Global markets are about to force Bitcoin to move

I would imagine most here have heard about crypto markets being manipulated. Do you know what causes it though? Bitcoin has attracted institutional investors to the space through futures contracts and more will come with SEC regulated exchanges. This causes a problem for retail investors (all of us) if we aren't aware that it's happening. Currently, there are a good few posts about the next bull run being around the corner and how we are just in a dip. This is dangerous speculation when we are moving into a future of risk adverse investing.

The central banks of the world are beginning tightening policies to fight inflation. The European central bank had more liabilities than assets before Russia invaded Ukraine, now it's getting even more out of balance and they are going to slow down their economy. The central banks use recessions as the mechanism to stop inflation. The US economy shrank this quarter for the first time since the beginning of the pandemic as a result of this policy being implemented. The reason this is important is that during times of economic contraction, institutional investors will de-risk their portfolios. Bitcoin is classified as a risk asset! Most of the crypto community looks at Bitcoin like our grandparents looked at gold but that generation sees only risk. This builds a strong case for more pain ahead unfortunately.

The other concern is the lack of liquidity and how institutional investors respond. When an asset has high demand and low liquidity, the price typically moves up. Institutions don't allow this to happen until their bags are full. They will unload their own holdings to suppress the price and scare retail investors into selling. This allows them to pick up the new supply along with their old supply at a discount. This is why so many buy the top and sell the bottom, your emotions are being manipulated by an entity that wants you to panic buy/sell. It's a game as old as the markets themselves. Thankfully, that much money can't be moved in and out without leaving signs and they run the same plays over and over. For anyone who wants to learn how to spot this manipulation, this is called the Composite man theory.