I Want to let you know why everything and its grandmother is apparently ripping to the moon the equities Market The Crypto Market the Commodities Market the bond market. Everything is on a rocket ship right now I Want to break down what's happening right now and I want to break down more specifically why I actually think it can continue going but I want to give the emphasis on really a Hot Topic right now specifically Bitcoin and why we might be seeing a little bit of a squeeze up to that ,000 mic So right here Obviously always a shout out to Michael saor think Bitcoin and that's what you should be thinking right now or one of the many things you should be thinking right now along with gold and probably bonds based on what Jerome Pal just said at the Fomc press conference today: Federal Reserve holds policy steady but indicates more doish in 2024. so that was a pretty immediate headline in the crypto sphere. In the equity sphere, fed holds rate steady indicates three Cuts coming in 2024.

So yeah, this is a little bit more of the boring Financial media way to explain what happened or you can make it fun breaking. We're so back looking like three rate Cuts expected next year and then obviously the guy who controls the money printer going absolutely crazy with it as you can see: NASDAQ S&P 500 Dow all ripping. In fact, the Dow just hit a new alltime. High the NASDAQ and the S&P are very close.

haven't officially hit it as of the point that I'm filming this, but they're all looking pretty good. In fact, here's what we're seeing: the Spy Absolutely rip. You have gold absolutely ripping in the bottom, left, you have Bitcoin ripping and you have bonds ripping everything seemingly on a rocket ship. To the upside, Dow jumps 300 points heads for a record close after the FED signals, several rate Cuts next year and the Dow it's just the Dow 30.

but if you look at the whole S&P 500 At first today it was Santa Claus mode. We had some red, we had some green, but now it's at least just all green mode. This is some green grass mode. So for the Nerds out there, from the economic Financial nerds that might be interested in like, okay, like what's actually happening it's actually these little dots right here.

These little dots are what's literally adding billions of dollars to many, many markets and you might be thinking hey man, why are little dots doing that much Well it's because these represent the voting members of the Fomc and they basically say hey, this is where we think the FED fund rate is going to be. The FED fund rate is right over here. it is going to be the Y AIS and then the X- axis is the time. So all of a sudden we're looking at 2024 and you see where the individual voting fed members are at with the FED fund rate.

This is their thoughts of where it's going to end up going. And remember, this all ties with inflation and unemployment and all that stuff. Basically, we want to see these numbers coming down because over the past year and a half they've been running it up and up and up to battle the very serious inflation that's going up. Well, what's interesting is if you compare this to the previous Fomc day, if you want to look it up, the Federal Open Market Committee meeting.

All of a sudden there's two cuts here. three Cuts here and four Cuts here. Overall, this number is coming down. Many of the members are now bringing down their estimate and if you add up where we're current L at at 5.25 and all of a sudden in this medium vote, you're going to notice 1 2 3 people are now expecting the market is now inter interpreting anticipating three Market Cuts Three Fed cuts the Federal fund rate from 5.25 Uh, now to about 4.5 So that's where the three cuts are coming from.

and obviously the market went haywire so that all came out at 2 p.m. But then Jerome Pal, the Chairman of the Fed, the guy who's in charge of the money printer. He started speaking at 2:30 and he did have one particular thing that I want to bring to all of your attention. Fed Chare Pal says it's a quote unquote.

Real possibility we're in a recession in the next year, which is partly why we saw gold going crazy, bonds going crazy and also Bitcoin so Bitcoin gold being viewed as a safe haven asset bonds going up just because yields are going down. so obviously yield Spike when the FED jacks up the FED fund rate. but now that they might be cutting it, you're going to see the market front running it, yield starting to go down, bonds going up, and then equities right here popping on. The fact that maybe just maybe we beat inflation and we're pulling off successfully.

Ideally, this concept of a soft Landing so Bitcoin itself now we're on the 4-Hour CH I Don't want to bring up that. Yes, we exploded. In fact, there was eight green weeks in a row like Bitcoin just kept going going going more recently. There was a bit of a micro flash crash.

Was it profit taking? Was it people? A little bit worried about what was going to happen at the Fomc meeting. We also had two major inflation reports this week and also that Karen Elizabeth Warren being as always, very very negative in the world of crypto, suggesting a new bill that would hamper the whole industry well, doesn't seem to matter. Bit of bearishness. You could see that in the bearish EMA Cloud But guess what? right now looks like we're breaking out, so price recently exploded back to the top of the cloud.

