Great post as always, but I disagree with the idea of crypto selling off as money leaves risk assets of stocks and bonds. The underlying question is whether the "easy money" is still flowing in terms of low global interest rates and European QE.
As long as the U.S. federal reserve and Mario Draghi leave the spigot on, the world will be awash in easy money. As you said, this money will need to go somewhere. Classically, easy money = inflation, which is bullish for commodities, gold, and real estate.
If the narrative changes to how Bitcoin/crypto is an inflation hedge, this space could rocket!
I think the fear is that the easy money situation will evaporate faster than people originally anticipated - should be interesting to see how that plays out.
The bond guru Jeff Gundlach is pounding the table for commodities here. He makes a compelling case for the fed always taking the punchbowl away too late.
The narrative for wall street this you could be: "buy hard assets and cryptos"