Well, folks, I hope you are having a fantastic day wherever you are, and in today's video we're, not only gon na be talking about the really strong sense of confidence we're seeing encrypted currency markets, as we basically met up for all the losses from the sharpest sell Off in bitcoins history for the last few years, but along with that as well, I want to spend some time talking about the current developments with Cove in nineteen, ignoring a lot of the short term noise and really just talking about what we need to watch for. In the long term, and why, I believe, even though we may be able to start getting back to work in the next couple of months – and maybe you start going back to a sense of normality – that this is going to certainly set us into a great depression. Of some sort, much more larger and drawn out than a normal recession, all right, so we've got a lot of things to talk about so let's go ahead and dive right into it. No it's not a really positive topic, guys but again, it's something that I think we need to reflect on in this case and really just talk about what really matters at the end of the day, right, just trying to observe from what we can understand in the World now and taking a look here across the one of the market here very few plays here. Beating out Bitcoin here leading up the market of 9 memos to cryptocurrencies are obviously following in that path to the upside, but we do have a few clear winners that are leading the market here: engine as well Renne.
We also have two of our other top plays energy and chain link with a few other cryptocurrencies like nano as well, really killing it right now doing well vast majority, the market right now up in the green, with very few players down in the red. We can see here as well if we take a look here at the fear and greed index there's something that's very important to take into mind, and that is that, even though markets have resurged a lot of the losses here from the sell, if we had it Around 8000, going all the way down and about a 24 hour period possible pushing to 24. You know 48 hours. If you really want to extend it that far it really wasn't. It was pretty much all a day we could see here. We went all the way down to 3600. We have now recovered over 3000 dollars of value per Bitcoin from the absolute low and, generally speaking, from the kind of closed range around 4500 I'm at a price they're about 2100. So it's good to see right, Bitcoin is definitely regained a lot of his losses, and I think it proves to a few key things here: wealth first off as always guys the thing I was in fascitis during those peak times of fear when people are at the Verge of believing, oh, my god, bitcoin is over that's the same kind of kind of. I guess not only ironically enough, the same price action that we saw back during December of 2018 when we started to press towards 3k.
We were 80 down from the highs at 20k. People were just reaping of the idea like, oh my god, bitcoin is done for right when people start talking like that and there's, not much of a fundamental reason as to why prices down rest can be assured. Usually that this is a time of irrational fear and the markets will assume, therefore correct themselves afterwards and buyers will come in for the discount opportunity. At least the smart money will right, and you can be a part of that smart money. If you want right I'm, not saying that every dip is gon na be worth buying right, but when you have significant Corrections, when you have some of those stark Corrections, you've ever seen, that's, usually the time to get a little bit more bullish than you might have Been beforehand if you were willing to buy Bitcoin at 10000 boy, are you gon na love it when it's down at 36 or 38 hundred right, I mean your wrists? Are war profile is so much more favorable if you still have that target range of fifty to a hundred thousand as a possibility, even if it's just a fraction of a possibility right so anyways, that's, that's, just kind of logical investing in trading 101. But another thing that's important to notice well here when we take a look at this so I'm, looking at the scalp X index, which is a really cool website that aggregates a lot of indexes.
But one I wanted to look at is the fear and greed index and, interestingly enough, the fear and greed index, which is probably one of the more interesting kind of aggregate indicators here, similar in some ways to the fear and greed index that I think CNN Money Had put together back a while ago for traditional equities, interestingly enough is showcasing us here that the market isn't, showing any signs of greed or being overbought, in fact right now, we're at some of our lowest levels, we've seen on record, we haven't been back here I Mean, for example, just to give you some perspective both of the last few December's were always good, buy points right December of 2019. Fear Green index was only done here to about and along with that, as well back here when we were in peak fear after the sell off in November to December right, your tailoring around here at a point range that's, even higher than where we are right now, Right so again, you've got absolute fear throughout the market. Right now. For the most part, many people aren't bullish on cryptocurrencies, and it tends to be that usually the contrarian went out in this case. The smart money tends to win out. Who knows that that's really where we are right now? Who knows? Maybe we might have another pullback, but I got to tell you all for most kind of large scale buyers here, right, you're at 6600 right.
