On May 10, a day before the bitcoin halving took place on May 11, its price fell almost to $8000 as $200 million worth of BitMEX long positions were liquidated over just 25 minutes. BitMEX is one of the major cryptocurrency exchanges. Note, if even the most liquid stock gets liquidated at such a pace, it too will undergo a substantial correction. This big selling move could have been a sell just before the news (or event) of bitcoin's halving.
GBTC undercut its 200-dma but has since bounced. This is a buying opportunity for GBTC as all tailwinds discussed in prior reports remain in effect so while bitcoin will remain volatile, it should wend its way higher in the coming months.
This information is provided by MoKa Investors, LLC DBA Virtue of Selfish Investing (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2024 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.