Homepage / Technology / Investors are dumping gold to buy bitcoin, says strategist
Dow stock Boeing is up over 100% in one year, and some say the run isn't over Google CEO: You don't need to code to be successful at many jobs of the future—but you'll need this Netflix could see a huge move on earnings next week Netflix shares to surge on big international subscriber gains, analyst predicts What will Trump say at Davos? Six analysts give their predictions I tried to get my iPhone 6 battery replaced — here's what happened Jan Koum got the idea for $19 billion WhatsApp after missing too many iPhone calls at the gym Home security firm ADT drops 10% in NYSE debut Cramer: I'm fine with Amazon raising monthly Prime prices because it's still cheap Staten Island-based 'CabbageTech' charged with bitcoin-related fraud after promising 300% returns in a week Kohl's shares could pop 50% as Amazon partnership ramps up Trump's market cheerleading tweets could end up fueling a bubble New GOP tax law will boost corporate earnings at least 10%, says Merrill Lynch wealth manager Rising mortgage rates could mean even fewer homes for sale this spring Nike shares jump after analyst predicts a rally on new sneaker sales Investor 'fear of missing out' runs wild as record amount of money flows into stocks the last four weeks A crucial German vote this Sunday is seen as the key near-term driver for euro/dollar Oil price rally will not persuade OPEC to end production cuts, analyst says LA Times' Levinsohn under investigation after report on sex harassment Amazon is raising its monthly Prime membership rate There's a new venture fund founded by a former DJI and Tesla engineer and an ex-Kleiner partner Amazon and Nvidia are hiring people to cozy up to health VCs The executive in charge of Facebook’s efforts to court China has left the company 6 global trends that can derail your portfolio in 2018 Huawei executives are self-imposing a fine of nearly half a million dollars for inflated sales data Square shares pop after analyst says its similar to 'Amazon or Google in their early days' London's 'almost toxic' housing market might not give investors the returns they are looking for Hot tech stock Nvidia has even more room to run, says technical analyst Gaming giant Nvidia, after 113% gain, could surge another 23%, BofA analyst says Walmart will see a larger breakout after ‘lost’ years, Oppenheimer analyst says The bull case for Netflix ahead of earnings The UK’s foreign minister wants to build a 22-mile bridge to France Rising hedge fund stars are crushing the market, taking crown away from Einhorn, Ackman New Zealand PM set to be only the second world leader to give birth while in office The bond yield that helps price all sorts of loans just jumped to its highest level since 2014 Berlusconi has been in politics for nearly three decades. This is the secret to his popularity Indonesian leader's third cabinet reshuffle could have elections implications Who are ‘Davos Man’ and ‘Davos Woman’? European stocks seen mixed ahead of earnings, data Bitcoin could be here for 100 years but it's more likely to 'totally collapse,' Nobel laureate says China says sunken Iranian tanker may be leaking bunker fuel South Korean group files complaint against Apple CEO over iPhone slowdown What happens during a US government shutdown Bitcoin is 'something regulators need to deal with but not ban,' says former FDIC chair Cramer Remix: How I decide which retailers are not buyable Cramer's lightning round: Hormel's one of the few food stocks I like Cramer tracks 4 growing market discrepancies: Rates, Trump, cryptocurrencies and stocks Asian markets poised to open with moderate gains despite softer US lead IBM executive says blockchain 'creates a lot of value' for manufacturers, retailers Bitcoin's on a wild ride, but investors have shown it's here to stay, analyst says Cramer: I've never seen a market like this in my life Atlassian beats estimates, but its shares fall anyway Snap laid off two dozen employees and half of them were from its content team Tesla bringing Model 3 to three East Coast showrooms This start-up founder has a novel strategy for getting ahead: Telling the truth Texas Instruments' long-time CEO is stepping down after the stock rallied 57% in the past year Trump says he called and thanked Tim Cook after Apple revealed its US investment plan There's 'no evidence' Tasers reduce police use of firearms, new study shows IBM shares fall despite first growth in 23 quarters Tim Cook tells Cramer: New tax law helped pave the way for Apple’s massive investment plan Uber's Kalanick ignored warnings from execs about buying self-driving truck start-up Otto, says report Washington, DC, and Austin are shaping up as strong contenders for Amazon's new headquarters Legacy airlines are facing new competitors on transatlantic routes Here’s how cities are reacting to being finalists for Amazon HQ2 A high schooler interviewed Apple CEO Tim Cook — and he told her his secret to success Another top Silicon Valley investor slams politically correct tech culture, praises China Steve Wozniak is still on Apple's payroll four decades after co-founding the company Bank of America loses its second head of tech and media banking in less than a year Three of the finalists for Amazon's second headquarters are in or near Washington DC Wrong on GE, market-beating value investor Bill Nygren says he is sticking by tanking blue chip Apple may have just saved the GOP Bitcoin rallies more than 30% to briefly top $12,000 in latest wild swing GE shares drop to 6-year low below $17 With eye on Brexit talks, May offers France money for border security Uber ex-CEO Travis Kalanick will officially be a billionaire Thursday, as deal with SoftBank closes The French government experiments with venture capitalism The World Bank’s “ease of doing business” report faces tricky questions Our Big Mac index shows fundamentals now matter more in currency markets The threat of tough regulation in Asia sends crypto-currencies into a tailspin Innovative materials from bamboo are helping a new industry to sprout A weak market for football rights suggests a lower value for sport Why driverless cars may mean jams tomorrow Chinese tech companies plan to steal American cloud firms’ thunder Masayoshi Son may raise yet more cash to pump into tech The hedge-fund delusion that grips pension-fund managers Ignore the bad housing starts number. Builder optimism and buyer demand are high Facebook launches 30-city Community Boost program Blockchain cryptocurrency wallet launches bitcoin buy and sell in the US to challenge Coinbase An overlooked, gutsy way for investors to make huge returns Tom Lee, bitcoin's earliest and most bullish forecaster on Wall Street, is even more positive after crash Netflix's original content will allow it to raise prices more than expected, Morgan Stanley says One way China could be clearing a path to investment ties in Western Europe It's a buy-the-dip story in the oil markets, says RBC's Helima Croft Intel's security patches are causing computers to randomly restart Comcast shares fall after downgrade on slowing broadband growth fear, streaming competition Forget DACA for now, let's keep the government open first, says GOP's Hensarling Tech giants are calling on Trump to preserve an immigration policy for spouses of skilled workers US housing starts down sharply on drop in single-family units Trump administration's infrastructure plan takes shape, focusing on state, local, and private financing Beware the ‘black hole’ that is GE, market watcher warns

