Hate to say, I told you so

Today Bitcoin declined to its lowest level in 2022, hitting a low of $30,330 on Bitstamp. It wasn’t just the crypto space that had a crash today nearly every single market except the U.S. dollar was deep in the red today as investors seem to finally have taken inflation levels at 40-year highs seriously.

We saw the Nasdaq Composite close 4.29% lower and the selling was not limited to those strongly correlated to Bitcoin. Crude oil and even gold had strong moves to the downside with CL (light crude oil) declining by 6.43%, and even the safe-haven gold losing 1.66% today.

The tech industry has been the hardest hit by the Fed’s monetary tightening and we can surely put Bitcoin in a broader sense into the technology sector. Luckily, we saw this coming and recommended entering a short position in Bitcoin on Thursday May 5th from $36,000, so were did we put our target? The truth is we have yet to put in a price target for the trade as we suspect that the selling pressure even after today is far from over.

As a Bitcoin Bull it still stings and today is one of those times when “I told you so” doesn’t make it any easier.