Will This Be The End Of Crypto: How Will This Affect Bitcoin?

What's up everybody? Welcome back to the weekly market update. Now there is a lot to unpack in this video, and it primarily has to do with the SEC suing Binance, Coinbase, as well as Robinhood delisting a bunch of major tokens such as Solana, Matic, and Cardano. Now we will get into that in a little bit, and primarily we're going to be discussing whether or not these events are going to affect crypto price action. And more importantly, is the plan that I laid out for you about 2 to 3 weeks ago still on track? If you're interested in any of this, stick around to the end of the video. To kick things off, we are going to start with what The heck is going on with Binance and the SEC and Coinbase and all of that stuff. So essentially, Binance is currently facing 13 charges related to securities laws violations, some of which includes deception, conflicts of interest, lack of disclosure, and evading the law. Also is being said by the SEC. Now one of the things the SEC is accusing Binance of is allowing only the high-value U.S. customers to use its international crypto trading platform, which means Binance and not Binance U.S. So this violates securities regulations. The SEC is also alleging that Binance is engaging in deceptive. practices such as manipulating trading volumes, concealing ownership and operations of the platform, and mingling customer assets. And also, the SEC claims that Binance and CZ, the founder of Binance, is showing a disregard for US securities laws by operating an unregistered exchange, brokerage, and clearinghouse, as well as facilitating the trading of unregistered securities like BNB and BUSD. Now, there is already a lot to unpack here, but it doesn't stop here because Coinbase has also been accused by the SEC of operating as an unregistered national security exchange, broker, and clearing agency, as well as selling unregistered securities in connection with its staking-as-a-service program. Now, before we do continue, there is one thing we should clarify, which is the fact that all of this pretty much stems from the SEC claiming that Binance and Coinbase are facilitating the trading of securities without having the proper documentation to be able to facilitate the trading of securities. But what exactly is a security? I'm going to explain it in very simple terms. Imagine you're back in school. And you wanna buy a box of cookies from your friend, but your friend says he doesn't have any cookies right now, but he'll have a whole bunch tomorrow. So you give him your lunch money today, hoping that you'll get your cookies tomorrow. So the promise of getting cookies tomorrow is like a security. It's kind of a promise that you'll get something more valuable in the future if everything goes as planned. So relating it back to the adult world, this would be something like a company asking people to give them money now with a promise that those people will get a part of the company's profits later, or maybe they'll be able to sell their part of the company for more money in the future. This is what the SEC calls a security. And here's the funny part about this type of regulation. These rules were designed back in the 1940s, which means it is very poorly equipped to handle regulating such a new technology that is literally changing the world of finance as we speak. But we'll talk more about that later. I think the main thing that we wanna figure out is whether or not these lawsuits is going to affect the crypto markets. But I'll just get into one last little bit of news before I continue on because it is pretty important. So the SEC in total has identified 19 tokens as securities in the lawsuit. We will list them on the screen right here. But reason why this is important is because Robinhood has announced that it will delist 3 popular crypto assets, Cardano, Solana, and Polygon on June 27th, 2023 due to regulatory pressure from the SEC following actions against Binance and Coinbase. If Robinhood clients fail to sell or transfer those tokens before the delisting deadline, the company will dispose of the assets at the fair market value and credit the proceeds to the client's Robinhood buying power. Now, this is the interesting thing here because let's say that Binance and Coinbase were one day forced to do the same thing, to delist these tokens and for everyone to pull out of their tokens, it would bring a lot of money out of the crypto markets. Now, this will have 2 implications, one positive, one negative. The positive one would of course be if you pull money out of Solana, you pull money out of BNB, BUSD, whatever, then it's gonna go into either USDT or any other crypto token. So the ones that get pulled out is is going to fuel, well, basically the pump of the ones that are still existing, notably Bitcoin and Ethereum. But on the flip side, with these kinds of regulations, it's going to cause a lot of fear in a lot of investors, and that will just cause them to pull their money out of crypto. And so crypto as a whole might be facing like a loss of just millions or even billions of dollars. But is this actually going to affect the price action? We're going to get into it right now. So here we are on the Bitcoin chart where we'll discuss whether or not these news are going to affect the price action of Bitcoin. So Let's talk about it. Firstly, I'm going to hop on the 4-hourly chart, which is not something I do very often because I like to start on the daily chart. But this is important for you to understand because you can see here that this was back when the FUD began. This is when Binance was sued by the SEC. And then here is when Robinhood announced that it would delist those 3 major tokens. And if you simply look past the noise, you can see that there's something very interesting going on at the moment, which is the fact that we are having a range high and a range low formation at this area at the moment. And for those of you who have watched any of my videos in the past, you know how much I love trading ranges because It is so predictable. You have a range high, you have a range low, you come back to the range low. You were supposed to be deviating. Well, you were deviating. And then, you know, that bit of news comes out and the market tanks. Well, you know how crypto is. People get quite