So not only are we sitting above the 21 exponential, we're sitting above the 50, we're sitting above the 100, we're sitting above the 200. Every single thing is pointing literally
to a higher high and a higher low. This is the trend. The trend is your friend until the end. There's absolutely no reason to become bearish. BitSwap is the hottest new way to trade tokens. Crawling all the top decentralized exchanges, BitSwap gets you the very best price and value for your trades.
BitSwap is changing the game. Try it now at bitswapdex.io. Welcome to BitBoy Crypto!
The largest crypto channel in all the Interwebs. My name is Ben. Everyday on this channel, I show you
how to make money in cryptocurrency. If you like money and crypto,
make sure to hit that subscribe button. Also, check down below in the video description
for your chance to win one full Bitcoin. Today, I brought back on K-Dub
from the Crypto Zombie YouTube channel in order to discuss whales
dumping the price of Bitcoin, what this means and how it could lead
to an insane altcoin cycle. Also, guys, if you want to trade Bitcoin
or Ethereum at any time with Bybit, you can do that by visiting
bitboycrypto.com/deals and scroll down to the Bybit section.
Also, you can get a 5% off code for Market Cipher,
our indicator of choice. Alright, guys. Let's go ahead
and jump into the interview. Hey, guys! I'm joined again this week
with K-Dub from Crypto Zombie. You guys really loved his appearance last week, so I want to get in with him talk about,
you know, with the Bitcoin top. We also want to talk about this interesting story going on with the analytics
from whale wallets dropping and what that could possibly mean. So, Kyle, as always, welcome back
to the channel, glad to have you on. Thank you so much and I do appreciate that,
you know, it was such a great success. The first time I'm back on the channel,
and I do appreciate it man, so thank you. Yeah, absolutely. So this week,
we've seen the price of Bitcoin.
We've seen the highs and the lows. As the book A Tale of Two city says, "It was the best of times;
it was the worst of times." We hit $62K for Bitcoin. Exactly $62K on Bybit. And then we got a gigantic price drop. I think like 11% or 12% drop,
maybe even a few more percent than that. And a lot of people are worrying about, "Was this the bull market? Is it over?
Are we going to go in like a mini bear winter here?" What is kind of your opinion on what we're
seeing right now for Bitcoin and the price? Oh, I think it's a combination of a few things. I think we're seeing the fact that we do have
a lot of people actually are in profit right now. Obviously, we do have– don't forget, you know,
traditional aspects of the market. They do move in quarters. We have just, you know. We're starting to come to the end right of Q1, so we are looking for that profit-taking to happen, but I do think a lot of times that there's
this sensationalism over the data, and it all gets lumped into one category.
For example, you know, we had a little
bit of a FUD the other day where we saw essentially CryptoQuant pointing out
the fact that we had a billion dollars worth of Bitcoin that was moving into the Gemini wallet. Then we had some differences as to whether
or not that was part of an internal transfer. Then some people are saying it's from BlockFi. But at the end of the day,
you don't really know what that's for.
It's assumed that it could be for selling, – but it also could be for custodial purposes.
– Yeah. And getting back to your initial question, why are we seeing these whale wallets
actually moving lower? You know, as in like above– what is a whale wallet?
Over 1,000 Bitcoin or 10,000 or something? Well, there's different classifications,
different levels. The chart that we've been specifically looking at is
the number of wallets with over 1,000 Bitcoin in them. And it's had the largest drop percentage-wise that I think we've ever seen for whale wallets. And what could that possibly mean? I think what a lot of people don't really actually
understand is that it's very– like, okay. A lot of people look at it and they say,
"Well, there's one wallet.
That's one individual," but I mean, if you use a ledger device, you know that every time you send
and receive Bitcoin, they generate a new wallet address. And what a lot of people don't know about these
custodial solutions is that for safety purposes, they actually recommend and do go
through processes of splitting – larger wallets that they're holding
for their custodial clients.
– Yeah. So it doesn't actually mean that
because, you know, for example, has anybody analyzed how many, you know,
lower wallets are like wallets that have 500 Bitcoin? Maybe they've doubled in the time
that we've had 1,000. And what I think could be happening,
and I'm not an on-chain analyst, but I bet if somebody took a deeper look, you'd probably find that some of these
smaller wallets are actually increasing.
