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“There are three ways to make a living in this business: do DeFi, trade on price, or hack protocols. Well, I don’t hack protocols. And although I like to think I’m pretty good at trading price, it sure is a hell of lot easier to just do DeFi.”

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Found a great DeFi risk management toolbox here: https://githubmemory.com/repo/twhay/defi-risk-tools-list

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Hoping for a bearish three months or longer. If anyone goes the DeFi route, and I don’t think it’s a bad idea to throw a bit that way - check out what you can warning-wise. There are some auditing protocols and services that publish reports about DeFi that could help reduce risk a little (a little). DeFi Safety, CertiK Leaderboard, and Xangle seem some good resources to find problems with DeFi protocols. Please let me know if anyone mentions other auditing sites.

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This makes me sleep well at night: I guess, right or wrong, that we are still in W-Distribution like Rekt mentioned, and we’ve still got some downside and three months of W-Accumulation maybe. And I am very comforted by people like Big Dog saying they’ll never buy again. Though, at the moment, I agree that there isn’t enough despair. People need to have their hopes shot in the head in front of them. I need to hear people like Big Dog say he’ll never buy again now. I need real hate for all crypto now. Only when that happens and then BTC sort of becomes a page three story or something again will I think we have a real floor. If I think and trade with that in mind everything is a lot easier for me and there really isn’t much to lose. This market has been around long enough and will stay around for a long time. There will always be a trade and the best trading is at the bottom with feet on the ground. I really don’t like heights.

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I've heard other people say something similar about how all of the air really needs to be taken out of the balloon before we go anywhere. That's a bit frightening to me, but I'd say there's a chance that we head in such a direction first. Wouldn't be fun, but could happen.

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I wish kindness and talking reason were the key. Unfortunately, people who tweet demands of Bitcoin are the same people who leverage and then freak out when they get liquidated. So, the Atom Bomb is needed along with all the radioactivity. These people are binary, so binary measures are needed. And for everyone else, we just have to continue working away like busy bees and not mind the thunder.

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Nice to get a fresh newsletter off the press! Nice one!

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January 6, 2022
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You are a sharp :) The Wyckoff Method isn't much more than a way of causing a market dip so severe that retail participants become deeply rattled and sell or stop buying, while whales continue to buy before what is usually another leg up in markets. You are correct to say that what's happening is similar, but that it just has a slightly higher floor. The Fed will do what is best for markets, especially before the midterm elections. They may taper. They may not. For now, things will likely cool off. Then, they will likely either break up or down (violently). Very difficult to predict that. You aren't bonkers. You are a quick learner ;)

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