Looks like the cloud is starting slowly but surely to revert. And if this happens, I'm watching in the short term 43k and right after that, we'd get the official breakout of 44.7 And then that brings up the very fair question of where can it go next And that's exactly what I want to get into. But just you know. Bitcoin Trading Uh, the market cap for Bitcoin at the current value 834 billion.

But really, the Crypt sphere as a whole looking pretty freaking good. Not just Bitcoin There's a lot of winners right now in the short term. How high can it go before we get into it I Want to let you know that I am a long-term investor I Don't actively trade crypto. Maybe I should be trading actively in the crypto sphere I just don't.

There's enough going on in Futures and options in stock for me that I'm happy to just be invested in crypto. but for those of you who are active Traders Or maybe you just want to pay attention to it because you enjoy the craziness of it, the degeneracy of it. The Fomo of it all looks like we might be looking at 50k. Bitcoin Derivatives data points to Traders 50,000 Bitcoin price Target Bitcoin Bull expectations of 50,000 and higher remain feasible according to Bitcoin Futures and the options.

Market Basically talking about the world of derivatives Bitcoin Price continues to trade below its 2023 High a sign that investors may have underestimated the strength of the $44,000 resistance. Even as Bitcoin price trades below 42k, it doesn't necessarily mean that reaching 50,000 and Beyond is no longer possible. In fact, quite the opposite seems more likely, once again, more likely to occur. Looking at Bitcoin derivative metrics, it is clear that Traders ignored the 6.9% drop and remained optimistic.

So so that drop that they're referring to that was basically on Sunday Well, ever since that happened, it seems to be quickly forgotten because we're seeing strength returning across many different markets to determine if Bitcoin Whales and market makers are still bullish Traders should examine Bitcoin Futures Premium also known as the basis rate professional Traders Prefer monthly contracts Due to their fixed funding rate in neutral markets, these instruments trade at a premium of 5 to 10% to account for their extended settlement period. Data reveals that the Bitcoin future premium barely fluctuated despite the 9% intraday price drop on December 11th as it remained above the 10% neutral to bullish threshold throughout. If there had been significant excess demand for Shorts, the metric would have at least dropped into the neutral 5 to 10% range. Traders Should also analyze the options Market to gauge whether the recent correction has dampened the investor optimism.

The 25% Delta SKU is a telling indicator when Arbitrage desks and Mark market makers charge excessively for upside or downside protection. If Traders expect Bitcoin to drop in price, the skew metric will rise above 7% and periods of excitement tend to result in a negative 7% skew. as shown above, the BTC option skew was neutral since December 5th indicating a Balan cost for both calls and also for puts so the buy and the sell side. It's not as optimistic as the prior couple of weeks when put options traded add to 10% discount, but is at least showing resilience after this 6.1% correction on December 10th.

So yes, obviously this is all getting a little bit nerdy. We're getting into the nitty-gritty of it. So for me to summarize, if you look at the derivatives Market both options and Futures it's actually showing a lot more resilience than maybe just the price action was earlier in this week. But now that resilience we were seeing in the derivatives Market is actually playing out in the short-term price action where it looks like we're getting that strong price revers Rsal.

So in the very short term, a lot of people eyeing this breakout of 44 is th000 next Target 48 to 50 and that's all exciting. Once again, I'm not the active Trader here I just want to hle it, hle it and hodle it. But for those of you who are actively paying attention, maybe curious about where this could go and also on the news of that why there's so much strength in equities? Well, we're finally getting a handle on inflation. It's still here, but it's trending in the right direction.

Bitcoin Safe hav in asset, we're seeing a lot of interesting things in the derivatives Market very similar to Gold so digital gold and gold. The actual physical gold are both looking good both save Haven both battling against kind of what's happening with the Fed, the central bank. And then last but not least, we have bonds which right now yields are getting slammed because the FED fund rate is expected to drop. So if the FED fund rate drops, yields drop.

and if yield drop, bonds have to go up. So across the board, that's why there's so much enthusiasm. That's why there's so much bullishness. And if you ask me when it comes to all four of these, I think in the short and medium term, we're actually going to see a continuation to the upside, but obviously only time will tell.

so let me know your thoughts.