The Shift To Quality Will Now Commence

By Sapphire | Sapphire Crypto | 14 May 2022


It’s Always The Case

During any bearish or brutal season, one will always see and experience a shift to quality. Traditionally, when the market drops, there is a move to Bitcoin, stablecoins, and cash. This ultimately causes Bitcoin dominance to rise. Despite the great bounce today, it is simply one day and does not change what has taken place over the last number of days. As mentioned in my previous post, the breakdown to $25K has opened the door to further downside. I would be thinking more bullish had we remained in the sideways “box”. A few months ago I predicted that we would experience strong moves in May. I revisited this prediction about a month ago in a post published on the 12th of April when the market was looking a lot healthier. Note that at the time I was leaning more towards the bullish side but made it clear that if the mood of the market were to change we should expect the strong moves to be to the downside.

That being said, an extension to the downside should also be factored into an extension of the previous range. My expectation has been and continues to be in May, as outlined a few months ago. My expectation is a strong break to the upside towards the end of May. However, that could also be to the downside depending on what transpires closer to the time. At this stage, I am still expectant of a strong move north sometime in May.

I think we can all agree that the Crypto market has suffered a blow and that significant knocks require time to recover. A good bounce is a healthy reaction and does not necessarily imply that the market will continue edging higher. This can be likened to a person in an accident. The person maintains composure and makes decisive decisions, only to later lose composure once reality kicks in and the adrenaline has worn off.

I Don’t Believe The Bottom Is In

It definitely does appear as if we are to go lower, it might only be in the coming days or weeks but I don’t think it can be avoided at this stage. I would really love to be wrong in this instance but it does appear to be rather unlikely. I address this scenario in more detail in my recent article, “My Strategic Approach To The Current Crypto Market”. Once we experience another correction, I believe the market will reconsider. At this point, I would expect to see a “shift to quality”, as investors will now be extremely cautious. The recent events surrounding LUNA are causing investors to reconsider their own personal risk profiles.

72c2116b4d16d93a7f6d1296608c75814f00a9cd615a07e51c1f5e54b72c18f1.png

Free ETH, RVN & More

If the market is thrown into a violent downturn unexpectedly shortly after losing two Top 10 projects it will initiate a shift to what is perceived as strong and of real value. At this point, speculation would take a back seat. This is why my passive income models that were being utilized to buy alts will now shift to funding trading accounts. I believe that I will be able to secure excellent entry points by utilizing this approach.

It Works Both Ways

Just as an event like the one we have just experienced can strike from nowhere, so can a bullish event. Always remember that news or announcements trump technicals and even fundamentals, at least in the short term. A bullish pattern can be invalidated by a bearish event or announcement and vice versa. This is why the committed are often the ones to succeed. They are watching, taking note, and are able to react timeously.

57177c17303926bf96c05021b70ec00e0d7001e668b498446a95a91218f833ad.png

5 Passive BTC Generators - Set & Forget

Disclaimer

First of all, I am not a financial advisor. All information provided on this website is strictly my own opinion and not financial advice. I do make use of affiliate links. Purchasing or interacting with any third-party company could result in me receiving a commission. In some instances, utilizing an affiliate link can also result in a bonus or discount.

This article was first published on Sapphire Crypto.

Comprehensive list of referral links for platforms & opportunities I utilize to generate daily Crypto income.

dc85cc652d13571a8860e8d6d812239d8018dee27b8af3215e915b12c7ae0528.png

be16f86b20bd9dd120b840e96e857d9da9b6d67126aa3ef58eb1c1340ffcab37.png

Free Solana

27a19ff94b693d377db6c80d2e2d720f03e1dbfc1492961128e4d75e9f1fb431.png

Free BFG Every 5 Min (NEW)

623972a32590fc90500b125a176f2c2a02639b6a5187029ef39c9626d9db3c73.png

Free Hourly BTC

8a5d6a060400f1887bd85685d488ae493be6905b20eb5e260fd03f1f6ed4d14b.png

Even More Free BTC

How do you rate this article?


27

0

Sapphire
Sapphire

Interesting views, news, opinions and all things Crypto. Independent and honest assessments of Crypto projects and earning opportunities within the space. Opinions are my own and not financial advice. Sapphirecrypto.org


Sapphire Crypto
Sapphire Crypto

Interesting views, news, opinions and all things Crypto. Independent and honest assessments of Crypto projects and earning opportunities within the space. Opinions are my own and not financial advice.

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.