On Monday, June 13, many in the digital currency markets woke up to a shock—a second major crash. BSV developer Joshua Henslee released a video sharing his thoughts on why it’s happening and why he thinks we’re entering a longer-term bear market.
Bears everywhere—Celsius freezes up
Henslee begins by reminding us that he recently released a video explaining why digital currency is done pumping. He lets us know that this video will reiterate some of the points he made in that one but that new events have unfolded, which makes him more sure we’re in a bear market.
What events is he referring to? Primarily, the lending platform Celsius freezing user swaps and withdrawals, leading to rumors that it may be insolvent. Henslee jokes that it reminds him of the temporary suspension of the USD for gold which turned out to be permanent.
On top of the events surrounding Celsius, Henslee is bearish because the entire macro landscape has changed, and he can’t see any cause for optimism. In the wake of the LUNA/UST implosion, sentiment had already taken a hit, and the watchful eyes of regulators were already wide open, but with Celsius freezing withdrawals and Tether ceasing…