El Salvador Rising, Thanks to Bitcoin

Bitcoin has record hash rate and whale accumulation going on right now.  Buying opportunities are at all time low prices and all time high buying opportunities.  We expect a big pump in February, we just down’t know when in February.  Below is a chart from Crypto Zombie, showing this projected pump.  We don’t know exact details, yet, nor timing.  February is looking like a good month:

 

We have been thinking February for a while now.  Bitcoin needed to cool off for a while.  We saw it last summer and again in late November to present.  We believe this will end in the near future.  We expect a pump soon.

Here is another Crypto Zombie chart showing balance on exchanges dropping fast.  Eventually, Bitcoin price will diverge from balance on exchange: 

 

Before we get to the next related chart to the above one.  We should forward the Sven Henrich (of Northman Trader) tweet about how Bitcoin is the vaccine, against the real virus in America, inflation! Click here to view on Twitter.

 

Entity adjusted dormancy flow, in the next chart, shows the buy signal flashing right now which has done so six times since 2009:

Bitcoin is that oversold right now.  Whales know it.  See today’s update to the Whale balances chart:

 

Remember, Whales have 1,000 BTC or more in offline storage.  Bitcoin is now 62% below the Stock to Flow model, extremely oversold, looking for a major breakout which has not come:

 

Whether February is as bullish as we think it will be, or not.  The Fed cannot afford this March rate hike as announced as a possibility last Wednesday.  Below is how initial rate hikes have been received by markets in the past:
 

History of rate hikes and stock market reactions:

• 12/2015 rate hike, 6 more hikes before a bull peak in 9/2018.
• 6/2004 rate hike, 16 more hikes before a bull peak in 10/2007.
• 6/99 rate hike, 4 more hikes before a bull peak in 3/2000.
• In 01/2022 we have seen a 20% -25% stock market crash in different indices BEFORE the first rate hike!  Scary!

Thus, we are firm in our belief that rate hikes won’t happen in January, and Bitcoin could soar due to this inflation.  IF that is wrong, and the Fed does hike rates in March by 25 bps.  At some point, in the second, or third quarter a deflationary crash would scare the public into Bitcoin.  It works as an inflationary hedge.  Since we know 65% of the transactions buying these Bitcoin dips in January, are institutional investors at over $1 million per transaction.  Plus we know, a member of the Belgian Parliament, members of the US Congress, and the Senate are all pouring money into Bitcoin as an inflation hedge.  Most likely, that means rate hikes will not happen, and inflation will be the beast that hurts the economy in 2022!  Buy and hold Bitcoin, there will be a price increase, it is only a matter of time!  El Salvador’s President Bukele says this, and his country since approving Bitcoin as legal tender has seen 4.73% GDP growth in 4 months or so.  Many countries have taken notice.  Expect the flood gates to open this year!  Bitcoin will be legal tender in several countries by 12/31/22.
 

Neutral ATM is here to get everyone off of zero Bitcoin.  

 

Give Neutral ATM a try.  We have low rates, convenient locations and we are expanding. Contact Neutral ATM, we will answer all your questions about Bitcoin and using our ATM machines. Find a Neutral ATM Bitcoin machine location near you.