The stock market is about to drop 20% and is about to catch up with #Bitcoin.
The four-year cycle of #Bitcoin has officially concluded and, since my signals turned bearish at $115,000, #Bitcoin has already dropped 22%. The four-year cycle is not a meme. It is one of the most reliable structures in all markets. In each cycle, Bitcoin reaches a peak, then forms a lower peak and enters a deep correction… and shortly thereafter, stocks follow.
This time is no different.
#Bitcoin is preparing for its lower peak right now, and my next main target remains $70,000 before the eventual collapse to lower lows. Bitcoin has already broken down, and the stock market is about to follow exactly the same script as it did in previous cycles.
And here comes the part that no one is prepared for.
The macro is aligning with this. The 10-year bond yield is breaking upward from an inverted head and shoulders pattern, a pattern that does not appear at the top of a healthy market. The dollar is strong. The $VIX is forming a bottom and turning upward with bullish signals. Credit conditions are tightening. Liquidity is draining. Market breadth is weakening. These are the same ingredients we saw at the end of every #Bitcoin cycle that preceded a major liquidation in stocks.
This is not a guess. This is not alarmism. This is a generational setup defined by mathematics, structure, probability, and signals. Not by emotions.
That’s why I added to my positions:
$15,000 short on the #SP500 from $687
$15,000 short on $TSLA from $450
This is not me "loading up positions because I feel bearish." This is keeping myself perfectly aligned with my signals. If tomorrow they turn bullish, I will go long without hesitation. But right now they are NOT bullish and, for the first time all year, the macro agrees with them.
