2022: Prepared for Liftoff

Jan 05, 2022

With the New Year rolling in, there are a lot of theories about what will happen next. We usually see the Santa pump around Christmas; people talk to their friends and family and get everyone on board. As you can tell, many ALT coins were pumped recently and now crashed back down with most of the crypto downtrend, but I believe this is short-term consolidation. Let’s look a the charts!

ETH/USD:

After the Santa pump hit the lower bounds of 41 RSI, this chart consolidates at the midline RSI and is looking prime for movement. We have seen this pattern multiple times in the upward trend since the 2020 halving. Significant move upwards, consolidation for a month, followed by further upwards action.

I also think that with this consolidation, the market has played it easy towards the end of the year for tax purposes, and the FED wanting to rate hike three times this year alone is causing uncertainty in the market. Price points breaking below 3500 can lead to a further downside and a longer consolidation timeframe.

BTC/USD:

This chart has a lot of information. We see here the movement of Bitcoin after each halving event compared to the next, as well as the average of all of them displayed in yellow. Many well-known bitcoin traders have discussed the possibility of long cycles, and I agree with them here as well. Mathematically speaking, the halving events reduce supply shock as we get smaller reductions for each event (50btc per block reward reduced to 25 reduced to 12.5 reduced to 6.25, etc.) This creates less volatility over time or, said differently; it increases the likelihood of smaller peaks and troughs in price action. I am looking forward to how this will play out.

Jewel/USD

This month you may have noticed two articles about Defi Kingdoms if you are a regular reader, and with that in mind, it will probably continue to be a standard feature on my newsletter for a good reason. A solid team delivering utility in a timely fashion has a lot of potential in this space. As this project is roughly four months old, we are still near the ground floor in terms of content, and the price action has been nothing short of spectacular.

After a few significant announcements, the price went from a low of 12.56 to a high of 22.56 in a few days, with very little retracement. Looking for movement back around the 7.50 range, especially if Bitcoin or Ethereum stumble further down, is something I am tracking closely. The launch of another expansion into Avalanche could be a sizeable catalyst here. Here’s how it would work: the only way to earn the Avalanche token Crystal is to use your Jewel. Through staking or providing liquidity, you earn Crystal, and these are the only means of acquiring it over time. This mechanism ensures that people interested in this Avalanche platform also own Jewel. This creation of an ecosystem with multiple use cases for the token Jewel solidifies its current price based on the lower circulating supply of Crystal.

Overall I am excited for what 2022 will bring. It will be an excellent year for adoption, especially with NFTs attracting many big names to the space. I can’t wait to share the year with your readers, and I appreciate all of your support. See you all next week!

That’s all for the free weekly Crypto Crier. If you enjoyed this article, please like and share. If you have any questions, please leave a comment, and I can answer your questions further. As with all of my writing, this is not financial advice and is my opinion. I cannot stress enough how important it is to do your own research on all financial endeavors. I hope these newsletters can help investors realize the current financial systems’ downfalls and usher in a more equitable system without middlemen.

Let’s build something together.

Crypto Crier

2022: Prepared for Liftoff

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