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. 5/16/19 Closing Prices:Bitcoin: $7,939.81 (-$25.50) Ether: $258.22 (+$26.22) Gold: $1,286 (-$10) DJIA: 25,862.68 (+214.66) S&P 500: 2,876.32 (+25.36) Nasdaq Comp: 7,898.05 (+75.90)Trading Summary Notes – Updated for Thursday, 5/16/2019
- Party’s over! BITCOIN put in a super rally the past month BUT, alas, nothing goes on forever.. After visiting the low $8,000 area its time to pull back
- BTC’s “pop” up to, and through, that $8K number just happened to coincide with the huge Consensus 2019 event in NY this week. Again, alas, that big event just finished up as well.
- BITCOIN traders got days and days of fantastic upbeat crypto news. Having run up in anticipation of all this positive news profit taking is settling in
- So, where NOW?? Lets say back to the $6,500 area (+/-). Yup, back to $6,500 for BTC
- Surprisingly (at least to me) ETH has really shown some life. I mean, up to $260? I sure misjudged that one
- May be that traders have flocked to the “cheaper” ETH since BTC has run up so much. Could ETH see $300? Not a good bet. Look for some pullback there too as BITCOIN drops
- Risk ‘on’ in the stock market so GOLD drops back. Short term GOLD traders dump there longs after a nice “pop” over the last week
- GOLD seems destined to trade between $1,265-$1,270 and $1,300…….for now
- Again GOLD looks just like BITCOIN did at $3,500 right before it took off
- Summing up; Sort term target for BTC…..$6,500; Short term target for ETH……..$210-$220; Long term target for GOLD…..$1,400
Current trading positions: LONG GOLD
Bill Taylor is Managing Partner at Fintek Capital and a frequent contributor to FintekNews
