Crypto analyst and macroeconomist Alex Krüger thinks the market looks ugly enough to be bullish.
On Saturday, Krüger wrote on X that “most crypto charts now look so broken and bearish that it’s bullish.” He argued that when the price action looks so bad, the panic has usually gone far enough that a reversal may not be far behind.
The bearish charts
Krüger attached a number of diagrams from Binance and Derivatives Dashboards.
They included Bitcoin and ether (Eth) Spot price diagrams, both of which had fallen under short -term trend lines upwards, creating a technical bearish image. He also sent a solana Diagram showing relative resilience compared to BTC and ETH.
Alongside these, he shared BTC-USDT and ETH-USDT derivatives charts that combined futures indicators-such as financing speeds and long liquidation-with setting metrics such as Skew. Together, they showed that dealers had turned strongly defensive.
Liquidation and reset of leverage
In his post, Krüger said long liquidations had been “significant”, especially in “The last two rounds after the end today.”
In futures markets, dealers can borrow to take bullish bets. When prices fall, their collateral is shut out and automatically exchanged positions. This kind of forced sale pushes prices down further into a cascade. When it is over, however, the markets can stabilize because the excess leverage has already been flushed out.
Majors under pressure, all more
The analyst also emphasized that Bitcoin and Ether absorbed most of the sales, while many altcoins had already stopped going down earlier in the day. Usually, less tokens collapse after major, not in front of them.
For Krüger, this divergence “is often a sign of future strength” which suggests that panic sales may be wound up.
Krüger asked supporters to “check the crook”, noting that Seter was much more expensive than calls. In market markets, this imbalance signalizes defensive positioning and increased fear.
For contrasters like Krüger, one -sided fear often goes ahead of a rebound, because if everyone is already covered, there are fewer sellers left to push prices lower.
The FOMC catalyst
While he’s “Bullish next week,” Krüger said he doesn’t expect strong trends to develop until after Federal Reserve’s next political meeting.
The federal open market committee (FOMC) Meeting 16-17. September with a rate decision and press conference at the conclusion on September 17.
He expects Fed to reduce interest rates that he claims is “not fully priced.”
Lower rates reduce the cost of borrowing and often adds liquidity, which can increase the demand for risk assets such as crypto.
The cycle view
Krüger emphasized that this is not the end of the cycle, although prices fall further in the short term. At the same time, he does not expect the kind of euphoric “blow -up peak” that has marked previous cryptobull markets.
One exception, he said, could be sun, which continues to attract influx from new decentralized treasuries that implement capital on the network.
For Krüger, the setup is straightforward: Charts look ugly, liquidations are back, prices prices scream fear, and the bold decision is known. His message was simple – the time to bet on is when panic is highest, not when the festivities begin.