So what I think is happening is really,
it's just redistribution, you know? We're still seeing accumulation
on the actual charts. We're not seeing lower lows. We're not seeing lower highs, okay? Even though, yes, we did have a–
some people say it's a "double top", – but it was a higher double top, right?
– It was. – It went from $58k to $62K.
– It was considerably higher. – Yeah. / – Exactly. So until I see something that, you know,
is definitely putting in a macro lower low, there's no reason to be FUDing over this. So in my opinion, with those wallets, essentially,
is that it's ultimately redistribution and maybe some minor Quarter 1 profit-taking, but I don't think it's anything to
consider the top being in, you know, compared to previous cycles.
– Yeah and I tell you that is– That is some killer insight right there because I've been kind of at a loss for– I mean,
redistribution just say it at face value, it seems to make sense, but actually I think we're going to go and do
some data research here after I get off this call and find out about the numbers of the other
wallets because that could be interesting. And, you know, here's the thing.
Is that some of these wallets,
they've got massive amounts of Bitcoin, and they're really big like custodians or whatever, but we've seen the price of Bitcoin
go up so dramatically that I think something else that
people have to consider is like looking at my own portfolio, if I look at my own portfolio from what it is
today to what it was six months ago, and the massive amount of changes, like, all of a sudden, what I felt like was a
comfortable number to be sitting in one place. Now, I'm not so comfortable with
all of that money sitting in one place. I might want to disperse that to different wallets in case of a hack or, you know, who knows what
might happen when it comes to crypto. I like having as many wallets as possible. I don't want to have just one place for all my cryptos. I think you probably relate to that. Right, I mean, as people might
diversify their portfolios, you know, once you start to
accumulate a lot of crypto, you want to diversify your crypto
allocation and locations as well.
You know, I can't be an advocate of
putting it on a centralized exchange. Not your keys, not your coins. But the reality is that a lot of people don't
actually want to take those responsibilities. People are used to living in a world where,
you know, you lose your password, you call up your bank and then, you know,
they give it back to you, right? So that's where things like Grayscale
Bitcoin Trust come in. But you're also seeing some people
have some in cold storage, maybe some on the exchange, maybe some that's, you know, getting some
percentage APY over on something like BlockFi.
I think they do that. Which– why would, you know. That's up to the individual. – That's just a way of protecting your funds, right?
– Right. And I do think that we are seeing shifts
right now, you know. And it's really difficult. One of the things I wanted to talk about too is
if you look at the Bitcoin dominance, right? The Bitcoin dominance had a sharp pump,
and then it had a bit of a pullback. So you also notice that, you know,
everybody pretends like these guys, – like, they're only in Bitcoin and
they're only looking at Ethereum.
– They're maxi. Well, okay, maybe like from the institutional level, but a lot of these guys have personal accounts. They definitely have Binance accounts. – They're certainly buying in their private funds.
– Yeah. And let me tell you something. They are allocating to altcoins.
You can see it in the charts.
You can see it in the percentage. I mean, the amount of interest
in just things like Cardano, you know, recently even, you know,
you're seeing this. So I also think that that has something
to do with it, you know? I think that some of it is also
allocation to altcoins as well. I mean, we could– it's up to you
if you want to pull up charts or not. We could do that.
We could not do that. But, I mean, I could show you right now, the dominance level is at a very
critical point for Bitcoin. Yeah, if you want to show us that,
let me give you permission there where you can share that screen. – Yeah, sure. We'll do that real quick.
– Go ahead and show that. Alright, so look right here, and this is just to
sort of calm everybody's mind right now. So everybody that thinks that,
you know, the top is in, it's over, first of all, I just want to point out, this is the 21 exponential, this green line. This is one of the most important lines. It's held us through the 2017 bull
and this bull so far. And you could see that, yeah,
occasionally, we dance below it, but we've had nice bounces off of it. So not only are we sitting above the 21 exponential, we're sitting above the 50, we're sitting above the 100, we're sitting above the 200. Every single thing is pointing literally
to a higher high and a higher low.
This is the trend. The trend is your friend until the end. There's absolutely no reason to become
bearish until we start falling, you know, out of some of these
lower levels right here. And you can see, all we're doing, guys, is all we're doing, okay, maybe there's FUD,
maybe there was some panic selling. And, you know, what happens is
an article comes out, and somebody freaks out about whale selling, then somebody actually sells, and because they start selling, – they start triggering others to sell. Exactly.