You know over the last few days, if you had the opportunity to buy Bitcoin anywhere from four to five thousand. You are buying it more than a 50 discount from those relative highs, just back here in February, right to see Bitcoin performing this well afterwards. Showcases me that people are looking for an encore elated asset to hedge against inflation and, quite frankly, maybe bitcoin isn't. The store value asset that many people want or doesn't have the kind of a lack of volatility that people would want. But you're going to see in a store of value or in a hedging asset that there's going to be a lot of volatility during this time period, because there's, probably gon na, be a lot of people wanting to buy it and in some cases, after very strong Rallies you're gon na have people who are cashing out and going on to cash and all kinds of different things going on guys. These are volatile times. Take a look at. We don't. Believe me right, you think volatility is a lacking. You know, I guess I would say if we restore value believed there cannot be volatility. Take a look at one of the most time tested. You know store value assets here, gold going all the way from 1700, an ounce down to 1459 and then going right back up to 1600. Does that you know remove the value of gold as a store value? No, because of the daily timeframe, as much as this is volatile – and you know again is – is just about as significant as bitcoins move we're just focused on a very small market on the monthly chart.
Goltz still way up. Gold, just like Bitcoin, has generally set higher lows and higher highs on a longer term timeframe and that's. What we care about that is what defines a store value. A store value is an asset that I know I can purchase into and I can know at some kind of later date that it is most likely that I'm, either gon na be able to get my money back or make a profit. Those are the only two things at a store about your needs, generally higher lows in a higher highs and a hedge generally against things like inflation or other real world types of assets that are correlated to world economies. Things of that sort some way, some way where you can preserve your purchasing power, gold and Bitcoin let's. Do that and again I know we got a lot of silver bugs this wall I'm. Not trying to rub the sin guys it sucks, I own a little bit of physical silver and gold. Alright, this has been a bad week, Fras that's across the board. Right, if you want to take a look again, we can always hop over here. Take a look at to equities, I mean you need to pull that up. We'Ll just go ahead and pull up sp500 right. This is my general target range here, 50, but even just dragging it out to here in two months, the entire US equity market down about 35. You think that's normal it's, not this has been one of the most dramatic sell offs we've ever seen as the biggest rush is for cash that we've seen in history and no one is safe in this environment when it comes to financial assets.
But now it seems like the worst of that kind of cash run has come out in this case, not saying that we can't see equities, sell off worse, as we've been looking for about a 50 decline in total, but, along with that as well, you know gold Silver might still get a bit of Henner it's here same with Bitcoin, but I think, generally speaking now we can see people rebuilding their positions, gold and silver building up Bitcoin building up these are the assets that should be performing well in a market where people are Rushing in this case, you know I've gotten to their cash positions right and they're. Looking for something that's gon na hedge against what's to come, and the thing that's on a lot of people's minds is inflation inflation I mean we have been hearing about central bank monetary policy, that's going to be injecting mass amounts of cash and the economy we're. Hearing about mass bailout, so the government is going to be using taxpayer money or money that's coming from the Treasury, an issuance of new Treasuries in this case, in order to finance new debt and credit into the system, and it is going to increase the monetary supply By a very, very large margin, in this case, it's gon na be huge right. We don't know exactly what that headline figure is it'd, be silly for us to say we knew what it was because, quite frankly, in the last week alone, those numbers have been increasing.
Quite steadily, you have people like Anthony Pappalardo, for example, who believe it's gon na be up to 5 trillion. You have some people who are naming anywhere from 7 në 10 trillion, it's crazy and the biggest factor that's going to determine all this is what's going to happen in the sense of our response to Cove in 19. It'S is going to become just to some simple few months that we have to deal with this, or is this going to be a year year and a half issue and that's restart to get those big spreads and the figures of what we're gon na have to Supplement to the economy, all in all, though, write those questions really can't be answered too much, and we will talk about it in just a moment for what we do know well long story short though, or hanging around the stock to flow model. Guys we've made a good recovery here over the last few days from the gap that had been spawned after the gap, not really so much a gap down. But after the large sell off that we had in Bitcoin one of the biggest sell offs we've had in past 7 years of price action, we've. Finally, gotten closer back to the mean line here on the stocked flow. So this is what we want to look for. Your guys right, we want to get back up here to around 8000 right after that provide Bitcoin some time to reflect through its market price, the shock to the supply within the supply and demand ratio.
