As the weekend unfolds, so are my chronicles of this event, which I was waiting for a month or so. If this is the first time reading one of my posts, here the TLDR:
- during the last few months, HIVE experienced a more or less regular pump and dump around 4-5th of the month
- these pumps came all from Korea
- the jumps were usually 80-100%, and the support level after dump was $0.8
- during the last 2 weeks, though, a significantly more consistent pump occurred, stabilizing the price around the $2 mark, with tops as high as $3.41
- given all of the above, I thought it would be interesting to follow up the 4-5th of December, to see if the recurring pump will happen again, which may create some sort of a compound momentum for HIVE, hence the name "the Great Santa Pump"
So, after, yesterday's Bitcoin flash crash, things seem to have been settled. Apparently, the crash was coming from the derivatives market, many traders being liquidated (as much as $2.6 billions lost in liquidations, apparently). As of now, BTC is trying to hold on to $49k, after gently caressing the 42k level.
Apart from a crash to 3100 satoshis during the same time frame, HIVE didn't do anything spectacular. Yes, it tried to jump a little, and it did so until around 4214 satoshis. But then it immediately came back down, all this in an 8 hours time window. At the moment of writing, it also tries to hold on to 3600 satoshis level, but things seem slippery, so the continuation of a downwards slope looks plausible.
But, and here's where's the interesting part: it seems we became so accustomed to huge pumps, that a 25% move almost leaves us cold. Almost. I, for one, I believe this is a consistent attempt, but the fact that it couldn't hold tells something. Namely that the resources are a bit thin now. It may also mean resources are ok, but there is a bit of an indecision regarding the direction in which to spend them: pump or dump. Looks like traders are a bit risk-averse now, sitting on their hands, waiting for... For a new Bitcoin rally? We'll see.
As for the Great Santa Pump, we're theoretically, still inside the time window, so it may manifest. I'm not holding my breath, though, seems like this was it. Of course, if the market contradicts me, I would be more than happy.
As usual, this is not financial advice, DYOR and never invest more than you can afford to lose.