Who Blew Up?
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"Who blew up?" is the question everyone's asking.
Every crash and bear market reveals someone was swimming naked. There's always a culprit. In the 2022 crypto bear market, we had FTX, Luna, BlockFi and other shops blowing up. In the stock market, we had the regional banking crisis in 2023 that drove a market unwind. We had Liberation Day hit the tape in 2025.
But this time, it's more cryptic.
No prominent public crypto fund has blown up. No exchange has been liquidated. In the software sector, no bodies have been uncovered yet. The skinny dippers are nowhere to be seen.
There will be conspiracy theories online about some random fund that blew up. There's always some story to grasp.
But let me give it to you straight: nobody knows shit.
Not Tom Lee, not some head of industry, and not me.
Here's what I do know.
In April 2025, the market handed us a clean story. Tariffs. Liberation Day. Everyone had their villain, everyone had their narrative, and everyone was convinced the sky was falling.
Then we ripped to all-time highs.
The story was bullshit. It felt real in the moment (they always do) but the market moved on and the people who sold the fear were quietly wrong.
Now look around. Software names are getting gutted. Crypto is bleeding. There are bodies out there, we just can't see them yet. And that's something that makes people uncomfortable, not the just the drawdown itself, but the absence of a clean explanation for it.
We'll know in time. We always do. Somebody will get margin called, some fund will file quietly, some thread will go viral, and suddenly everyone will say "oh, that's what it was." Retroactive clarity is the market's favorite trick.
But right now? Right now nobody has it figured out.
And that's fine.
When you don't know, you can just get out of the way. You don't need a thesis for every move. You don't need to be the guy in the replies with a theory. Sometimes the smartest position is no position.
Don't let the uncertainty eat at you. Because the person in your timeline who sounds the most confident right now?
They don't know either.
Nobody does.
I bought Bitcoin this week for the first time in months. Because whatever body floats to the surface in the next few weeks, the market has already priced most of the risk out.
Cheers,
Louis Sykes
Senior Crypto Analyst, All Star Charts