In this case right – and that comes with a halving of it and May – which is the stock, the flow is accounting for here, so we're still on pace, guys don't lose sight, there's, so much noise in the world. But I can tell you this just to provide some perspective. I always bring up that point about how the having really can't be priced in until it happens, because most people don't understand the having event just think right now, guys, like the sheer amount of discussion around something like Kovan 19 versus the halving of it. If you know about having, if you know about the bitcoin Haven, if you know about the having event in any regard or even just Bitcoin, you are in a small minority of investors. Just imagine when people here the Bitcoin, this new asset is starting to rally. Yet again, and eventually at one point – I don't know when this is gon na be he's, probably sometime in late 2020 will be getting above. Its all time highs right, late, 2020, early 2021 or back above 20k it's, the only asset that's up net for 2020. If Bitcoin sticks to the stock flow model that's, what it's telling us it's gon na do right, so if it does get to there, what do you think it's gon na go through the minds of investors it's the same thing that went through a lot of investors? Minds like myself when I was starting to look at buying my first position in Bitcoin right.
I had known about Bitcoin for years I got interested when it broke its all time highs again right. We got back up here in January. I was very, very excited here in this case that's, when I really started reading up building my positions. In this case I had been keeping up at the market in 2016 as it was getting closer and closer, but this is where I got really excited and that's. What finally made me pull the trigger and actually get involved in cryptocurrencies more actively. The same thing will happen here for institutions that sparked the retail wave now it's time for the institutional wave. There'Ll be a lot of retail investors as well, but it's gon na be the institutional capital that brings us up to a trillion dollar market cap. Multi trillion dollar market cap, so very, very excited about that guys. Going on here, though, wanted to talk a little bit. So actually I want to go through this today. I was just reading that personally. One day I wanted to talk about, though, is taking a look here at futures right now, the reason I'm taking elegance and in businesses investing calm, some reason wasn't pulling up the data, but for right now, it's looking like futures markets are about 4, and this is Supposedly, coming from confidence of Congress and the Senate, and eventually the president passing a bill to provide relief, this is not only going to be the system that deploys paychecks for a lot of average Americans, but, along with that, a lot of bailouts for companies.
A lot of short term credit lines for a lot of companies. You name it's a lot of different things and the issue right now as much as the futures are reflecting this up 4, which makes me curious. It makes me curious if someone knows something I don't at the end of the day, nothing's gotten past so far and we're having the same a latency that we had back in 2008, because you've got a few key issues here, right guys, first off what's optimal. To put in a bailout right now, you put, for example, you and I, in a room right, you know you're the viewer myself. We could probably agree ate a lot of things. We can also probably disagree in a few things or maybe want to prioritize certain things over one another right and the good news is with a bailout right. You know, government can run up us and rack up as much debt as it once right. It eventually becomes an issue, but really there's no limit on this bailout. The issue is, is that people probably don't want a lot of funny money going out to things like it did in the last bailout, and the big issue here is that we don't have single issue bills right, so we don't have a bill that focuses on one Specific thing like giving a bailout to a specific company right, so you could vote. For example, I want to support. Maybe the general things that you and I would support like – may be subsidizing some healthcare costs or, for example, providing relief to the CDC may be providing, for example, a lines of credit to certain companies.
I favor a lot of those things, but you know then there's certain starts to be things where you start giving favorable money to certain companies that don't really need it: corporate welfare in some shape or form, and also as well there's a lot of policies that are Getting shoved in now that just seem very partisan in this case and it's, basically leading to this almost near endless negotiation during a time where a week can mean everything for people's pockets, the global economy. You know we're really seeing Congress and the Senate goof around here and not be able to come to a conclusion on just simply passing the bill. That makes sense, but then again that's how Congress and the Senate and the general federal body for the United States has been working for the last few years. So it comes at no surprise, but long story short right. So we have nothing past year and at first you know again, unless there's something I don't know. This seems like very hopeful response here in this case of hoping to basically receive some kind of funding in the next next couple of days. But I want to go ahead here and talk a little bit about the case data here for Kovan 19. I think one of the best places we can look at right now is really ground zero in this case for Kovan, 19 and that's Italy right going ahead here, taking a look at Italy on the map here, all the deaths bundle and adhere to this dot.
Here sorry, not just deaths, these are active cases. My apologies, so total confirmed cases of 63 and was pushing to 64000 total of 6000 deaths, which is really tragic. Luckily, good news majority are recovering now and existing right. Now we have over fifty thousand four hundred eighteen cases now, if we, for example, just focus simply on the confirmed cases here against the deaths here, the scary thing is we're pushing. You know near nine to ten percent death right here right now again, this number will dwindle as time progresses as you have a larger amount of cases confirmed. They'Re probably tested right in this case again, we're trail still trying to ramp up testing across the world and then I'll give us more testing cases for people who might have it right now. Who may not know it may not need to be hospitalized so that's. The good news right: it means that on average, not up to nine or ten percent of people are dying. All right. Sad news here is that this is still a lot of people and right now you know there's some good news here in the sense that Italy, over the last five days, has set another consecutive low here in the sense of new cases, which is really really exciting. Stuff but there's, something important to take into mind here is that Italy in many countries right now already pushed to the brink they're, not ready for the next kind of exponential jump here in the sense of cases they have that they have to hospitalized it's a little Less than 25 percent that have to be hospitalized, and the thing that I want to emphasize here, is that, even though in the chart, we've actually seen a little bit of a downturn now, thanks to Italy, taking stark measures to quarantine, individuals or just basically keep people Indoors, right or basically self lockdown in this case across the in the entire country, are they even a funny enough? They had mayor's going around just like literally shouting at people and saying like stay inside like you know, but the major thing I want to emphasize here is this chart right.
