Hearing me to the phone the way that big pop in crypto and Bitcoin comm moving alongside with stocks, they Phil Streible joins us chief Market Strategist at Blue Line futures. Alright, Phil. So, when you look at the reaction to the Ethereum news, what do you see? You see sell.
We saw big flash in the pan on the 28th. We rallied about 9% We gapped up the next day higher. But since then we’re just in a sideways consolidation. I mean, really, you want to see some upward sustainable closes over that $4,000 level? And you really don’t want to see it dropped below 3600? Because it’s going to start to fill that gap. Now the question is, is there that demand where we saw like, I mean, it was an unprecedented amount of money going into the Bitcoin, ETF, it was seemed like it was it was monumental. That was that much firepower, and it will then attract the same amount of money in the uranium, I just don’t know if it’s got that same bang. Now, if you get back into the Bitcoin, you really got to see a close over that 70,000 In order to gain that momentum continuously going higher. And we’ve seen some moves above it, but they’ve all been failed breakouts.
Yeah, that’s where we’re kind of where we were when we you and I spoke last Friday, right? It’s kind of been some failed rallies. The theory move was big, of course, but still below the year to date high, which is below the old all time high. And a lot of people give me grief because they think I’m just kind of looking at it from a negative lens to begin with, because I’m a cynic on the stuff but like, right, wrong, you know, the charts don’t look that great, especially when stocks are breaking out.
I know, you got to see, I mean, the charts got a move I used to I used to work for a guy and he used to tell me, Phil, just give me a chart. I don’t care what commodity is. And it’s got to be moving from the lower left of the chart to the upper right. That’s the one that we’re focused on. So there’s a lot of other plays out there that are just doing a lot better than cryptocurrencies right now. Yeah. Keep them on your radar. Yes, you should own some cryptocurrencies at some certain degree. But I mean, asset classes that move 10% In a day are not currencies, they’re not developed currencies, if the US Dollar was swinging 10% in a day, by Lord, there’d be a run on the government run on banks, and God knows what else you know. So, you know, it’s not it’s not a crypto, it’s not a currency, it is an asset class that is a derivative of energy that has some degree of store of value. I don’t know what happens when electricity will go out. But, you know, I mean, again, it’s got to continue to move up with equities going up, it’s got to do it.
I think the generally the two still remain connected at the hip. I mean, generally soda why, if you see, the way Bitcoin peaked out in March, that was the same time as Nvidia made the highs. So you know, it kind of loose correlation to momentum trades as a whole, you think it’s gonna warm back up? One of the things I’m thinking about for Aetherium, though, is like, what’s the pitch? You know, for Bitcoin? It was it’s, the pitch has always been digital gold, and I can argue to my breath is out, that ain’t some more like the opposite. But like, what’s the theory and pitch to the average person, you know,
I don’t know, in the in the thing with a theory on is that, you know, I always praise the exchange and everything, they do a great job launching products, but I really think that it was a failed endeavor when it was the micro Aetherium. Because Aetherium is only $3,700 Right now, and the micro contract is a 10th of that. So we’re talking like 300 bucks and the margin on it’s like, $60, I mean, it’s just, it’s just you’d have to accumulate so many contracts, in order to just get some movement, you’re going to generate a lot of Clash got bit offers to overcome. So you know, we’ve really kind of shied away from the micro Aetherium, but Bitcoin micro Bitcoin at a 10th of that, that makes a little bit more sense. It’s 6000 $7,000 moved around in the account. So it’s something that people can build and add to and things like that. So it just, it’s just not there. You know, I mean, and you go back to the equity markets, we had a nice, nice little recovery here today, nice little snap back here, disappointing when the video came out. And then all of a sudden, we start to sell off that harder. PMI data really was kind of the knife in the side of the interest rate cuts this year yelling at a price and then one at the moment. So we’re really gonna take this week and digest and try and find those commodities that have the strongest underlying fundamentals.
Yeah, what do you think the vibe is going to be? You’re coming back after a holiday break from Memorial Day to your point, you know, it got a little bit messy with bonds again this week, but we’re still able to bounce back so it’s not like it ruined the party, but it did kind of seem to cast a pall over some of the recent optimism through
some water on the flame that’s for sure. So I mean, we’re gonna look obviously when you’re going into the weekend, you go into a longer weekend you want to monitor geo geo political headlines. So keep an eye on the crude oil market. You know, all weekend long see if there’s any developments there. At least the Sunday night trade and stuff that things were heating up a little bit here with it with the Houthis. And in some attacks on some oil tankers and stuff earlier in the session today, that’s what got us positive. So we’ll keep an eye on now we’ll keep an eye on the gold market Dollar Index horse over into the weekend, but you go into next week, you got consumer confidence that might come in a bit lower. I mean, the consumer has been is actually been weakening, you know, you’re looking at like retail sales here. You look at retail sales in China, who knows maybe this higher for longer? I think it’s starting to have an impact on the housing market people with debt burdens. I couldn’t imagine, you know, the debt payment if you were writing some, you know, credit card debts and things like that at these higher levels. You just, I don’t know how you dig yourself out of the hole. So interest rates got to come down at some point I think that they will around the election.
Alright. Good. Catch up. Nice look across the macro frameworks all across asset Friday analysis. Thanks, Phil. You
have a great weekend, man need to
feel stable Blue Line futures. All right, let’s go to a stock that continues to disappoint and update on Boeing. Want to keep us on the tabs of the masses?