Bitcoin Is Breaking Down

Added: 2026-06-02

[00:00:00]Bitcoin has been breaking to the downside again, just like we did in the beginning of this year, right before crashing with 30% to the downside. The same exact price action is getting repeated again. So, in today's update video, we are going to need to be talking about that. We will need to talk about why Bitcoin has been dumping to the downside and what is likely about to happen next. We'll need to go over my Bitcoin shorting position, which now is in 100k profit. We'll need to give you an update about that and many more things in today's update video because Bitcoin is breaking to the downside while everybody is still bullish and everybody is still longing crypto. We'll need to go over that, the most important recent news events, and many more things. So, as always, let's get started with that shorter time frame. And in a shorter time frame, yes, Bitcoin has been initiating a break to the downside.

[00:01:04]Bitcoin has been losing this uptrending level of support. And this is definitely looking scary at the first site. If we're going to repeat history, we could possibly be seeing a 30% crash to the downside, which if this would be happening, we are going to see a big big break to the downside. all the way back towards levels of $40 US. Now, I do not think that this is going to be getting repeated all over again. Like we know, usually Bitcoin history doesn't exactly repeat, but it certainly runs. I do think that the trend can persist to be to the downside. However, are we going to be seeing as as a as severe crash to the downside like we have seen in the beginning of this year? No, I do not think so. Again, I do think that the trend will persist to be to the downside and we'll need to go over what I think exactly is going to happen a little bit later in towards this video. So, stay tuned. First of all, going over the reason of why Bitcoin has been breaking to the downside. Well, first of all, I do want to say that narrative always follows a price. first uh and this was bound to happen already anyway. Having a look into all the Bitcoin charts, this was bound to happen already anyway because we have been getting this rising wedge formation. We have been seeing a break to the downside. We have been seeing a rejection from this previous level of support turning into resistance. So, this crash to the downside was meant to happen anyway. And we were already having a look into this crash for the last couple of weeks. I was already saying that this was bound to happen. It is just that the narrative follows the price. We have just yesterday had a bit of a catalyst for pe for uh people to have a reason to panic, for people to have a reason to sell off.

[00:03:04]And that was just a little bit of a catalyst of why we got that move to the downside initiated. But what we got is Michael Sailor selling Bitcoin. Not much, just 32 Bitcoin. And that is a small small percentage of the portfolio of Bitcoin that he's holding. He's still holding 830,000 Bitcoin in total. Just selling off 32 Bitcoin, it's not that big of a deal.

[00:03:31]What is big of what is a big deal for people is that Michael Sailor has stated many and many times to never sell your Bitcoin. He wouldn't sell any Bitcoin.

[00:03:42]And now he does. Now he sells off Bitcoin. Now, one thing that I want to show you is this video here where Michael Sailor has stated and uh explained exactly what he meant would never sell your Bitcoin.

[00:03:56]>> If I was being more precise, I'd say never be a net seller of Bitcoin. It just wouldn't have been so viral or so catchy to say never be a net seller of Bitcoin. I think that in these periods, even if we were to sell one Bitcoin, we'd be buying 10 to 20 more Bitcoin. So you're really talking about a situation where we buy 10 Bitcoin, sell one Bitcoin, buy nine net Bitcoin, and continue to create Bitcoin. It's Yeah.

[00:04:22]So what he really means is do not be a net seller. Now the thing that people are getting scared about uh of Michael Sador selling his Bitcoin is that the whole Ponzi is kind of starting to collapse and deteriorate. However, I do not think that this is true. I do think that still everything is under control and I think that Michael Seder is just going to come out in a couple few days maybe just a week something like that and then he's going to come out and come back and say yeah boom we have bought back our Bitcoin plus more like he has stated he is going to do like he has stated he was going to do right and he's just going to buy back his Bitcoin and uh if we're going to go off of his ratio he would need to buy back 600 140 Bitcoin, which is a big net positive and is still a a big impact on the Bitcoin price in the long run, right? If he's going to buy back all of his Bitcoin again with a 20:1 ratio. So, in the long term, it's only going to be a great and great thing. I do think so. And on top of that, having a look into the last time Michael Sailor has sold. Well, this has marked the exact Bitcoin bare market bottom. So, is this going to mark the exact bare market bottom again? Well, that I don't think so. Like I've talked about in yesterday's live stream I did yesterday, I do think we're going to need a bit more capitulation like I have also shared on my uh XP profile yesterday. I shared that every bare market needs capitulation before it bottoms. And capitulation isn't bad.

