Bitcoin warning, can gold use this to its advantage?
(Kitco News) Gold had a very decent week – at one point trading just inches away from the $1,800 level as prices hit seven-week highs on weaker U.S. dollar.
Now, analysts say that a significant selloff in bitcoin could actually help gold push well above the $1,800 level next week. Here’s a look at our top three stories:
3. China cleared the way for a massive amount of gold imports into the country — 150 tonnes worth $8.5 billion.
The gold will be shipped from South Africa, Switzerland, and Australia. This is very likely to help keep gold prices well supported after a disappointing first quarter.
2. Bitcoin’s dramatic selloff this week — the popular cryptocurrency was down more than 9% on Friday. The selloff intensified after the news of Biden’s proposed capital gains tax increase for wealthy Americans.
Wall Street analysts, including JPMorgan, are warning that Bitcoin’s technical charts are looking negative and that the cryptocurrency could be at risk of an even bigger selloff.
1. Can you tell me we have inflation without telling me we have inflation? One word — lumber.
Analysts are growing more skeptical of the CPI data as a reliable measure of inflation, with some preferring to rely on other ways to monitor real price pressures.
For many, inflation is already here. And to help investors accurately monitor this price growth, analysts told Kitco to follow commodities like iron ore, copper, and even grain.