AMC Stock & GME Stock – How Evergrande's Could Crash Crypto(Bitcoin &Ether), Resulting In MOASS!
We were climbing high in the early hours of the day, only to descend erasing a ton of the progress we made. It was actually hilarious to watch the charts because you can tell that the entire thing was fabricated. For the most part, the manipulation was so obvious, with some single minute charts having massive dips. Todays video is going to be a little bit about bitcoin ether and the relationship they have with the evergrand in china and how it directly affects gamestop and amcs existential position in relation to overall economic decline and uncertainty. We will touch on one interest set of events that came out on the news and then we will get going. We are about to start building wrinkles again in relation to crypto and the connection it has with meme stocks. I have been doing a lot of research into this as of late and boy. Do i have come content lined up for you guys for next week we about to go all out on due diligence, reports and videos so be sure to stick around this channel next week. I also want to thank the couple of people that are watching my morning. Videos, i know they may come off a bit complicated, which i think has caused viewership to drop, but i am giving you all the answers you need to know as to why the justice department in the sec is not doing much about the manipulation for gamestop. In amc, at least not yet check them out, if you care to find out why this is before we get started with todays content, let me quickly disclose and state that i am not a financial analyst or advisor and that all contents discussed in this video are Provided as opinions, all efforts are placed to better understand the nature of the current market in anticipation of the greatest squeeze in financial history, everything presented as evidence i collect and all opinions are based on research, experience and knowledge on the matter shout out to all my Patreons and one time donors whose contributions continue to carry this channel forward.
Thank you so much to all that have taken a moment in the burden of throwing some love. My way, it means a great deal for the longevity of the channel. You guys are the absolute best now lets dive right in roaring kitty was making headlines again with his former employer, a mass mutual investment subsidiary, agreeing to pay 4.75 million dollars to resolve allegations that it failed to monitor its agents. Among these agents is the social media phenomenon in king, the roaring kitty, who championed the whole concept of meme stocks and has sparked an entire new generation of investors to take up trades against wall street massachusetts. Secretary of the commonwealth, william galvin, said, mml investor services failed to detect activities of keith gill who touted gamestop in his spare time. While he was working for the company. They also alleged that mass mutual inadequately supervised other agents and failed to review their social media usage or catch excessive trading in their personal accounts. The mass mutual subsidiary has agreed to pay a fine of four million dollars to resolve these allegations with another 750 000. For failing to register 478 broker dealer agents, they have also agreed to overhaul its social media policies funny enough. Mass mutual did not admit to any wrongdoing in any of the signed agreements to pay penalties – something we have been talking about on my morning. Videos, by not admitting wrongdoing they evade being held accountable in the future and are even able to write this penalty as a tax exemption, while also passing on the charges down to their customers.
I personally think that no companies should have to audit their own agents lives. As that feels very intrusive, i understand there are things certain people cannot do when they work for a firm, but to outright monitor them consistently gives big brother vibes. As for the fine, they received its an absolute joke. The fact that prosecutors get to sit down and agree with them to not hold them accountable if they pay up a couple pennies on the dollar as a disgrace and a perfect example of why nobody is held accountable. This is why criminals are enticed to keep on violating the law now as to the main segment. Yesterday we talked about evergrand and things have not gotten any better. Today, protests keep growing as more than 70 000. Investors are about to be left holding a bag of excrement. Whats at stake here is a crash on chineses economy, its uncertain as to if china will allow evergrands downward spiral to continue. This will have worldwide consequences on all markets, but one thing i have not seen many people talking about is the effect it will have on the crypto market. I want to thank nick rugia and new realities for providing great insight into this affair. We have seen on the last couple of days, gold value decreased dramatically, most likely to companies like evergrand liquidating their assets in order to meet margin. Calls things like this have caused a panic for the global markets.
If ever grand is liquidating – and so is everyone else following suit, where could the assets be parked, as common sense would suggest, crypto could be a great place to park it. The leading cryptocurrency has dignified itself as a secure investment that will continue to grow and exists for the foreseeable future. Tether is a hong kong based cryptocurrency tracking the value of the american dollar. For the last couple of months, tether has had a ton of controversy surrounding the fact that nobody knows what it is actually backed by, even though they consistently assure investors that they are a reliable and legitimate cryptocurrency. Funny enough tether executives recently admitted that half of their currency is backed by bonds. What does this mean as to the situation with evergrand? You might ask? Well, there is a ton of speculation that tether holds a ton of bonds on evergrand and with all the crisis happening right now, it is the silence from tether around this issue. That is the most worrisome aspect of all. We are also seeing chinas own central bank. Digital currency quickly move its crypto away from both tether and bitcoin. There is much reason to believe that china wants to secure their own central bank digital currency to quickly substitute tether when it falls because a lot of the value derived from tether comes from bonds. A great portion of these bonds are believed to be evergrands and if they collapse, tether will fall. The thing with bitcoin is that tether and bitcoin heavily influence each other and if tether falls, bitcoin will see the biggest fall in its history.
