Bitcoin and gold showed clear signs of strength on March 24 when the US Federal Reserve revealed the true level of printing money.

After losing $ 6,000 on Monday, BTC / USD held steady around $ 6,500. At the same time, gold is also rising and market analysts think the recent sell-off has ended.

Fed: We have “unlimited money”.

Precious metals are trading at around $ 1,572 at the time of writing, the daily improvement rate is 1.35%.

bitcoin

Bitcoin chart versus gold in 1 year | Source: Skew.com

Follow quote by Bloomberg, Goldman Sachs emphasized gold's recovery behavior during the 2008 financial crisis. Then, as now, the Fed removed barriers to dollar liquidity and pushed gold prices higher.

As various sources say, the Fed will buy back $ 125 billion a day – the equivalent of $ 2.5 trillion a month.

Aiming at protecting the US economy, this plan was like flooding the market in “new” dollars while becoming the largest money-printing test of US history.

Treasury Secretary Steven Mnuchin described the liquidity provided to businesses and banks as “almost unlimited”.

In one interview With CBS on Sunday, President Neel Kashkari of the Federal Reserve Bank of Minneapolis affirmed:

“There is an infinite amount of cash in the Federal Reserve. We will do anything necessary to ensure sufficient cash in the banking system ”.

The Fed does “entirety Zimbabwe ”

This motivated the rich and Bitcoiner to argue that fiat is fast becoming a reliable financial instrument. In a later tweet, PlanB (who created the stock-to-flow price model of Bitcoin) described the Fed's actions as a central bank to perform “fully Zimbabwe”.

“So the Fed does entirety Zimbabwe .. less than 50 days until halving? !!! The chart is updated when the price at level 6,$ 300. ”

He noted there was only 50 days left before the supply of Bitcoin dropped to a new low of 6.25 BTC.

READ  PlanB once again asserts that Bitcoin price will reach $ 100,000 by 2021

The stock-to-flow model predicts an average Bitcoin price of about $ 100,000 between 2021 and 2024. PlanB proved the model is still in effect, although BTC / USD dropped below $ 4,000 by week. before.

‘Pay daily over 6,900 dollars then I'll search long’

TraderSZ is still inclined to the discount scenario. He is waiting for BTC to close higher than $ 6,900 on the daily chart to start opening long positions.

If BTC drops below $ 5,850 again, he will place a short order.

“Still inclined to fall but not there entry clearly. If BTC take level 5,850 dollars Again, I will start looking for short. Price hDaily close on 6,900 dollars are I searched long. To avoid range Being traded, the price needs breakout. I am not a fan of BTC should work in the forex market theretofore”.

Trader George emphasized that Bitcoin did not drop to a lower level before surging on Monday. He will continue to look for a short position if the price rises to the highs of BTC, as the main cryptocurrency can drop as quickly as it did. it increases.

“Stop out my short. -1R. I'm not Prefer not falling prices before Higher gain, that's why I'm still looking for short Even if the price increases high level. Awaiting proper confirmation ”.

Besides, George tweeted:

“If not clear, Do not enter the transaction. Only đgrace like that. “

If that happens I will target the next $ 7,800

Analyst Michael van de Poppe believes that right now Bitcoin needs a breakout of $ 6,800 – $ 6,950. If successful, the next price action could lead BTC towards $ 7,800.

“Rising along with the stock market and mining the high level.

The key area to break down is still $ 6,800-6,950. If successful, I will target the next $ 7,800 ”.

However, if that fails, the analyst will take a side of the bear and expect the next area to be $ 5,200-4,800.

READ  The real volume of Bitcoin is booming, fueling cryptocurrency protests

“A rally if break below $ 6,800-6,900 and flip support. Discount if opposite And after that was $ 4,800 / 5,200 target. I am just sharing my opinion. ”

You can see the price of Bitcoin here.

Disclaimer: This is not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.

Thuy Trang

According to AZCoin News

Follow the Twitter page | Subscribe to Telegram channel | Follow the Facebook page

Crypto loans are only from 5.9% annual interest rate – you can use the money effectively without selling coins. Earn up to 8% interest per year with stablecoin, USD, EUR & GBP with insurance up to 100 million. Come on, get started now! →

Read more :

Leave a Reply

Your email address will not be published. Required fields are marked *