– It's a self-fulfilling prophecy. Yeah. And then it gets– it' like an avalanche, right? It's like a bird that lands on a branch, drops a little bit of snow, and next thing you know people are getting
killed at the bottom by giant– right? So that's essentially what we're seeing right here.
And this is just simply accumulation pattern. Look at this. We're moving sideways, we're winding up tighter and tighter, and we're looking for a breakout
move to the upside. So that is essentially what we're looking at. Now, if anybody was worried
about falling any lower, I know there's those dooming boomers out there, I'll show you exactly the levels. This blue box territory right here, okay? You can see this is where we had
a lot of smaller accumulation.
You can see by the VPVR right here
where it jumps out. And then, worst case,
you have the whale cluster right here, – which I can show you, guys–
– $47K. We talked about $47K being
a huge level of support on the channel. Right. And the reason for that is
because of these whale maps, okay? This is where the institutions are buying. Right here. You know, check out Whalemap
if you guys haven't seen them, and you could see,
this is insane amounts of demand. These are not guys that are looking
to come in for a 5%, 10% flip. These are guys that are coming in for
the long haul, you know, the Michael Saylors, "We're holding this for 5-10 years." "We're putting this on the balance sheet," right? And not only that, but you've also seen massive
accumulations around the $55,000 level as well. And let me show you something too
that's a little bit mind blowing right here. But if we actually just take from
the previous peak in June of 2019, you can see that all we're doing is retesting
previous resistances and flipping them support.
But people freak out. You can see we had our first 30% drawback here. So basically, essentially, what you see what we're doing is really just
turning previous resistance support. And I know that these drops can be scary, but as you can see with this 30%, all we did was we had a resistance down here, we pumped up to a new high, we came back to confirm, retested it and bounced up higher. And look what happened when we fell again. Exactly to the same level. And the same thing is just going to keep
happening again and again and again.
And for those of you that don't really understand
the significance of something like the Puell Multiple, this is really what you want to look at. You want to look at Bitcoin miners
versus their revenue. And you can see that whenever we tend
to get within this band, that's when the markets are overheated. That's when we should kind of worry about it. And we're not even there. Yes, you might argue that
we're getting close to that level, – but we haven't hit that level yet.
– Yeah. And until I start seeing something,
you know, like this showing up, then I have no reason for me
to essentially be bearish. – So, yeah, I mean,
– Yeah. as far as I know, the trend is your friend, – and it's looking great on my end guys.
– Bullish. – Looking great on my end. I don't know
what you're freaking out about.
– You guys heard it here first. Yeah. What you take from this video is Bitcoin is bullish. That's it. You'll watch this video all the way through
and you say at the end, "Wow. We're still bullish." Everybody believes it, you know. You get these people that are– you know, people try to overanalyze too often, and they try to figure out, like, why
it's doing something different right now when in reality it's just doing the same thing.
And that's been the strength of, you know,
simple channels like yours and mine where we just tell you what's happening, and we don't, you know, go back
in what we think every other day. It's, you know, it's funny because
it's like when the price is pumping, it's like, "Ah! Yes, it's demand
and it's the future," but when it's dumping,
it's like, "It's manipulation!" – and it's like, guys, no,
– Yeah. this is just the ebb and flow of a market. This is how it works. You have your pumps. You have your dumps.
– You have your retests.
– Yeah. Like I said, the trend is your friend. We're going up, man, so, yeah. – I hope you got your moon boots
– Oh, yeah. 'cause this ride is not over yet, so. I love it. Let's get on the rocket. Well, K-Dub, as always, thank you
for joining us on the channel, and for everybody else, make sure to go
subscribe to his channel, Crypto Zombie. We've been friends for a long time. Love seeing him do well, so make sure let's get him some new subscribers so you guys can see this great content
he provides you guys every day. And, guys, drop us down below in the comments. Let us know what other people in the crypto space
you want to see us to collaborate with. Kyle, you got anything else
you want to leave us with? No, I just want to say thank you so much and also like I was showing
you guys earlier, you know, I'm not 100% confident that this move is over.
There could still be some, you know,
accumulation in this period, but as long as you're not over leveraged,
dollar-cost average is your friend. And, yeah, I mean, like I said,
the trend is your friend until the end, and I'm just going to leave it there, so. – Absolutely.
– There we go. Alright, guys. Drop your comments down below. That's all I got. Be blessed. BitBoy out..