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- 👀 Three things you can't miss this week
GM everyone. This is 2036. We scroll for gems all day so you don’t have to.
Crypto is facing some headwinds, airdrops are getting diluted, and influencers pump-and-dumped the same thing last week.
Here’s a run-down of the actionable things I’m paying attention to this week 🍲…
Let’s dig in.
1/ Airdrops are getting diluted 🪂
I've been bullish on airdrops so far. But the tide is turning.
We’ll soon reach the point where too many people are farming the same airdrops. The rewards will be too diluted to make sense.
Just take Celestia ($TIA). The number of wallets farming airdrops has increased 3X in the last three weeks alone.
The best time to airdrop farm is during the bear market when there's little competition.
Now that the bull market has begun, we’ll soon reach a point where airdrop farming no longer makes sense. I'll keep you updated on this.
2/ Crypto down 📉
It's clear now that there were many more outflows from GBTC than most people expected.
The overall crypto sentiment has officially changed from up 📈 to down 📉. The consensus is we go into the 30s. This is bad for altcoins and miners.
Miners are like a call option on bitcoin. When bitcoin goes up, miners skyrocket.
But the same is true of the downside. When BTC falls, miners become less profitable. That means they're also more likely to sell off their Bitcoin reserves to pay their expenses, creating a downward selling spiral.
However, miners should make a strong comeback when the tide turns again. In the meantime, volatility is the price you pay for high returns.
The GBTC saga could take another month to play out. While we wait, the market may just chop sideways and down.
3/ Influencers all got together to pump and dump 🚮
Last week, dozens of influencers started promoting the same project: $SAVM.
In aggregate, these influencers were paid $12 million. But a quick look behind the hood showed that ∼50% of these influencers told their followers to buy but dumped their own tokens behind their backs at the same time.
So be careful who you listen to. This will only worsen as the bull market takes off.
The sentiment for this week is muted, turning negative, but the time to buy is when there’s blood in the streets 🩸. We’ll keep you in the loop on the best opportunities we find.
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DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.