Welcome back to the channel everyone today, i want to talk about how the hedges are so desperate to try and avoid the squeeze. I want to talk about everything they're doing, to try and avoid it, but why it won't work so stay tuned and let's make some money and now i'm going to dive straight in with the key information so nazim tweeted saying i hope you guys know that retail Can't just move the crypto markets like that with a movement of such magnitude. He said trillions of dollars in liquidations have happened in a couple of days. It is all big investors and it is all coordinated because they're preparing for the inevitable unusual wells tweet is saying that yesterday at one point, bitcoin was down 20 in a 24 hour period, not over the case of a week or a month, but in 24 hours.

The hodler replied saying: can you unwrap that a bit? What is this inevitable that they are currently preparing for and obviously nazim replied, saying a market wide short squeeze? These big hedge funds and institutions are liquidating their crypto holdings because they need more cash available to meet those margin requirements and to meet those margin. Calls yes, over the last couple of years, institutions and hedge funds have made billions of dollars, betting on crypto and effectively inflating the crypto prices and bidding them up higher and higher. But crypto can't be used to meet these margin requirements as crypto isn't classed as a aaa rated security and therefore suffers a 100 haircut because they need that cash available to meet those margin requirements. They have to sell off their crypto, and these hedge funds and institutions are getting more and more and more desperate and they're having to sell off giant giant portions of their crypto holdings.

Therefore crashing the crypto market. As the saying goes, it starts slowly and then all at once, over the last few months or over the last year, crypto has fallen from around 60 to 70 000 per bitcoin to around 30 dollars. But over the last few days it's fallen from that thirty thousand dollar point to around twenty thousand dollars per coin, but at the same time, while many hedge funds are making their exit from the crypto market because they need cash to meet those margin requirements. It's effectively a rush for the door and the last one to that door will end up being liquidated, say what tweet is saying: don't want to get everyone excited, but if bitcoin drops well into the teens, we should start seeing margin calls in the stock market as Well, aka, just seeing many hedge funds going bankrupt, going under and being forced to sell off their shares.

He said again the point at which this would happen is nearly impossible to predict. I just know that they won't be able to meet margin requirements forever. They're going to have to sell off more and more crypto and the last one to sell off their crypto will be left holding the bag and won't have the cash to meet their margin requirements and will be liquidated. It's rumored that michael sailor is holding around two billion dollars worth of bitcoin and he has a liquidation point of around 21 000.

Now this morning, bitcoin did fall below 21 000, so he may currently be being liquidated today behind the scenes. But at the same time, these large institutions aren't just selling off their crypto holdings, they're, also selling off their giant blue chip stocks as well. Sven tweeted, saying sell-offs are no problem if you're diversified with the right stock picks. Oh yesterday, we saw around 98 of stocks in the s p, 500 read on the day.

I think there was only one or two stocks in the entire s: p: 500. The remain green, which i think was coca-cola and a few others, and at the same time, these hedge funds are maximizing their utilization of the repo market and the reverse repo market, as well setting new daily records over the last few days i touched in with you A few days ago, when we just set a record of 2.091 trillion or 2.1 trillion and we're already hitting the 2.2 trillion dollar mark only a few days later now, if you didn't know, one of the key roles of repos in the financial markets is to prevent Market squeezes, it says, by allowing the borrowing of securities and the borrowing of cash repos helped to prevent individual institutions squeezing the market in a particular security issue by cornering supply and thereby creating or exacerbating temporary imbalances between supply and demand. Therefore, by allowing these hedge funds to repo and reverse repo, their amc securities and effectively rehypothecate these securities over and over and over again, they can prevent a market squeeze or prevent an amc squeeze temporarily now. The reason why i know these hedge funds are desperate to try and avoid the short squeeze is because, if you look a little bit deeper into the reason, they're selling their shares, it all starts to make sense.

Also guys moomoo have just changed their promotion to a new summer exclusive. You can currently get a whopping 10 free stocks all still worth up to 2 500 each. So that's up to 25, 000 of free shares and a free share of lucid guaranteed. On top of that, 10 free shares is the most shares i've ever seen offered not only by moomoo, but for a broker that does not accept payment for order flow.

You will recall from my video from yesterday that i went through moomoos, updated terms and conditions where they no longer accept payment for order flow. Obviously, the selling of shares and the market crash is a self-fulfilling prophecy. If these large hedge funds sell their shares, it will crash the market if they don't sell off any shares. The market doesn't crash.