Technology

Investors are dumping gold to buy bitcoin, says strategist

A key trend in the gold market has just been broken, and bitcoin could be to blame.

The gold miners ETF (GDX) had fallen nearly 15 percent from its September highs while gold has plunged to lows unseen since the end of July. This is curious, says Larry McDonald, head of U.S. macro strategy at ACG Analytics, as the move lower in gold has also been followed by a move down in bond yields, which according to the strategist is very rare.

“Over the last two years, every time rates have come down, and this week rates have moved lower, you had gold go up,” he said Friday in a “Trading Nation” segment on CNBC’s “Power Lunch.” “Almost every time, there has been an 82 percent correlation between gold and bonds. This week, for the first time, that correlation broke down, and I do think it has something to do with bitcoin.”

According to McDonald, there could be even more downside for gold, given the rapid growth of cryptocurrencies, bitcoin and otherwise.

“If you add up all the cryptocurrencies and the liquid gold that’s in the market right now, the cryptocurrencies in market cap are now 23 percent of the liquid tradeable gold,” he said. “That’s up from 2 or 3 percent a year ago, so cryptocurrencies are definitely eating into the gold play.”

In fact, while gold has fallen more than 2 percent in the past month, bitcoin has actually more than doubled its value in that time, according to Coinbase.

Phillip Streible, senior market strategist at RJO Futures, says that the performance of bitcoin futures contracts, the first of which began trading on the Cboe on Sunday, will be a key determinant of gold’s next move.

“If all of a sudden we see bitcoin futures go into a free fall and collapse, [gold will benefit],” he said last week on “Power Lunch.” “Safe haven, store of value, it will start to get people back.”

The next exchange to launch bitcoin futures contracts will be the CME on Dec. 18.

Source: Tech CNBC
Investors are dumping gold to buy bitcoin, says strategist

Comments are closed.