[00:06:01]It's healthy. lost bare market. We have had the final capitulation with Michael Sailor selling his Bitcoin and buying it back later. Right. However, Michael Sailor selling his Bitcoin was the final capitulation that we needed for Bitcoin for the Bitcoin price to bottom out.

[00:06:19]Right now, I do not think we have had enough severe events like we have seen during the last bare market. I do not think we have had enough severe capitulation like the last bare market.

[00:06:31]So I do think Bitcoin can be coming down even lower and this bit Bitcoin breakdown can just still be the start. I do still think that Bitcoin can come down lower. Bitcoin can come down um Bitcoin can crash down even lower and this is just the beginning of this break to the downside. Now yeah definitely again shorter time frame we can definitely see a bit of a bounce. We can definitely retest that break to the downside which would definitely be very good. And if we were to retest this current breakdown, which we are getting right now at this moment, if we were to retest that breakdown, I would be willing and I would be getting interested in possibly adding even more quantity and adding even more size in my already existing Bitcoin trade. If we're going to see that breakdown, if we're going to see that confirmation in the market right now, I'm already running a position with a $210k US margin. right now sitting in a 100k profit with also some uh funding fees which are getting paid to me and this is the important part I want to go over because the funding fees they are still highly positive they are still at the 0.01% 01% mark at meaning that the majority of the Bitcoin market is still trading long.

[00:07:47]The funding rates are positive because the majority is trading long. Meaning the long positions will need to pay the short positions in the market. I'm literally getting paid holding open my shorting position in the market now. And I'm only getting paid uh from the long positions because the majority of the uh order book right now are long positions.

[00:08:14]Meaning the majority in the market is long. That is just as simple as it gets.

[00:08:20]The majority is long in the market. The majority is bullish. And the majority is bullish even though Bitcoin is breaking to the downside. Everybody is trying to catch this falling knife. Everybody is trying to become back bullish again and yeah we have been sitting at a massive level of support previously right over here. However, Bitcoin has also been falling down below this crucial level area of support sitting at about the 73k US level. So I do think that because of this more likely than not again probability wise trading is all probabilities game. It is not 100% guaranteed, right? But probability wise, I do think it's going to be more likely for Bitcoin to see even more follow through to the downside. Keep in mind again, Michael Sailor selling off here for the long term isn't going to be that bad. I do think that this is actually going to be rather a good thing for the long term of Bitcoin. However, just short term, I do think we're going to need more capitulation. I do think we're going to head even further to the downside. I do think the bare market bottom is not in yet. I do think we're going to see lower prices and we'll need to go over the exact cycle and my price targets a little bit later. First of all, well, if you are going to be getting interested in trading yourself as well or get my exact updates in absolute real time, make sure to join the platinum group with the first link down below because over here I'm sharing all of my trading updates in absolute real time. You could have also entered this position here with me. And in my platinum group, I listed out all of the reasons of why I was opening up this position. So, if you were in a platinum group, you were probably also confident sitting in the same exact position as me. Obviously, I do not give out any financial advice, but make sure to join the platinum group with that link down below if you're interested in trading yourself as well. I've showed it time and time again my track record what I'm doing in the market and time and time again I am again right in the market. So yeah just did it again over here in absolute real time. You can go back on my YouTube channel. You can go back look at all the history that I've where I've talked about and you can actually see that I know where I'm talking about.

[00:10:42]Obviously again no financial advice but I just share what I'm doing myself in the market and in my platinum group I just share a little bit extra alpha and good information about my trades right now. Yeah, we have been getting rejected by the 200 simple moving average on that daily time frame. Exactly like we have been talking about, exactly like we have been expecting. Just look at how clean this price action over here is. And then still people are telling me that technical analysis and that predicting or not predicting but having a look into the Bitcoin charts and uh kind of having a look into where things might be going does not work. And I mean here just clearly stated again it definitely does work. It 100% does work. It still does work. You just need to be um a little bit smart about it. You need to be staying level aheaded which we are doing on this channel. So if you do like that, make sure to like and subscribe today's update video. We've been getting a perfect and clean rejection by previous level of support turning into resistance. So that is very good. That is very nice. Uh funding rates again still positive but the interesting thing right now is is that everybody has been flipping bullish from this level of resistance and they are still bullish.

[00:12:02]They are still adding to their long positions. They are still they are still trying to be opening up new long positions. That is what is currently happening in the market. people have been getting bullish at this level of resistance which we have clearly um stated out many and many times on this channel and right now these same people they're still bullish they're still trying to be opening up long positions which we can clearly see in the fun funding rates and because of that I do think Bitcoin is going going to have even lower obviously we're going to bottom out when the majority of the market thinks that we are not bottomed out yet that Bitcoin is not bottomed out yet that Bitcoin is going to head down even lower. Whenever everybody of the retail traders, they are still bearish and they think it's over for crypto.