Obviously the price of stocks and shares is dictated by supply and demand. If there isn't a massive oversupply of supply into the market, then there is no crashing of prices back in 2008, many of these giant hedge funds and institutions suffered massive drastic losses in the housing market, cdos exploded and mortgage bonds evaporated, as millions of americans failed to Pay their mortgages, therefore, because these hedge funds lost money over here in the mortgage market. They had to sell off stocks over here in the stock market to rebalance their portfolio right here in 2022, cdos and mortgage bonds haven't exploded or haven't exploded yet anyway. So why are they selling off their stocks and why are they selling off their cryptocurrency if mortgages haven't imploded? Where exactly are these hedge funds suffering losses that are causing them to sell their shares? And i think the answer to that question is obviously they're suffering losses on their massively over leveraged short plays aka, because they're shorting, amc and gamestop and they haven't won and they are losing.

These hedgies know they're trapped. They know they can't win when shorting, amc and gamestop and therefore they're trying to do absolutely anything they can to avoid the short sways by selling off their blue chip stocks and selling off their crypto. But bikims has tweeted saying i said we needed a massive market crash for the mother of all short squeezes. It's all coming together, calm down, he said if price action is still getting you this down, you're, just not educated enough on this play.

He said guys. You have a royal flush. He said i don't care how they stack the deck until the rules are rewritten, a royal flush is still the best hand. Last time i checked, he said patience, it's not our time to lay our hand down.

He said, we've got a couple more players. We need to lose their hand first aka, the big banks - and i think biggms is absolutely right with this one. At the moment, the price is irrelevant. Yes, amc does need to run over 13 over 15 and over 20 dollars for the short squeeze to actually start, but right now the price doesn't actually matter it's the events that are going on behind the scenes that are important for the squeeze.

As mark tweeted, he said i don't know how anyone can doubt amc when we continue to be right. He said it's not about the price right now. He said it's about the events that lead up to the big point. He said i'm looking around and we are here we're right in the eye of the storm, in my opinion, and it's not only me saying that a market crash is coming and saying that a recession is coming as well.

Jamie dimon is said to brace yourself for an economic hurricane caused by the fed and what's currently going on in the ukraine, and he said, there's two main factors. That diamond is worrying about so-called quantitative tightening or qt, which is scheduled to begin this month. The other large factor, worrying diamond, is what's currently going on in ukraine and the impact of that on commodities like food and fuel, and he said jp morgan is bracing ourselves and we're going to be very conservative with our balance sheet and therefore you'd, better brace yourself. As well - and he said you know - i said - there's some storm clouds, but i'm gon na change it it's a hurricane, he said well, conditions seem fine at the moment.

Nobody knows if the coming hurricane is a minor one or super storm sandy, and he said right now: it's kind of sunny things are doing fine and everyone thinks the fed can handle this. But diamond said that hurricane is right out there just down the road coming. Our way and as kathy wood tweeted, she said, credit default swap seemed to be cooperating. Jamie's, hurricane and elon's super bad feeling about the economy.

She said, as measured by market they've nearly doubled this year, surprising their quarter, four 2018 highs and heading towards pandemic crisis levels. A deflationary signal - and if we look at these high yield credit default swaps, we can see they've been absolutely rocketing over the last few months since december past those 2018 highs and back towards those pandemic high levels. So, therefore, these hedge funds are fulfilling the self-fulfilling prophecy. They're selling their stocks causing the market to crash, therefore causing them to set off more stocks and even more crypto, because they need to reallocate their portfolio to prop up parts of their portfolio that are suffering massive massive losses right now, it isn't the housing market.

Isn't the mortgage market it's the fact they're massively over leveraged on short positions? Finally, for today, something i found very very interesting: was this tweet from michael bury? He said the theater took more than a decade to overstuff not likely that everyone gets out in less than a year. Now. I think what he's actually relating to or what he's actually talking about is the fact the stock market took more than a decade to over inflate and therefore he thinks the bear market for the stock market is likely to last longer than a singular year. Therefore, he clearly expects the recession to last, not only in 2022, but also into 2023 and potentially beyond as well.

Therefore, michael bury is expecting stocks to continue to crash for potentially the next 12 months or even longer, but what i thought was very very interesting is his choice of analogies he's using theaters aka talking about amc. Now you could even say that, potentially, the amc short position took more than a decade to overstuff with synthetic shares and therefore it's not likely that all of these shorts will cover within a year. It could potentially take longer now. Obviously, amc last ran up back in june of 2021, and here we are just about a year later and it's still going on.

But, as michael brewery said, it's not gon na last, just one year or less. It may last slightly longer before the shorts have to cover, but guys be sure to. Let me know what you think down in the comments below also guys be sure to ding that notification bell, because that way, you'll be alerted. When i upload a new video cheers.

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