Former YouTube dev sells all crypto, warns investors to find an exit

Patrick Shyu, a software engineer formerly on Google's YouTube app architecture team, has sold all of his cryptocurrency holdings, citing concerns over potential selling pressure and a lack of liquidity. According to U.Today, Shyu said on his YouTube channel that he recently sold all his Bitcoin after suffering a huge financial loss. He claimed BTC fell from $120,000 in October of last year to the low $60,000s this summer, adding that his use of excessive leverage led to a "brutal" outcome. Shyu warned that the liquidity pool available for retail investors to sell their holdings is much shallower now than in 2021, stating that investors are "walking on thin ice" and that most will need to find an exit. He pointed to the 35,000 BTC held by Mt. Gox creditors and the 850,000 BTC held by MicroStrategy (MSTR) as potential catalysts for a major downturn. Shyu claimed these entities have been slowly selling, hoping retail investors would provide exit liquidity, and questioned if the market has enough liquidity for everyone to get out. He also noted that while over 95% of BTC has been mined, a fee-based economy to support miners has not yet formed, which could weaken network security. However, Shyu added that he remains optimistic about the crypto market long-term, noting that Bitcoin often begins a new cycle whenever people declare it "dead" and that his statement could be a bottom signal.