I mention the “animal spirits” of crypto on a regular basis, and I watched with great interest as Ethereum and Bitcoin both vaulted higher a couple of days ago. I expected they had both shot their wad, and sure enough, we’re seeing that today, and BTC drops by quadruple digits.

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I consider Microstrategy (MSTR) one of the most silly-overvalued stocks in existence, and if I had been paying closer attention, I would have bought puts on it during the crypto surge yesterday. It did an almost perfect gap fill and then reversed hard. I suspect it’ll fall much lower, cutting beneath its low earlier this year, but I just don’t want to chase this one. Suffice it to say I think the entire crypto space is going to lead equities lower this year.

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