Bitcoin bull: A big breakout could be ahead for the cryptocurrency

>>> WELCOME BACK TO FAVPT. TAKE A "FAST MONEY." TAKE A LOOK AT BITCOIN PULLING BACK HOLDING ABOVE 36,000. DOWN 37% IN THE PAST MONTH AND OUR RESIDENT BITCOIN BALLER BK SAID THE RECENT SELL OFF COULD BE OVER. BK, EXPLAIN. >> YEAH FOR ME, WHEN YOU LOOK AT BITCOIN, IT'S ALL ABOUT NETWORK EFFECT AND ADDRESS GROWTH. ONE OF THE KEY METRICS I LOOK AT WHEN MANAGING CRYPTO MONEY IS HOW FAST ADDRESSES ARE GROWING VERSUS WHAT THE MARKET IS EXPECTING THE ADDRESSES TO GROW. SO WHAT WE'RE LOOKING AT ON THE CHARTS I BROUGHT ALONG ARE ADDRESS GROWTH IS BASICALLY FLAT BUT THE MARKET IS APPLYING WE'RE GOING TO HAVE A DECLINE OF 20% IN ADDRESS GROWTH, WE HAVEN'T SEEN THAT TYPE OF DIFFERENTIAL SINCE MARCH OF 2020. GENERALLY WHEN BITCOIN GETS THAT MISPRICED IT IS THE SIGN OF THE BOTTOMING PROCESS.

SO WE LOOK BACK TO MARCH OF 2020 WHEN WE HAD A MASSIVE DIVERGENCE WHEN BITCOIN WAS 3500. AND IT ROARED TO $60,000 WE'RE LOOKING AT THE EXACT SAME TYPE OF SITUATION WHERE IT LOOKS LIKE BITCOIN IS TRYING TO BOTTOM, THE MARKET IS MIS-PRICING WHAT'S GOING ON UNDERNEATH THE FUNDAMENTALS UNDERLYING BITCOIN. >> HOW MUCH CONVICTION, BK, DO YOU HAVE IN THIS INTERPRETATION OF YOUR CHARTS, IN THAT, ARE YOU ADDING β€” I MEAN, I KNOW YOU'RE PROBABLY PRETTY LONG BUT DO YOU THINK THIS IS AN OPPORTUNITY >> I DO.

I DO I MEAN, I β€” I PERSONALLY ADDED TO OUR FUND THIS MONTH BECAUSE I THINK IT'S THAT BIG OF AN OPPORTUNITY. IN THE FUND WE ARE LONG AND GETTING LONGER NOW WHAT I WOULD LIKE TO SEE OBVIOUSLY BITCOIN'S VERY MOMENTUM-DRIVEN, SO NOW WE NEED TO SEE SOME PRICE FOLLOW THROUGH AND GET THAT MOMENTUM GOING. TO ME THE STORY HASN'T CHANGED ONE BIT. RIGHT. WE'RE GETTING INSTITUTIONAL ADOPTION WE'RE GETTING AS AN INFLATION AIRY HEDGE AND REGULATORY-WISE WE'RE GETTING WATERED DOWN REGULATORIY, IT'S NOT GOING TO BE BANNED, WE'RE TALKING ABOUT BRINGING IT INTO THE FOLD, THOSE ARE ALL POSITIVES AND IS REFLECTED IN THE PRICING. >> HOW IMPORTANT ARE THE TECHNICALS OBVIOUSLY YOU'RE LOOKING AT METRICS YOU USED IN THE PAST TO GUIDE YOUR THOUGHT PROCESS FOR FUTURE PERFORMANCE CARTER WORTH IS IN THE PANTHEON OF EXPERTS HERE DO YOU SEE A PANIC IN THE LOWS, WEEK AND HALF AGO, HE SEES IF IT BREAKS NEAR 20,000, COULD THAT TECHNICAL SET UP PLUS MAYBE REGULATORY HEADLINES WITH TEETH DRAW IT BACK DOWN TO THOSE LEVELS? >> YEAH.

I MEAN, LISTEN, I DON'T KNOW IF $30,000 WAS THE LOW. I HAVE PRETTY HIGH CONVICTION THAT IT WAS. BUT BITCOIN HAS A FUNNY WAY OF MAKING YOU LOOK SILLY. LISTEN, IF IT GOT DOWN TO $20,000 I'D BE BUYING WITH BOTH OF MY DIAMOND HANDS FOR SURE BUT TECHNICALS ARE IMPORTANT WHEN IT COMES TO BITCOIN BECAUSE IT IS DIFFICULT TO VALUE, VERY MUCH LIKE FOREIGN CURRENCY MARKETS, TECHNICALS PLAY A VERY BIG ROLE AND.

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