Crypto Newsletter: May 9th '22
Bitcoin dump and Crypto Investing Club anns
This newsletter is focused on current events in the crypto space, sharing projects and people I find interesting, and serving as a resource for upcoming crypto events; locally here in Colorado and also larger events across the U.S.
Howdy crypto-heads! For May we’ve got a shorter one where I’ll be reviewing Bitcoin’s recent movement and the announcements for the Denver Crypto Club investors group.
Bitcoin drops a nice one
Denver Crypto Club announcements
1. Bitcoin below $34k
As predicted in my last newsletter, we saw Bitcoin attempt a breakout only to get shoved down on the news that interest rates were raising. The way this price drop played out looks like a classic scenario of retail vs. whales with the big money market makers selling into bullish liquidity at two crucial points in April until retail capitulated in May.
With two attempts to continue the bullish rally from March being denied, the Bitcoin market decided it was time to head down. The next big support is around $30k but trying to predict if it will hold feels like a coin flip.
I believe there is a 60% chance we eventually break under $30k which is based on fundamental analysis in line with my previous bearish sentiments about riskier investments like crypto taking a hit when interest rates go up. This means I think there is a 40% chance we bounce and head back to the mid $40k’s and hopefully consolidate sideways a bit or keep rallying up to test $50k.
If we break under I’m looking at $24k for my next support level and if that fails I’m looking to the 2017 bull run ATH of ~$20k which is also when a bunch of BTC recently bought by Michael Saylor’s company Microstrategy begins getting margin called.
It’s a volatile market right now so my plan is to move a bit of cash to the exchange and buy a little bit near $30k, a bit more if we get close to $24k and the rest of it near/just above $20k. I doubt we’ll get all the way to $20k but it’s always good to have a plan! Stay safe out there.
2. Denver Crypto Club investor announcements
The first investor pool has been purchased! I am happy to share that the majority of members voted to split our April pot equally amongst BTC, ETH and XMR. I’m glad it worked out this way as we can now compare all following investments to our “baseline” portfolio comprising these three great cryptocurrencies that are quality long-term holds.
Our next member meeting will be on:
May 26th (Thursday) from 7pm-8:30pm at Smoky Hill Library (Arapahoe Libraries), 5430 S Biscay Cir, Centennial, CO 80015, USA.
If you are a paying member in good standing you have already received a google calendar invite for this date that includes the zoom information for remote attendance. If you are not a member but are interested in learning more you’re welcome to attend in-person! Please see the previous newsletter for details about the DCC if you’d like to familiarize yourself with what we’re up to.
Also, I’ve already reserved the library for our June meeting but still need to send members the calendar invite/zoom info for this one. I will confirm this meeting’s details after we get together in May but if you want to put it on the calendar here are June’s details:
June 30th (Thursday) from 7pm-8:30pm at Smoky Hill Library (Arapahoe Libraries), 5430 S Biscay Cir, Centennial, CO 80015, USA.
That’s it for this edition, stay happy and healthy and I’ll catch you soon!
Much Love,
~Matt