The weather may be warming and the sun might be shining outside, but for cryptocurrency investors, winter has come.

Time for a quick thread 🧵

Bitcoin, the largest and best-known cryptocurrency, has collapsed nearly 70% from $67,000 at the highs to just $21,000 today, resemblant of the crypto crash of 2017.

ETH, the "oil" of crypto, with the Ethereum blockchain powering NFTs and smart contracts, is down even more from nearly $5,000 at the highs to just $1,200 today.

Liquidity in the NFT space is drying up too, with the floor price of projects plummeting as people pull their cash from platforms such as Opensea.

With stablecoins like Terra Luna collapsing and some indications of contagion with the bailout of BlockFi by FTX, what's behind all of this, and how should you think about crypto from here?

Causes of the crash👇

👉 Rates going up, capital drying up, FUD, cycles...

👉 Sadly, whilst some try to say otherwise, crypto does carry more risk than treasuries, so when capital starts to dry up and funds need to de-risk, crypto is probably the first on the chopping block.

What should you do 👇

👉 Make sure you aren't invested in any ponzis (easier said than done...)

👉 Make sure you only have as much exposure as you are comfortable losing

👉 Always try to figure out the economic value associated with any crypto project

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