum in 2022 was overlevered miners that turned into forced sellers – needing to sell their BTC rewards & also their stockpiles. The recent trend reversal in network hashrate show that after some major capitulations, miner health has stabilized pic.twitter.com/ANBN7IevSF
— Andrew Kang (@Rewkang) January 16, 2023
6/ Miners no longer have the luxury of the transaction fees of a bull market and this is reflective of the bottoming process of previous cycles pic.twitter.com/R8JSVicBOY
— Andrew Kang (@Rewkang) January 16, 2023
7/ The USD value of supply issuance relative to its 365MA (Puell Multiple) is also in bottom territory indicating that miners able to withstand this sharp cut to their top line are quite hardy pic.twitter.com/dxPdWAs5Wh
— Andrew Kang (@Rewkang) January 16, 2023
8/ Current overall holders can also be considered extremely hardy given the aggregate holderbase has suffered an extreme amount of drawdown, but as of recent are no longer underwater pic.twitter.com/QT2EXrjkXN
— Andrew Kang (@Rewkang) January 16, 2023
9/ Even though aggregate holders are no longer underwater, they still hold a very large amount of stables relative to total crypto market cap which can serve as rocket fuel for a trending move up
— Andrew Kang (@Rewkang) January 16, 2023
FOs, Macro funds, SWFs, Retail, Whales,, crypto funds, etc are all potential buyers pic.twitter.com/C6cIMwaP79
10/ Historically, we’ve seen that the largest/longest rallies typically follow periods of low volatility. As in turns out, we are at historically low levels of volatility pic.twitter.com/vpHxbEIo2J
— Andrew Kang (@Rewkang) January 16, 2023
11/ The current state of derivatives also allow space for a rally given leveraged longs have not yet come in to push the market up. Futures basis is trading near 0, similar to just before the last bull run pic.twitter.com/cw1FoJo8ro
— Andrew Kang (@Rewkang) January 16, 2023
12/ It's clear crypto has seen a lack of interest from the general public for quite some time. Search volumes and exchange volumes have finally fallen to 2020 levels pic.twitter.com/09dHzaxfbZ
— Andrew Kang (@Rewkang) January 16, 2023
13/ But the recent revival in NFT activity could be the right catalyst to draw interest back into the space. NFT activity has kickstarted onchain activity which fell to local lows as excitement starts to come back to this space pic.twitter.com/QY6y3FVhiz
— Andrew Kang (@Rewkang) January 16, 2023
14/ The activity results in potentially an accelerating rate of $ETH burn which compounds the supply side effects of Ethereum’s switch from PoW to PoS pic.twitter.com/2q0YNdQuok
— Andrew Kang (@Rewkang) January 16, 2023
15/ “But what about macro”
— Andrew Kang (@Rewkang) January 16, 2023
last time SPX was at these levels in previous years was around April 2020. At that point, crypto was mid bull run and was trading at $2T market cap, almost 2x current crypto market cap. There is still plenty of liquidity for risk assets pic.twitter.com/sa55os0HD3
16/ With Mt Gox release delayed to September, FTX having sold most customer assets, major players liquidated and many other assets tied up in bankruptcy proceedings, supply is significantly reduced
— Andrew Kang (@Rewkang) January 16, 2023
17/ Overall market positioning (very underallocated) sets up the foundation for a large multiweek to multi month echo bubble
— Andrew Kang (@Rewkang) January 16, 2023
Double bubble was meme’d into reality – why can’t echo bubble?
Top AI projects to pay attention to
So AI, Artificial Intelligence is going to be a big catalyst for the next #Crypto bull run and that I am certain on, looking at the recent growth alone
— Crypto Tony (@CryptoTony__) January 7, 2023
Below my thread on the top 5 projects to pay attention too for the next bull run. A thread ?1/6 pic.twitter.com/UhFwm6Pq8Q
2. iExec / $RLC
— Crypto Tony (@CryptoTony__) January 7, 2023
" The iExec network connects cloud resource sellers with cloud resource buyers together "
They currently have a range of products including :
– A #Web3 marketplace
– Oracle Factory
– Confidential Computing
– iExec SDK
? https://t.co/tm5LxfTNwX? pic.twitter.com/bdcCFehG0A
3. The Graph / $GRT
— Crypto Tony (@CryptoTony__) January 7, 2023
“The Graph is an indexing protocol for querying networks like Ethereum. Anyone can build and publish open APIs, called subgraphs, making data easily accessible "
Subgraphs can then be composed into a graph of the worlds public infohttps://t.co/ZyD0zK2C66 pic.twitter.com/eTeFffAoYD
4. @oceanprotocol / $OCEAN
— Crypto Tony (@CryptoTony__) January 7, 2023
“ Ocean Protocol in its essence, unlocks the value of data "
A few of their different aspects to data unlocking include :
– Data #NFTs and DataTokens
– Marketplaces
– Compute-To-Data
– Data Science
– Fine-Grained Permissionshttps://t.co/6DqRe0GTLG pic.twitter.com/S9V7rTeoDC
5. @Fetch_ai / $FET
— Crypto Tony (@CryptoTony__) January 7, 2023
" Power peer-to-peer applications with automation and AI capabilities, with or without direct access to a blockchain "
Their network is based on an open-source technology that any user can run and connect toohttps://t.co/Lbgk4vHIgX pic.twitter.com/1TmAzcEkK6
6. @Singularity_NET / $AGI
— Crypto Tony (@CryptoTony__) January 7, 2023
“SingularityNET lets anyone create, share, and monetize AI services at scale"
The tech includes :
– AI marketplace and AI publisher
– AI – DSL language
– AGIX Token Tools – Staking & Bridge
– OpenCog Hyperonhttps://t.co/3QydpnczXk pic.twitter.com/HYQc1xqY8a