We can see here that right now, over the last few days, I apologize have to move my mic a little bit. We can see the cases are declining right now, which is really positive news, but this isn't a a signal of absolute confidence here, because we've had drops before and it became it can because of a few different things. One lacks a lack of testing equipment B. It could simply be in this case that we are conducting as much tests as people are now quarantine for the most part or self isolating throughout their homes, along with it as well it's. Just simply a flaw within the chart game. In this case, we need to see that there is a systematic sense of control across the board before we really get too eager or too confident, and the major thing that I want to emphasize again is that point that Italy, right now right is already being pushed To the brink, other countries are going to be where Italy is in just a couple of weeks. It'S gon na be a matter of a week week and a half when we really start to see it. I mean we're already seeing right now in the United States, for example. I know this nurses are working 24 hour shifts. I know people in my area, close friends and family and stuff who either themselves or through their friends, work as doctors and nurses and they're working around the clock right now, 24 hour shifts.
This is not a laughing matter guys. This is serious, and the really sad thing – and the scary element of this is that if those nurses and those doctors and medical professionals catch Kovan, 19 working in the environment, it is only going to further apply pressure on our medical systems in the United States. Bear in mind Kovan night Tina's, not the only thing that needs to hospitalized if someone's a cancer patient. If someone is in a severe positions, whether they have some other form of disease or disability, there's already enough demand in the system, that's been difficult for people to keep up with. You can talk to anyone in those industries, and now they've got this. On top of it, and many of them are lacking the necessary respirators, in this case, the necessary gloves, masks medical equipment that they need to do or basically need in order to do the proper job. So, at the end of the day, what really matters it's? The logarithmic chart, the logarithmic chart for cases is picking up exponentially like it was in China. Have a scary thing is, is if we get anywhere near the growth factor we had back here. This is going to be extremely deadly it's, not only gon na be deadly, but it's going to set us up in a position where we better start praying for some form of vaccine. We better start praying that there's gon na be some kind of solution.
That'S gon na actually be able to save us from this, because it doesn't seem people right now are taking the proper precautions. Just to give you a little bit of sense here of how fast this is growing, guys, we're, not even in April. This is back here in late January. What does the rest of 2020 unfold here? Is there gon na be any other issues outside of coma 19? We have to deal with. I think markets are still too confident about this. I still think people generally, you know you see kind of just in the sense of the arrogance that some of us have that I don't care about I'm gon na go out. Let me go. Do the same things I did in my day to day basis and no one thinks about you know who's really at stake here: it's, not just out early people, folks, people, my age are at risk and you want in their you know their 40s 30s 20s. You guys are at risk too that's that's, a new revelation. I want to make that very, very clear. Over the last couple of weeks, it's become very clear, especially at Italy, there's, a good number of cases that are young everyday people, and even if you make it right, if you don't die from it, the pneumonia that people are getting the struggle to breathe as you're Gasping for air without proper respiration technology and it's just it's. It terrifies me personally guys I've, really over the last few years, guys worked at being much better at just being able to spot when there's, just kind of noise and also when people are under estimating things.
This is still being underestimated by wealth governments by organizations and companies and everyday people and anyone who's thinking in the short term. I hope feels the ramifications of not taking action earlier by playing arrogant by kicking the can down the road. I know many of you out there who are watching this are doing your part, I'm, not I'm, not trying to ramble on about you guys and stuff. I know you guys are definitely in tune with this. If you're watching these videos there's a lot of people who aren't a lot of people, just don't get it because it hasn't hit, they know and until it does they're not gon na, probably care about it. But by that time, when it's hit someone, we all personally know it's likely that not only many others have gotten it it's a good chance. You could get it and that's the thing it has to get to that point before people really realize it. This needs to be something that's taught in school. We need to learn about how to deal with pandemics, I'm, highly impressed by what's happened in Japan and South Korea and Singapore. That is what it is like to flatten the curve we got to respond to these things quickly, guys anyways I've rambled. On enough. I know that this has been a pretty dark theme here guys, but one thing that I do want to emphasize here going back to you know: crypto markets is really just focusing in here on trying to again plan ourselves here to position ourselves right.
