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Cryptos: Welcome to the “Lunatic Fringe”

A crypto hedge fund going all the way down to $0 is one way you know it’s “a Grand Supercycle peak”

by Bob Stokes
Updated: July 14, 2022

The bankruptcy of crypto broker Voyager Digital has been widely reported.

Now, another crypto investment "bites the dust."

This time -- it's Three Arrows Capital (3AC) -- a crypto hedge fund which went from "$10 billion to zero."

Here's a July 12 headline (Bloomberg):

Three Arrows Co-Founder Re-Emerges With Tweet Accusing Liquidators of 'Baiting'

The entire crypto market is down by more than $1 trillion since April.

Of course, Bitcoin is a big part of the crypto universe and its big decline since its November 2021 high of $68,906 has contributed substantially to that drop in the overall crypto market.

Bitcoin dropped all the way to $17,614 just in June.

And, speaking of Bitcoin's top, our November 2021 Elliott Wave Financial Forecast said this just five days before that top was hit:

Last month, the Elliott Wave Financial Forecast listed some of the many bull market milestones produced by cryptocurrency bulls over the course of 2021. This is the lunatic fringe of a Grand Supercycle peak...

So, the decline of Bitcoin and the implosions in the world of crypto were not surprising to our Elliott Wave Financial Forecast analysts.

Our Elliott Wave Financial Forecast continued to provide updates on the world of crypto, including the February issue in which this chart and commentary were provided:

TokenLoss

The Squid Game, a crypto coin based on the TV show of the same name, was another noteworthy issue EWFF covered at bitcoin's peak, as it had already crashed... It then rallied to November 6, and this updated chart shows what happened after that; another 97% decline. But get this: The Squid Gamers are still bullish.

As of this writing on July 12, Squid Game crypto is trading even lower than it was in February.

The question now is: What's next for crypto investments?

Get ongoing coverage of the crypto world by following the link below.

Even If the Stock Market Gets Uglier … You Can Be "Sitting Pretty"

Market volatility is not the enemy -- IF you have the right team of market analysts on your side.

Elliott Wave International's analysts helped subscribers before the start of the January 2022 decline in the Dow Industrials and S&P 500 index.

And, right now, our analysts are again providing important market insights to subscribers they expect will keep them ahead of the next big stock market price move.

These financial insights are based on the Wave Principle -- which, in turn, reflects the repetitive patterns of investor psychology.

Tap into those insights now as you follow the link below.

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“Lizard People” and Other Conspiracies: What’s Social Mood Got to Do with It?

In a word, everything. From political conspiracies to Covid-related ones to the theories so bizarre that they seem too silly to be relevant, we live in the golden age of conspiracy theories. And while it’s easy to blame social media for their spread, we think the roots go deeper. Watch our new Mood Riff episode where the host Greg Eident explains some fascinating socionomic findings on the subject.

Investing: What You Can Learn from Mom and Pop

Sentiment indicators provide valuable information, yet they are best used in conjunction with Elliott wave analysis. Here's one time-tested indicator that has recently displayed a "big surge."

Market Trek: "No crowd buys stocks of other countries intelligently"

When you track historical patterns of foreign investments in U.S. equities, an important picture emerges. Watch as our Market Trek host Brian Whitmer walks you through a chart of the collective foreign buying interest going back to the 1990s and through today. (Brian's global destination is South Korea.)