2019 September Market Breakdown
2020 March Covid Crash
2021 May Crypto Liquidations
2021 Nov BTC drop
2022 April - June 3AC / Luna
2022 Nov FTX collapse
2024 April Alt Liquidations
2025 Rektober
This won’t be the last time we witness a significant liquidation event.
Many have taken hits before, as many did overnight, and many more inevitably will in future cycles.
The crypto market is unforgiving, yet it remains one of the greatest teachers.
Every setback, no matter how severe, holds a lesson that helps you evolve, if you’re willing to listen.
Survival - its tough, but thats what it ultimately comes down to.
My 2 Sats on Bitcoin price action...
Half the institutions aren't buying Bitcoin to get long $BTC
They're here as market makers yield farming bitcoin volatility.
Here's simplified "How it Works" 👇
Let's say you had $100 million you needed to use to create cash flow.
You want to make a market with minimal risk and maximum reward.
The best way to do that is to get delta neutral across spot and futures in a volatile marketplace.
The more volatility the better bc the higher the premiums paid on futures.
So you buy $50 million of BTC
That puts you long 1x
The you sell $50 million of BTC
That puts you short 1x
This puts you delta neutral aka regardless price action the nominal value of your position stays $100M
Why do it? What's leftover?
The PREMIUMS PAID by traders.
The yield in TradFi ranges based on volatility between 10-20% APY
The yield in DeFi ranges based on volatility between 10-60% APY
That's A LOT more than the ~4% you can get from US Treasuries.
That's the job of a market maker, outperform the risk-free rate of return, bitcoin volatility does that.
BUT this is just basic 101 stuff
Financial games are played to maximize profits, maybe even to accumulate as well via liquidation.
How? By unwinding the position.
If your about to sell $50M of spot Bitcoin, you don't close your short
You sell first, and if there is weakness you sell aggressively
This can drive value into your short which you close while your pushing price down as much as possible.
Sometimes this process gets synced up (Manipulation? Only if MMs coordinate 🧐) and we get big moves down to liquidation levels
These are levels where traders are forced to sell, the perfect time to reestablish delta neutral position
In TradFi over the coming weeks of chop you are collecting the nice premiums paid to protect downside
In DeFi over the coming weeks of chop you are collecting nice funding rates paid by new longs
Not every institution is doing this BUT it seems to be more than 50%
Can you blame them?
The free market interest rates of the internet economy, with BTC as it reserve asset, offer the best risk reward market making ops in 🌎
Nothing has changed for Bitcoin.
It's the most pristine form of collateral in the world, and BitFi forms the only true free market yield curve in the world.
If you're not chasing cash flow, it's always best to accumulate when others are forced to sell 🐋
Thanks for coming to my TED Talk!
First bitcoin: 16 years ago
First text: 32 years ago
First website: 33 years ago
First cell phone call: 51 years ago
First email: 53 years ago
First video game: 71 years ago
First television: 97 years ago
First radio: 123 years ago
First phone call: 148 years ago
The Ardizor’s Crew growth is getting out of control and has reached around 80 accounts (!!)
In this thread, I’ll explain why this is a big problem for crypto and why it can’t be stopped unless the algorithm gets a major change.
I’ll also share the full list so that anyone reading this thread won’t fall for it 🧵
I found the next 1000X, but it could go way higher since there's no comparison to it.
🧵A short thread about @UAPonSOL $UAP, the philosophy behind #UAP, why some sees this token as the next meta.
Bonus: learn why Elon has hinted already at it 2X in just 1 week!