X @Raoul Pal

Market Analysis - Crypto market experiences brutal conditions with rapid position unwinding and liquidity concerns [1] - Market conditions are reminiscent of 2021, with Bitcoin falling 56%, ETH -62%, and SOL -68% in a 4-week period [1] - Significant sell-offs have occurred historically, including a 72% drop in 2019-2020 and multiple sell-offs exceeding 30% in BTC during 2016-2017 [2] - Current price action shows no signs of abating despite being massively oversold [2] Investment Strategy - Strategy involves adding to positions during sell-offs, accepting large P&L swings in a long-term trend [3] Macroeconomic Factors - Positive macro backdrop suggests potential for a sharp recovery [2] Risk Management - Massive downside volatility is acknowledged as a challenging but not abnormal occurrence [2] - Recommends destressing and taking breaks from screens [3]