TERRA CLASSIC LUNC - Major Swing & Miss This Morning! Trouble Brewing or Nothingburger?!

Hinzugefügt: 2026-05-15

[00:00:01]You know, yesterday was obviously a red day for the crypto market. A day that we didn't enjoy in terms of LUNC because it was a red day as well. But we've started off on kind of a similar note here today. Some profit rate taking, some leverage liquidations, and another bad macro report. One that was actually a huge swing and a miss, which we do need to have a discussion about in this video. Um we'll discuss leverage, we'll discuss obviously the rest of the crypto market as well. So again, if you're new or haven't already, make sure you like, comment, subscribe, show your support for the channel down below. But let's dive into this because yesterday was a red day for LUNC, and it was a sizable red day, actually down 9.59%.

[00:00:37]Almost completely erasing the four prior days of green that we saw. And here we sit now, red again today, down 3% completely erasing the gains from the last four days. And this is This is kind of what we talked about, right? The the chop, the setting up for this test. So I'm not going to go too much into that there. Um I will say here again, we are sitting down in the oversold range in terms of daily stochastic RSI. RSI continues to work its its way down. We actually have had a bearish cross on the MACD, so that's definitely something to pay attention to. But I'm not I'm not going to overreact to this report like the market clearly is is doing this morning. Um obviously we did see BTC drop down uh below I think it was actually got below 80K this Yeah, below 80K this morning um on some of this news that came out, but it's back above 80K right now. It's trying to hold on. Um total market cap of crypto floating around 2.65 trillion. And we are seeing volume still stay pretty consistently uh below 100 billion here uh to start the week. So little bit of a spike this morning on the drop. Not surprising because we of course did have some leverage liquidations. Just to show everybody what that looked like. We did in fact just in the last hour Excuse me, see 62.81 million dollars worth of leverage liquidations. In the last 480.15 million. So that's kind of been the trend. There was a lot of game playing going into uh this report, some selling in the overnight hours, and then of course, the you know, the the report that just came out maybe about a half hour ago or so is why you're seeing this this red for LUNC and others. Now, why are we seeing such red here? First of all, yesterday was a report that we missed out. We knew that the CPI report was going to come back elevated. Expectations were 3.7%.

[00:02:22]We came in at 3.8% inflation over the last 12 months. And that is obviously outside of the Fed's goal, and it is heavily driven by, you know, energy, transportation, things like that, right?

[00:02:35]And it all pertains to obviously what's going on in the Middle East. Everything else was was pretty even keel.

[00:02:40]But here's the thing. This report was a big swing and a miss this morning. April PPI inflation surges to 6.0% well above expectations of 4.9% and the highest level since January of 2023. Our inflation that we got yesterday, our CPI report was the highest we've seen since September of 2023. So, we're walking it back a few years to see these levels.

[00:03:03]Core PPI inflation rose to 5.2% above expectations of 4.3%. Both CPI and PPI inflation are now officially at 3-plus year highs. Says the odds of rate hikes are rising. And I'll get to this in just a moment here, but the market is going to react negatively when you have a swing and a miss of over 1%. We've seen that take place before. I can't remember I think that was late last Was it late last year or early last year? We had a report where it was kind of a weird oddball where inflation heavily missed expectations. I think it was by actually 0.6%, and the market did exactly exactly what we're seeing here.

[00:03:40]It had a big big overreaction to it. You have to dive into the data to really see what where this stems from, which we'll do in just a moment. But stock market >> [cough] >> Excuse me, not a good reaction right away. $180 billion wiped off from the US stock market in just 10 minutes after the PPI inflation surged three and a half year highs. But, what is the driving force behind this inflation?

[00:04:03]Say inflation that we're seeing. Well, it's the same story we've we've been talking about. Energy, right? And transportation, right there. 5.0%.

[00:04:15]So, obviously, these two things pretty well linked. Oil, gas, energy prices have been on the rise. Everything else has stayed pretty consistent. Um not a whole lot of change, but these has been two of the biggest increase periods we have seen uh in in quite some time. And again, it's all being driven by what's going on in the Middle East. That also means that when things start to clear up in the Middle East, and it's going to be you know, let's say let's say this ended today, right? And they got this sorted out. It's still going to be months for things to get back in line for prices to start dropping again because there's a big backlog now. You've seen nations dive into uh their strategic reserves in terms of oil, right?

[00:04:58]So, it's going to take a while for it to to finally start to work its way back down. But, I think it's a big overreaction from the markets because again, it it's it's isolated to one sector. It's not like COVID where everything was just absolutely blowing up. And maybe that's a gross oversimplification on my part, but from the data, that's exactly what it looks like, right? Is the market it was is overreacting to energy and and oil, which we knew were up anyways and will probably be up for for quite some time.

[00:05:26]But, that's the driving force behind this. The market is kind of overreacting this morning. Maybe we'll get what we saw yesterday where we got, you know, our our initial drop kind of earlier on in the day, then we started to rise um as the day progressed, and then it's going to be waiting again on, you know, tomorrow's Clarity Act votes on the Senate Banking Committee our Clarity Act markups to take place. Uh Donald Trump has landed in Beijing. So, obviously there's going to be negotiations going on there. We're going to be waiting for news from that. Um actually, the US-Iran pretty much dead silent over the last 24 hours. Not really much in terms of updates to discuss there. But, that's that's what we're dealing with today. We'll see if it gets any worse. We'll see if the market keeps overreacting. A lot of leveraged liquidations, leveraged stacked up very heavily. Um so, hopefully things quiet down as the day progresses. But, I appreciate you guys.

[00:06:14]Hope you enjoyed the video. Let me know your thoughts below. But, have a great day. Catch you guys in the next one.

[00:06:19]Take care.