[00:12:51]That is going to be the moment where we're going to see the final capitulation and that is going to be the moment where we're going to bottom out for the cycle. But that hasn't happened yet. And that is exactly what I've stated in the beginning of this video.

[00:13:03]Yeah, for example, Michael Sailor selling a bit a portion of his Bitcoin.

[00:13:07]Now, it's some form of capitulation.

[00:13:11]However, it isn't really our big capitulation that we're hoping for and that we're waiting for. It's still bound to happen. And that is why I still do think that Bitcoin is going to drop down even lower whenever that big capitulation happens. Whenever that big news event, that news headline comes out, well, I do think that we're going to bottom out, but again, so stay levelheaded, right? But that is hasn't happened just quite yet. So, we can still have a look into lower targets. I myself am still targeting the 2024 lows which these lows are sitting approximately at the 55k 50k US level and I even do think we can be hitting levels below that previous low and we can be hitting this previous wick we can be taking out liquidity above this previous wick previous wick over here and we can be taking out liquidity below that level over there in around October of this year again I think the summer months they will be historically bearish for Bitcoin and I do think we can be seeing some follow through after the month of May where by the way again we have said it I mean I have said it every single video we're going to see the pivot in the month of May and what have we seen we have seen that pivot in the month of May exactly okay so yeah pretty much the exact pivot May was the pivotal month the exact pivot happened in May I mean you cannot get it better than that however I think the summer months they're going to be historically bearish and we we can be seeing that continuation until the month of October where then we're going to be seeing that final capitulation and then we can be bottoming out. Now, I do not know exactly how the price action is going to be looking like. Maybe it's going to be looking something like this where we're going to form a double bullish divergence right over here, right? Just like I've been talking about many times on my channel. So, maybe it's going to be playing out something like this, but let's wait and see. I definitely do think the trend will be to the downside right now for Bitcoin. The summer months, they have been historically bearish. The cycle is just getting repeated again. And all the naysayers, they're getting disproven again. All the people that have been telling me, "Oh, no. This time is going to be different.

[00:15:21]This time we're going to enter a super cycle." Well, they are proven wrong again. Okay? Uh the cycle always tends to repeat. I always tend to have a look into history until proven otherwise.

[00:15:36]Obviously, I am very adaptive in the market. If I am proven otherwise, I will not be the stubborn one saying, "Oh, no, we have to do it my way." No, obviously not. You need to be adaptive in the market. But we haven't seen any confirmations that this time was going to be different. So, I was still sticking with history. I was still sticking with the cycle. The cycle was still telling us that we were going to head lower and well what are we doing?

[00:16:03]We are headed lower exactly like we've been expecting exactly like we have been predicting. Now keep in mind again long-term capital rotation is only beginning. Long long term this is only going to be a gift in disguise. If we're going to see uh lower prices, if we're going to see this playing out right over here, it's only going to be a good thing. It's like majority will freak out. Majority will get scared. Majority will think, "Oh no, right. I I will see a draw down in my bitcoins that I've been purchasing."

[00:16:37]But keep in mind long-term it's only going to be a gift in disguise. And this is just one chart which is making me feel very bullish for the next bull market. People are asking where's the liquidity going to come from? Where's the new capital rotation and new capital inflow going to come from? And this is just one chart which is indicating me for the next cycle that we're going to see a big big bull market again. This is gold. Okay, gold has seen a biggest rally like not ever but one of the biggest rallies in centuries uh to to or well in in the last couple of years, right? We have been seeing one of the biggest rallies ever and we have always seen capital rotation from gold back into Bitcoin. Whenever gold is starting to consolidate and starting to go sideways, starting to crash a bit to the downside, we've always seen capital rotation from gold back into Bitcoin. So the same exact thing might just be happening again. And only if this were to be true, only if this one thing were to be true, I think the next bull market will be absolutely insane, absolutely crazy again. But we will need to see again some sort of capitulation, some sort of uh retail selling in the market, which we still need to see. Okay, have a look into this thread over here. Pause the video, read this thread over here.

[00:17:59]Um, this is some pure alpha. Anyways guys, with that being said, this was it for me in today's update video. If you did enjoy, make sure to like, subscribe, check out all the links down below. And anyways guys, I'll see you in another update video tomorrow