Bitcoin: “Just a Useful Idiot”

By Marco Oehrl

Investing.com – The collapse of FTX hit a new low as the world’s largest cryptocurrency. The rest of the market reacted similarly, as confidence in BTC & Co suffered significantly. What actually happened, however, has not been clarified beyond doubt to this day.

Both Binance and the incompetence of Sam Bankman-Fried are traded as possible causes, but there is also another, more than plausible explanation – follow the money.

The founder and CEO of Binance Changpeng Zhao (CZ) recently denied that he was responsible for the debacle – there is no competition between crypto exchanges. He thus hits back against the accusations that he was the one who took down FTX, allegedly to take market share from Sam Bankman-Fried (SBF).

CZ claims that the market is simply so large that it would be frivolous to do so poaching each other’s clientele at this time:

“We don’t focus on competitors because it’s a waste of time and resources when the industry has only touched 6% of the population. We want more exchanges, more blockchains, more wallets, etc, to coexist in the ecosystem.”

From his perspective, it was SBF itself that brought the whole industry into disrepute with its intrigues:

“SBF is one of the biggest frauds in history, he is also a master manipulator when it comes to the media and key opinion leaders.”

Morgan Creek Capital CEO Mark Yusko wholeheartedly agrees that SBF is a scam:

“I am 100% convinced and I have proof of that, given that I am a major investor in one of the companies he defrauded directly.”

From his point of view, SBF had not lost track of the economy, as has been spread through the media. Yusko surmises that FTX’s rise and fall was planned from the beginning.

It was a staging that aimed to lay the groundwork for global regulation – to regain control, defend the dominance of central banks and make CBDC a success story.

However, the goal of the blockchain movement is independence from governments and banks. A goal that was laughed at 10 years ago, but which can increasingly become a real threat, as Yusko explains:

“That SBF is on a press trip, and not in a prison cell, is incomprehensible.

It is certainly possible that there was an intent by someone to have this as an example so that regulators could come in and punish the industry…
This debacle is a fraud perpetrated by, I believe, some above the useful idiots.”

Yusko assumes that some American politicians are involved in the case. SBF declared in media terms before the FTX collapse that they would donate $1 billion to the next US election campaigns. If so much money was already flowing officially, what happened unofficially? Why did FTX invest in the virtually worthless Farmington State Bank, whose deposits suddenly rose 700%?

According to Yusko, this is precisely the starting point for targeted money laundering, and therefore he suspects that much of the $8B in disappearing customer funds was taken to the new owners through this and similar channels.

Bitcoin technical price points

Bitcoin is currently down -1.41% at a price of $16,761, while the weekly loss amounts to -0.75%.

Yesterday, the cryptocurrency managed to enter the safe zone with a daily close above the 23.6% Fibo retracement at $16,986. But today, the negative momentum increased and thus the price is in a downward movement towards the November 28 low, which provides support of $16,013.

If this is broken, the focus will shift to the cycle low of $15,504, which was formed on November 21.

Only with a sustained, confirmed daily close above the 23.6% Fibo retracement, a recovery towards the 38.2% Fibo retracement at $17,841 becomes possible. Above that, the next resistances are at the 55-day MA at $18,220, followed by the 50% Fibo retracement at $18,533.