It’s Bad Crypto is This Low Already, Before the Real Economic Fallout Has Even Begun

So like many of you I woke up this morning to see the markets down pretty big. I'd been saying 25k price of Bitcoin was coming, though I didn't expect it to come so quickly… that's what she said. My bottom was $18,800 but we'll see. Here's the thing, the economy is bad, but it's going to get much worse. In a recent post I talked about how gas prices are up high, food prices are up high, prices of everything are up high. Add to that inflation doesn't seem to be coming down anytime soon, and we're still dealing with labor shortages and supply chain shortages. Up until now it's really only been the most vulnerable people suffering, those with the lowest incomes, most people while they feel these prices increases haven't really been forced to change their behavior in terms of not driving places or going places they want to go, cancelling vacations changing what they buy at the grocery store, etc. Heck OnlyFans recently reported they're not hurting at all despite the warnings we've been getting from strippers that they're seeing a recession coming based on the leading indicator that strip clubs are empty.

Here's the thing though, for Bitcoin and crypto as a whole to be this low before we've even really begun to see things get bad is not good. Once layoffs start happening and people really people have less money to spend which means they only spend on necessities which further causes other companies to suffer ie people stop eating out, stop buying dumb shit they don't need from the stores, etc, this then causes a cascading effect where the restaurants and companies who make these products suffer, builders stop building, money stops flowing. My point is we haven't even begun to see things get bad and Bitcoin is already at under 24k, how low will it, and the rest of crypto go once things really start to get bad?

Now at some point people will say Bitcoin is a buy at XYZ price, but what price is that, and if enough people are suffering and struggling just to buy food and fill their gas tanks not only do people not buy crypto, but many "diamond hands" will be forced to sell to fill up their tank to get to work or to pay their rent or mortage when they are laid off.

Another interesting thing will be to see how markets react to all the chaos happening in crypto right now, typically crypto follows stocks but we may see stocks follow crypto and dive today and this week.

For over a decade saving has been punished, living beyond your means has been rewarded, debt has been rewarded. If you've been conservative with your finances and have cash this may be VERY GOOD for you if inflation doesn't get too out of control and if you can manage to keep your job and income.