Is Bitcoin Back?
Rodney Johnson | May 15, 2019 | 100%. That's how much the price of bitcoin increased since December 31. At last check, the cryptocurrency was trading at $7,502, after jumping 14% on Friday and 7% on Monday. For non-mathematicians, that's more than 20% in just a couple of days. Not bad. So, are cryptocurrencies back? If you're looking for an investment with zero assets, no home turf, no management, and a side of adrenaline rush, then this is your baby. But if you want stability, as most people do with their currency, then take a pass. And that's the problem with bitcoin. It's not stable and not used for many transactions. Other than that, it's a perfectly acceptable currency! As for why it's going up, there are a couple of reasons, one internal and one external… On the inside, bitcoin is headed for another "halvening," which is the time when bitcoin miners earn half as much for their efforts because the algorithm controlling the cryptocurrency will reduce the amount of bitcoin created by 50%. Without getting too far into the weeds, miners verify all transactions on the blockchain, and then add a small block of verified transactions to the blockchain. The entire process is computer intensive and uses a lot of power, so miners are paid in bitcoin. The controlling algorithm determines the rate of pay, and it drops by 50% about every four years. By consistently lowering the number of coins created, the system is trying to maintain or even increase the value of bitcoin. If demand and use are growing faster than supply, then the price should go up, making everything purchased with bitcoin comparatively cheaper. The next halvening will occur in May 2020, which seems like a long way off, but it's possible that bitcoin investors are starting to build positions in front of that date. On the outside… READ MORE » | Gold bugs HATE this man 
Why? Because he's one of the only economists brave enough to expose the ugly truth about gold. It has to do with the yellow metal's fatal flaw as a safe haven investment… and why Americans relying on it to protect their retirement in 2018 could get crushed. You'll never hear about this from gold bugs, Wall Street, or the mainstream media… but If you own gold or you're thinking about buying some… you need to click here and see this now.
| Trending Stories... Markets were badly shaken this morning as news of China's planned tariffs on $60 billion worth of U.S. goods hit the wire. I emailed Boom & Bust subscribers earlier with an update on my Dark Window scenario, and some insights into what to expect over the next few months. I've labelled one possible outcome "Holy... Markets look to finally be making a much-needed correction, triggered by the U.S.-China trade deal drama. Everyone seems to think a deal is around the corner. Not me. While this trade war hurts them, they have a long-term goal, and they're prepare to take all the pain in the world to achieve it. I explain... I recently had dinner with my extended family. Afterwards, my parents mentioned they were surprised at how expensive the meal had been. It was a nice restaurant, but nothing fancy. It worked out to roughly $50 apiece, before tip. As we left, we separately climbed into our newish cars, which all cost more than $40,000.... U.S. markets have had a bad week. After reaching all-time highs recently – the Dow at 26,656.39 on April 23 (not quite new high), the S&P 500 at 2,945.83 on April 30, and the Nasdaq at 8,164 on May 3 – they've spent the last three days in the red. Monday, the Dow shed as... Employment numbers came out last week and showed unemployment at a 50-year low. Average hourly earnings are up 3.2% over the past year. Add in the equity markets at record highs, GDP at 3.2% in the first quarter, and 10-year bonds at 2.5%, and you might be forgiven for thinking we're in economic growth nirvana. But... | 
No comments:
Post a Comment