Buying tech and shorting Bitcoin as a play on “power dynamics”

Bitcoin plunged on the aforenoted job report, erasing yesterday’s gain. (Disclosure: I remain short Bitcoin.) This is why shorting Bitcoin is the best hedge, as was originally my idea. Bitcoin has much more beta/sensitivity to the downside, whether it’s inflation due to too many jobs, or crisis due to deflation and job loss. Or bad news from Iran, China, tariffs, or any other reason. No other asset, whether it’s gold or treasury bonds, hedges nearly as well as shorting Bitcoin does. This was all my idea. No one had been doing this. The usual hedges that get touted are treasury bonds or gold. These are less reliable. I have long maintained that economics, finance, and human behavior are much more predictable than commonly assumed. Capital follows power, and power influences how capital is allocated–a feedback loop or vicious circle. Capital allocates itself along a gradient to maximize its return. This is true regardless of how powerful AI becomes–it’s an invariant quality. We see this…