By Bill Taylor, Contributor/Fintek Capital
We compare the price of Bitcoin, Ethereum, & Gold, using the CME Bitcoin Indexes (BRR & BRTI) and the CME Ethereum Indexes (ETH_RR_USD) & (ETH_RTI_USD) for reference.
11/13/18 Closing Prices:
Bitcoin: $6,286.73 (-$71.46)Ether: $206.09 (-$4.15)
Gold: $1,201 (+$1)DJIA: 25,286.49 (-100.69)
S&P 500: 2,722.18 (-4.04)
Nasdaq Comp: 7,200.88 (+0.01)
Trading Summary Notes for Tuesday, 11/13/2018
- The huge equity selloff dragged BITCOIN and ETH down with it. Short term traders decided to not take any chances and, with all screens red, joined in selling
- Over the long weekend (Veteran's Day) and today BITCOIN dropped about 3% and ETH almost 4%
- The Crypto (er, digital currency) markets have been muted and with no buyers the light selling has a little more impact. Seems BTC and ETH are just caught in a very tight trading range
- BITCOIN $6,000-$6,500..............ETH $195-$220. A solid close above $6,500 for BITCOIN would be very positive
- Very positive risk/reward for buying BTC and ETH. Upside target for BTC is $8,500; ETH $300
- An unexpected sharp rally in the dollar crushed GOLD. After looking to begin a strong move up, GOLD dropped around 2% the last few sessions
- GOLD briefly dropped under $1,200 before steadying at the $1,200 level. Again, short term traders jumped out and buyers stepped aside
- Nervousness about geopolitical events, inflation and even higher interest rates will subside. GOLD’S upside still appears intact……….buy the dips
- GOLD upside target $1,350. Yes, that’s $1,350. Expect some “backing and filling” (er, that was a big "back and fill")
CURRENT TRADING POSITION:
LONG BITCOIN, ETH and GOLD
Bill Taylor is Managing Partner at Fintek Capital & a frequent contributor