Crypto remains bid despite sag in general risk tone

This Daily Digest will cover:

• 🪙 Crypto remains bid despite sag in general risk tone
• 🏆 SOL leads the way
• 🇺🇸 US bank holiday should ensure Trad markets remain quiet

Presidents day in the US is the key factor today which should ensure the markets remain pretty quiet and range bound.

On Friday the USD tried to rally but ran out of steam and likewise stock markets held well despite hedge funds apparently ramping up short bets for the first time in a while. I have zero change in stance here and continue to favour accumulating dollars on dips and easing into short positions in stock markets. Financial conditions are tightening and in the absence of inflation turning quickly to the downside I believe markets will continue to reprice the terminal rate upwards.

The main action today is in Crypto with SOL leading the way over the weekend after the Helium network announced it will move entirely to the SOL network. This morning ETH has surged above 1700 and this time looks comfortable and BTC is eyeing up attempt number 4 above 25,000. This remains the key level and despite my struggle to balance Crypto demand versus my opinion that risk market in general suffer, I will add to core longs on a break of 25,200.

Good luck as always!