The next thing now I'm going to be really focusing on in the sense of my positions is, I will be building some precious metal positions. I will be looking to possibly possibly buy some equity positions as equities continue to go lower, but right now my number one priority still is cryptocurrencies, and one of the things that I wanted to talk about today is through our sponsor Cleo building a strategy that emulates To some degree, our squeeze momentum indicator now. Cleo in this case again is a relatively new platform. The grand scheme of the overall space they've been around for a good, I think, it's about about a year now. I think that a year year and a half I talked with Kevin that they've been working on this. I could be off on those dates, but I wanted to spend some time to talk about a little bit of a strategy that I built it's, actually quite successful. In fact, it beat out just normally Hana lean, Bitcoin and it's, one that emulates two different indicators here that are close to this. Basically, the SMS indicator. Rebuilds. It just takes into factor two indicators: the momentum indicator, which is a little bit different than the lazy bear squeeze momentum indicator that we use on trading view and alone that as well, the stochastic RSI use them as stochastic fast here in this case now. Basically, what we built here for the role is wind momentum is up by twenty percent the last day and the stochastic fest is below 20 in this case.
So we're, coming from the lower band here, the stochastic RSI meeting we probably went through a sell off or pullback recently, in this case, we're gon na buy Bitcoin whether and we're not gon na, take full profit until hunter kicks that's, our like long term target or Hahnel target and then, along with that, as well to close the position if the RSI is down by five points in the last day and momentum is down by five in a lot and the past day, no again bear in mind. This is not a hundred percent. In line with the squeeze minute indicator, but the philosophy is still the same: we're going off of a daily timeframe versus a weekly, which is what we tend to use. A lot of that as well. We'Ve cut out, in this case using the MACD we're just using the momentum in this stochastic fast in this case now, I want to go ahead here and take a look real quick if we go ahead and actually take a look at the the performance here, back Testing results. We can see that this is actually performed quite nicely up: 276 percent over the back testing period. If you go back to the same time period and stuff we've actually beaten out just hot aligned Bitcoin in this case, so really interesting indicator here. Good amount trades here as well it's, not just you, know again ha telling it the good amount of trades going on here on the the actual training strategy.
Then again I went through a few iterations in this case, but coming out with a sixty three point, three percent return, it's pretty cool. I think this was a pretty well performing strategy and again you can see a chart with the trade history here, how the profits are looking here. Most of them are profitable trades right, it's, a very interesting strategy and one thing as well again: you could go here and you could type out the same exact thing guys and modify it to your liking. You might want to set a stop of some sort out set it just a closed condition. You might even want to do different variations. One thing I was thinking about doing is where we used to have the we general is still kind of have this data where the majority of indicators. In this case, we have to have three out of five points. Basically, a majority, in this case a two out of three majority, originally from the base original indicator that I made, we could have different combinations where maybe you do one where, when momentum is up by 20 and the MACD is a curling curving up above maybe like The bottom base line in the MACD or like sorry when maybe it's curving up against the other line, things of that sort or maybe it's something. I start amount of points you could do that as well. So we could really fledge this out and again make it as complex as we want that looks for all the different kind of edge scenarios that can happen between the different indicator combinations.
So you can really let your mind run wild with this guys. But again, I recommend again test out clear if you guys want, if you're interested in doing things like algorithmic trading. This is how you do it without having to learn R or Python or these different. You know: data science based languages, streamlines the whole process right and they give you a lot of data and flexibility to work with you. You can pull from so many different data sources. Some that you don't normally have access to on trading view right so again really recommend you guys check it out, it's free to test it out, and if you guys want to try one of the paid plans, you can look at what it entails and stuff during Throughout their pricing plans, but anyways that's it for the video guys. Thank you all so much for watching hope. You enjoy this one. If you did drop a like, and I hope you all are staying safe wherever you are above all guys. I really am thinking about you at this time. I hope you and your loved ones are doing okay. I know these are definitely dark times. Generally speaking, I think we have to be frank about it, but the best thing we can do is come prepared. Stick through this together and make the best of what we have right now, if you're again staying with family in this case, make the best of it, enjoy your time with them and do it's time to reflect and get away from working 247 and just stay safe.