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Wednesday, May 18, 2022
Is by today’s newsletter Jared Blickrey, A reporter focusing on the Yahoo Finance market. Follow him @SPYJared
It was an icy year for Crypto, which turned bitterly cold during last week’s stable coin meltdown.
As Bitcoin (BTC-USD) flirts with levels not seen until the end of 2020, an institutional trader is making a bold call for a new “bull market.”
After Bitcoin broke a record high of around $ 70,000 last November, Yves Lamoureux (a / k / a “Canadian whale”), president of the macroeconomic research firm Lamoureux & Co., wrote that we were about to enter a crypto winter. Six months later – to be exact Monday – he called last.
“I’m looking extreme [negative] Feelings from crypto holders, just like we saw in the other ones below, “said Lamorex.
Bitcoin is famous for its external size sales, some of which have reached 80%. But Lamoureux does not believe anything that is needed at this time to shake the weak hand. Instead, Bitcoin has come down to two stages: initial sales and consolidation, followed by a decline in Terra USD (UST-USD) and Luna (Luna-USD).
“Instead of a big greed, Bitcoin has broken it into two parts – creating a less negative side than a traditional drawdown. It looks complete in terms of a bear market,” he says.
Looking at the technology, things still look uncertain. Bitcoin has recently crossed last year’s low and is hovering around $ 30,000. Cryptocurrency is famous for false breaks on both the downside and the reverse side – so this could be another fake out for the Bears. But if Bitcoin breaks from the recent low of about $ 25,000, the crypto winter will probably remain intact and we would expect a quick trip to $ 20,000 and then perhaps $ 13,000.
Over stock, things haven’t been very good this year.
Nasdaq (^IXIC) and Bitcoin are trading on the lockstop with the highest correlation on record. This suggests that in order for Bitcoin to accumulate, it must either be detached from the stock or both must trade higher together.
And in the midst of extreme negative sentiment and price action on stocks, we are starting to see some bullish calls from Wall Street.
Strategist Michael Hartnett, writing in Bank of America Global Research’s latest Global Fund Manager survey, believes that US equities are due to a meaningful bounce. Hartnett notes that managers of $ 1 trillion have held their highest cash holdings since 9/11, when the BofA-owned Bull & Bear Index fell to just one reverse purchase level. While the team is still not calling for a perfect bottom of the stock, writing stocks “could be prone [an] Upcoming bear assembly but [the] The final low [are] Hasn’t arrived yet. “
Bottom line: a flashy bounce on beat-down growth stocks could be the catalyst for bitcoin to close the diem. What happens after the first leg up – if it is implemented – is in the air.
For its part, bullish on Lamoureux stock, too, has recently called for a three-year bull market. “It’s often I don’t fully invest,” says Lamoureux. “I’m here now. Technologies will hardly reflect as inflation declines. See FOMO.”
What to see today
7:00 AM ET: MBA Mortgage Application, Week ending 13 May (2.0% in the previous week)
8:30 a.m. ET: Housing begins, April (expected 1.757 million, 1.793 million in the previous month)
8:30 a.m. ET: Building permit, April (expected 1.817 million, 1.870 million in the previous month)
6:00 ET: Lower (Less) It is expected to report consistent earnings of $ 3.23 per share on earnings of $ 23.81 billion
6:30 ET: Goal (TGT) It is expected to report consistent earnings of $ 3.06 per share on earnings of $ 24.34 billion
7:00 AM ET: Analog device (ADI) It is expected to report consistent earnings of $ 2.11 per share on earnings of $ 2.84 billion
8:30 a.m. ET: TJ Max (TJX) It is expected to report consistent earnings of 60 cents per share on earnings of $ 11.6 billion
4:05 pm ET: Cisco (CSCO) It is expected to report consistent earnings of 86 cents per share on earnings of $ 13.34 billion
4:15 pm ET: Bathing & Physical Work (BBWI) It is expected to report consistent earnings of 53 cents per share on revenue of $ 1.44 billion
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