Showing posts with label gold. Show all posts
Showing posts with label gold. Show all posts

PrimeXBT Lead Analyst Kim Chua: Is It Time for Gold to Shine Again?

PrimeXBT Analyst Gold

Gold has moved up more than 2.3% last week, marking a third consecutive weekly advance since prices rebounded off $1770 low.  Is Gold on the move up to retest its ATH again?

The fundamental picture seems to suggest so, as historically, the fourth quarter has always been good for the price of gold. Seasonal factor includes the year-end gift buying as the end of the year and early part of a new year ushers in the festive season. The Lunar New Year in early February is the biggest festival for the Chinese, who like to purchase gold and gold jewelry as gifts to older folks as well as young children as a blessing. With the Lunar New Year fast approaching, the demand for gold to make as gifts always increases, driving the price of gold higher between the period of December to February. The gold jewelry market takes up around 45% of the market for gold, hence, the effect of this factor should not be ignored. Data seems to confirm this phenomenon, it has shown that for the last 25 years, gold prices has risen 18 times between the period of end-December to mid-February.


With the major global central banks continuing to lean on an easing bias, with the ECB increasing the size of its asset purchase to 1.85 trillion euros until March 2022 and the US FED to continue its billion-dollar bond buying program until at least year 2023, we are looking at weakening fiat currencies for the coming one to two years, which will translate into higher inflation. Even though BTC’s popularity as an inflation hedge is increasing, there remains a group of more traditional investors who favors gold.  As such, gold’s position as a safe haven and inflation hedge will not diminish. As much as there are people that advocates BTC, there will be others that favors gold. There will also be some that will own both. Hence, following in the steps of the dizzying rise in BTC price last week, the price of gold will be the next to rise. 


The daily chart of gold suggests that gold is still travelling in a downward sloping channel. However, it is above support of $1855 and trying to break above the channel top of $1920. Should this level be taken out, gold should be attempting to retest ATH of $2075 again. I remain positive about the price of gold and think that it will break ATH and move towards $2200 in the first quarter of next year. This should come on the back of more stimulus measures taken by the USA once Biden is inaugurated as President. 

The week will open with the passing of the latest $900 billion US stimulus bill which will be very positive for the price of gold, with it likely to break the $1920 resistance for more upside. 

About Kim Chua, PrimeXBT Market Analyst:

Kim Chua is an institutional trading specialist with a track record of success that extends across leading banks including Deutsche Bank, China Merchants Bank, and more. Chua later launched a hedge fund that consistently achieved triple-digit returns for seven years. Chua is also an educator at heart who developed her own proprietary trading curriculum to pass her knowledge down to a new generation of analysts. Kim Chua actively follows both traditional and cryptocurrency markets closely and is eager to find future investment and trading opportunities as the two vastly different asset classes begin to converge.

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Forbes Editor Repeats Outdated 'Bitcoin Can Never Beat Gold' Talking Points...


Editor-in-Chief of Forbes business magazine and former Presidental candidate Steve Forbes focuses on Bitcoin in this episode of his bi-weekly 'What’s Ahead' piece.

Since this is a perfect example of outdated thought - his main talking points (which were true once upon a time) have now expired.

First - why bother talking about national currencies backed by gold being stable, when the US dollar hasn't been since 1973, and never will be again? There are no proposals to return to the gold standard. So this is simply some 'back in my day' nonsense.

Secondly, gold being 'rare' won't last much longer. Billionaires are literally already in the process of figuring out how to mine asteroids.  Sounds far fetched? There's over 17,000 within reach, and Elon Musk is among those who say it can be done.  Think of how fast both rocket and robotic tech is moving, space drones that mine gold and diamonds from asteroids doesn't feel that far into the future. See our article 'When Private Space Industry Begins Mining Asteroids, Gold Prices Will CRASH! But Bitcoin's Limited Supply Remains The Same'.

Global Crypto Press // Breaking Crypto News

When Private Space Industry Begins Mining Asteroids, Gold Prices Will CRASH! But Bitcoin's Limited Supply Remains The Same...

Mining space
Gemini founders the Winklevoss twins were invited by Barstool Sports host Dave Portnoy to "come over and explain bitcoin".  Portnoy has recently become a day trader himself.

Why bitcoin? The twins answer to this question was one few could have guessed.

Predicting The Collapse Of Gold....

It would be a game changer if the gold market were to collapse, with far reaching implications.  The long time 'safe' storage of value becoming so common, it's worth about the same as any other metal.

"There’s billions of dollars of gold floating in asteroids around this planet. "Elon Musk is going to destroy gold. He's going to get up there and start mining gold. That’s why gold is a problem, because the supply isn’t fixed like bitcoin. Gold is for boomers who don't understand that." Says Tyler Winklevoss.

While the public generally hasn't heard of this before, the concept isn't new in circles of wealth. Even Goldman Sachs is taking positions investing in companies that aim to mine space, saying 
“The psychological barrier to mining asteroids is high, the actual financial and technological barriers are far lower”.

Over 17,000 Targets...

We've currently recorded and in some cases tracked nearly 1,000,000 asteroids.  Of those, an estimated 17,000 are close enough to earth, and made of materials worth consideration for mining.

It's not just gold they're flying around with either - asteroids are also rich in platinum, iron, nickle and more. Compare to mines on Earth, 1 asteroid can easily contain 50X more valuable metals.

On The Other Hand, Bitcoin...

Now that it's clear - we're talking about a massive, endless supply of what was once rare precious metals.

But no matter what they're doing up in space, no one can plan for more Bitcoins to be minted.  Meaning the long term, scarce investment is found on the blockchain, not in the ground.
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Author: Ross Davis
E-Mail: Ross@GlobalCryptoPress.com Twitter:@RossFM

San Francisco News Desk




The Data PROVES It, Bitcoin = Digital Gold!


It just keeps happening - and some are having a hard time accepting it. 

Throughout 2019 when there's 'turmoil' or 'uncertainty' in the traditional markets, weather it be trade between the US and China, or Iran and concerns over global oil supply - two things immediately go up in value while the stock market takes a dive - gold and bitcoin!

Video courtesy of Fox Business