sentimental. But either way, right now you're at range low and it makes sense for it to go back to range high. Now, we have been talking about this level here, this bearish target here for like 3 weeks. In fact, probably even longer than that. And this bearish target has already been filled. Right now you're getting a range formation here. You've just taken out the range low. You've taken out the liquidity. It does make sense. But let's not get too caught up with our bullish bias. In fact, let us zoom out onto the daily chart to see if there might be something that we are missing. Because one of the mistakes that most people make is that they spend too much time on the lower timeframe and then they fail to get what is happening on the bigger picture. In terms of the bigger picture, Bitcoin has currently, from this range low to this range high here, you have only just tapped the mid-range within this range. And this is important because according to the algorithms that the market makers use to deliver price action, anything that is below the 0.5 is considered a discount and anything above the 0.5 is considered So the best way I can put it to you is if I were to offer you an iPhone right now for $2,000, would you buy it? Probably not because I'm selling it to you at a premium. But if I were to sell you an iPhone for $300 right now, brand new, would you take it? You probably wouldn't because that is a discount. Well, similarly, the big boys and the smart money and the market makers will always try to buy the largest amount of assets at a discount rather than a premium. So some could argue that it will go lower before it goes higher. But for now, I would say that this week is where, you know, everything will be decided. But for now, just in the immediate short term, I do think that it is going to deviate back to the range high to take out the liquidity here, especially because there are relatively equal highs here, which signifies a lot of liquidity. Now, I keep talking about liquidity here, liquidity there, but what exactly is liquidity? Well, simply put, I want you to imagine the market as a Ferrari. In order for the Ferrari to go anywhere, which means up or down, you need fuel. And if you wanna go up, fuel's gonna be down here. That's called sell-side liquidity. And if you wanna go down, the fuel is gonna be up here. It's called buy-side liquidity. So if the market makers do want to bring the markets lower, they are going to take some liquidity here just to fuel up in order to get them further down. And this is especially true after the whole banking shenanigans that happened with the San Francisco Bank, that happened with SVB, that happened with Credit Suisse. The liquidity in crypto is much, much drier than it was just a few months prior. So the market makers have a much bigger need to chop the markets around so that they can get dumb money retail traders to impatiently jump into positions before they bring it down. But essentially what I'm trying to get at here is that in the immediate short term, this week is going to be a very telling week. And more importantly, this week will probably allow us to know whether or not the higher timeframe target of $35K that I have been talking about for literally 3 weeks, are we still on track? And I think at the moment, yes, because this news, again, there is still a lot of uncertainty with all the news events going on and we are gonna need some time for them to play out, for them to develop and for more information to come to light. But until that happens, just based on purely the price action, I do think that it's still going up. We just got to be a little bit patient. Because all of this is still predictable so far. You've got range formations over here, you've got FUD, and then it rebounds, and then FUD again, and then now you're forming a range. Like, when you push past the noise, it does seem like it's still going up. What other potential targets do we have? Well, one of them is going to be here at $28,250. Now, I can even break it down to a better target and say it's $27,085 or like $27,080 because that is a daily point of liquidity over here. This is also a daily point of liquidity. At 1.2 is the immediate target for this week or even next week. By the time next week, we will have gotten more information and I will be able to give you a much better explanation of what I think the market's going to do. But for now, in the immediate short term, I do think that it's going up this week and it's probably going to reach, you know, 5%, give or take. You might not reach this in the next week. And as for this target here at $28,080, you might not reach it this week, but if the markets continue to show bullish price action, then 100% yes. And even this one right here at $29,550 is going to get hit. That is another point of daily liquidity and it is pretty significant. And of course, this is also a pretty significant point of daily liquidity. But honestly, if you are coming close to this area, you don't even need to take profit there anymore because you can simply take profit at $35,000. Now, for those of you who haven't been following me over the past month or so, the reason why I keep talking about $35K is because over here is a BTC CME futures gap that tends to mark the top for many, many pumps. And CME futures gaps can also be used to predict the bottoms for many, many dumps. For example, back here in the start of 2022, you saw a massive, massive dump. And check it out, that is a CME futures gap. the bottom of the CME futures gap, that is exactly where the bottom comes. On the flip side, you also have another CME futures gap from all the way back here, and look at that, perfect bottom. So at the moment, watch out for the CME futures gap. Like, gaps tend to attract the price, you know. For example, there was a gap here, and look, price got attracted to the gap and then it rebounds. So at the moment, I still don't see a reason from a market structure perspective and also just the range formation right now to see that, hey, it's bearish. So for now, still bullish until otherwise proven. And as for the trade idea that I personally would take is At the moment, you have displacement on the 1-hourly chart. I would've gotten in on that sweep of liquidity over there. Remember, in order for the markets to go higher, you take what? You take sell-side