The Taylor Report (12/22/20)


Simple Thoughts in Complex Markets

By Bill Taylor, Contributor/CIO-Entoro Wealth

The opinions expressed below are my own & do not necessarily represent those of Entoro Wealth or any of its affiliates

Bullish for week of 12/22

Bitcoin | Ethereum | Gold

Bearish for week of 12/22

S&P 500

12/22/20 Closing Prices:

Bitcoin:  $23,497.61  (+$419.70)
Ether:   $624.11 (+$7.77)
Gold:    $1,852  (-$15.00)
S&P 500  3,687.26  (-7.66)

Trading Summary Notes for Tuesday, 12/22/20:

What’s new? Bitcoin had a huge week, up about $4,000 (20%+) since last week; ETH above $600; Gold solid; S&P “re-jiggered” and now includes TESLA. TSLA drops on the actual news.

What to do now? Keep bitcoin, ether and gold long positions. Stay short the S&P 500. Great hedge. Prepare for 2021 to experience inflation


But first, I first posted my year end predictions a couple months ago (you can check past Taylor Reports). I am going to continue posting my year end price predictions with comments.

Year end BTC price? Was $17,500. NOW…………$25.000 (maybe more)

Year end ETH price? Was $500 NOW……….$550-$600 (maybe +++)

Year end GOLD price? Was $2,200 NOW………$1,875-$1,900

  • BITCOIN is powerful Next target $25,000;
  • Huge new institutional buyers are allocating to BITCOIN almost daily;
  • Don’t be fazed by the pause here in the low $20K area. There are huge buyers under the BITCOIN market;
  • ETH has broken out of BITCOIN’S shadow;
  • ETH has moved over $600 as BITCOIN moved above $20,000
  • That will certainly affect trading in ETH. More next week;
  • GOLD selling has abated. Probably stuck in the mid-$1,800+ area for the balance of the year;
  • GOLD looks to make another move higher……by year end. Year end? $1,875-$1,900;
  • Stay long. GOLD, buy the dips, 2021 upside target is $2,500. Longer term? $3,000-$3,500;
  • Now on to the equity market (S&P 500). Don’t be fooled. Market is looking “tired”;
  • TSLA may actually turn out to be a drag on the S&P;
  • 2021 S&P 500 “dips” to 2,500-2,600?

Current trading positions:  LONG BITCOIN,  LONG ETH, LONG GOLD & SHORT S&P 500

Entoro Wealth offers SMA’s to accredited investors that include Bitcoin, Ethereum, Gold and short S&P 500

We compare the price of Bitcoin, Ethereum, Gold & the S&P 500. We use the CME Bitcoin Indexes (BRR & BRTI) and the CME Ethereum Indexes (ETH_RR_USD) & (ETH_RTI_USD) for reference as well as the London Bullion Market afternoon price settlement on the digital assets & gold.

Bill Taylor is Managing Director/CIO at Entoro Wealth & is widely published in financial industry media throughout the world