There are various scenarios as to how this could play out. China doesnt bail out evergrand, so they end up liquidating to account for bond leverage. This creates low market liquidity, which will result in tether and bitcoin crashing, especially tether. This is why china is rushing to move its digital currency, backed by their central bank, away from bitcoin and tether, because they do not want to crash. They want to jump right in to substitute them when they crash and gain a ton of world market domination. By being the perfect substitute that comes to save us all at the right time, the other scenario could be that evergrand is liquidated in the sense that china steps in and owns the company, they could use bonds to spike up cryptocurrencies in tether and bitcoin, and then, When everyone jumps in out of fomo, they dump all their holdings, leaving everyone holding a bag while they pay off all their debt. I just dont see a positive end scenario for crypto. If evergrand is allowed to fail, even if its saved and taken over by the government, they will use crypto as leverage to trick everyone into it and then dump it, leaving everyone holding a bag. The scale of the impact will have immeasurable ramifications for the world, as many banks and hedge funds and all types of financial institutions have jumped in on cryptocurrency, and this brings us to gamestop and amc. We speculate that hedge funds have a ton of crypto where they have parked their assets.
We believe this because we have seen the prices of cryptocurrency have major dips right. Around increased margin call date requirements, we believe shorters, including banks and hedge funds, and other institutions are borrowing heavily from these assets to cover their bases. If one of the scenarios we talked about with the crypto market crashing, this will have huge problems for liquidity, risk management. For shorters, we could see some instability and they will have to start borrowing or liquidating other assets in order to compensate withholding these stocks and their stress levels so that they dont get margin called and then default. Things are getting dicey and its. Why? I have talked about evergrand for a while do not sleep on the crisis happening in china, though it is, in my opinion, unlikely to start the squeeze. It does certainly have the potential to do so. Lets talk about today. The fed reported that reverse repo operations for today resulted in over 1.147 trillion dollars, representing a small increase over yesterdays operations. Amcs dark pool transactions accounted for 66 of the total volume, while gamestop dark pool transactions accounted for 46 of the total volume. Today, according to fidelity data cell order, flow for amc was bigger than the buy order flow with gamestop sell order flow, also being bigger than the buy order flow. Now let us finish up with a recap of todays performance: amc traded bearish day losing over one percent. The stock relatively neutral during the pre market, however, once the markets opened, amc started running for most of the day running from 46 dollars to 48.
69 out of nowhere, amc started retracing and would not find any support or period of consolidation. It literally just started declining non. Stop eventually closing at 46.04 well below the v web. As for what i expect tomorrow, its hard to say, amc is definitely oversold and we should theoretically see a huge rebound. However, we know hedge funds are trying to defeat this price for option reasons that expire tomorrow. The battle for 45 dollars is set. They will try to dip us below it, while shareholders will attempt to close above it. We have support at 46, 45.37 and 45.. Amc has resistance at 47.74 at 48.70 and 50. gamestop traded bullishly today, gaining a little under one percent, gme opened to a bullish run from 202 to 216.55. It retraced a bit testing the v before testing resistance again at 214.40. It would be unable to break it and would start falling back down closing at two hundred six point: three seven below the v web. As for what i expect tomorrow, again its hard to say, gamestop is still showing upward movement. I think hedge funds might want to dip is below 205. We hold support at 205 and 200. We will find resistance at 209 and 213.. I remain super bullish about gamestop its been on quite a nice run, and that is all we have for today. I want to thank you guys so much for making it to the end of the video. Let me know what you guys think about the cryptocurrency topic we discussed.
I have gotten many requests asking for me to cover crypto in relation to meme stocks, and i intend to do that. I also want to thank the people tuning in for the morning. Videos make sure to check them out. A ton of work goes into them. This weeks segment looks to find the answer as to why wall street is not punished for their crimes. Tons of answers and much needed information is provided for you guys. Todays big question is what is the worst piece of advice you have been given in life? I am looking forward to reading your responses again. Thank you so much for the love and support you guys give me you are all so amazing and i love interacting and readying through your comments every day, if you want to help this channel, i have provided links which will be in the description for donations or Even a monthly pledge of whatever amount you want, these donations do go a long way in helping me be able to pump videos out remember to follow me on twitter.