liquidity. And right here, you take the sell-side liquidity. And right now, look at what you're doing. You're pumping. So what I would personally do is I would mark out this block over here. That is an order block on the 1-hourly chart that is going to be at about 25,870. We'll wait for a retrace back to this area, especially if you take out this high here with a candle body close. And if you close candle body above here, then most likely, if you draw a fib from swing low to swing high, it's going to look you know, something like that. That's gonna be the 705, and then price is gonna retrace back to 705, and then it's gonna continue higher to the target of 5.5% or even higher. Also, the stop loss would be at the wick low, and that is going to be the target. This will give you a 5.84 return on your risk, and that is generally a pretty good trade to take. So that is the rundown on Bitcoin at the moment. Now, if you like what you've been learning so far in this video, I'm happy to announce that I'm about to release a free course that is going to change the way that you trade. Now I know what you're thinking. Most free courses suck absolute horse crap, but I promise you this will be different. I am actually going to teach you the way I trade. You're gonna learn about liquidity. You're gonna learn about displacement. You're gonna learn about smart money trading. If that sounds interesting to you, I want you to sign up to the waitlist using the link in the description box below, because in order to control the quality, we're not gonna be allowing everybody in at once, and it's gonna be by a waitlist basis. If that sounds good to you, sign up and I'll see you inside. So moving on to Ethereum. Now Ethereum, there is again not much to update. Ethereum surprisingly is holding up better than Bitcoin, but again, if I could trade either one, I would just go with Bitcoin at the moment because the price action is just a lot more clear. But there is one notable thing to note is that this daily liquidity here has already been taken right here during this move. And the reason why I'm using the candle bodies is because that's where most of the institutional volume is concentrated at. So at the moment And given that this key level has been taken inside a discounted zone, then we just simply jump into a lower timeframe to see if there are any potential trade ideas. And at the moment, 4-hourly does not seem like there is any. But on 1-hour, yeah, on 1-hour there definitely is. Similar setup to Bitcoin where you took out the liquidity here and that is your sell-side liquidity and then price is currently pumping. Now similarly to Bitcoin, I would just take a trade at when it retraces back to an order block, place it at the wick low. And then as for Ethereum, this is where I would target. Now Ethereum is a little bit different than Bitcoin because there is not as many clear range high, range low situations with Ethereum. But for now you can see that price has been trading between this high and this low. Currently you've deviated away from the low and so you target the range highs. And if we are looking at the range highs, then that is the liquidity that I will go for and I will draw it exactly right there. That is at $1,905. So this trade is a 7.4 risk to reward trade. It's better than Bitcoin But with a caveat, this could be a potential TP1 at $1,822. That is a potential TP1, which would bring the risk to reward back down to earth at about 3.67, which is still not too bad, but is the idea for Ethereum at the moment. Now, the reason why I have the invalidation there is because this is simply just a pretty high probability trade, is because this is just one of those trades where the odds of winning are higher than the odds of losing. Because right now you have multiple factors that are adding confluence to this trade. If you do lose this trade, like, yeah, Whatever. As a trader, you're gonna lose a bunch of trades, but what's most important is that you practice solid risk management so that whenever you do lose, you're not losing a significant amount of your account. Everyone and their mother talks about risk management, but I promise you, risk management is the one thing that's gonna keep you in the game when like 90% of all your friends like just flop out of the market and lose all their money. All right, you feel free to take the advice, but I'm putting it out there. So it's a pretty calculated risk. You know, the potential reward is much bigger than the potential risk, and that is the idea I'm going with so far. And of course, if you get a candle body close, below this wick here, then obviously your idea is invalidated. And so we— that's where we set our stop loss, right at the invalidation point. Anyways, we're not going to talk about other coins today because there is simply too much to unpack. I don't want to make this video too long. But anyways, if you watch until this point of the video so far, you are a pretty special person because not a lot of people have the attention span to sit through such a long video without clicking off to go to TikTok or whatever. So congratulations, and here's a message that I have for The truth is you can watch as many of these types of videos as you want, but chances are one missing factor that you needed all this while in order to go from zero to making 6 figures a month just from trading is simply some kind of mentorship or some kind of coaching where you have somebody looking over your shoulder and telling you, hey, this is what you're doing right, this is what you're doing wrong. If you think you might be at that point where you want to consider supercharging your progress as a trader, I am right now taking in 10 students for my mastermind that I have not done a single intake in the last 7 months. It will be a small intimate group with a lot of guidance from me and my team. If that sounds like something you might be interested in, I also want you to click that link in the description box below and book a call with me. But otherwise, I'm not going to talk about many other coins in this video simply because it's going to become way too long. So I will make another video later on this week talking about just other coins. If there is a coin that you would like to see, drop it down in the comment section below, and I will see you in the next one. Bye!