Alliance Bernstein Analyst Recommends Buying Bitcoin Dip
A senior analyst specializing in digital assets at global asset management firm Alliance Bernstein, Gautam Chhugani, has advised investors to buy the bitcoin dip. In a client note reviewed by Yahoo Finance, Chhugani emphasized the importance of focusing on the new bitcoin adoption cycle and identified the minor selloffs as opportunities for investors to capitalize on the asymmetric upside.
Spot Bitcoin ETF Approval by SEC
The U.S. Securities and Exchange Commission (SEC) recently approved 11 spot bitcoin exchange-traded funds (ETFs). The anticipation surrounding this approval initially drove the price of bitcoin past $49,000. However, there was a subsequent drop to around $42,000. At the time of writing, BTC is trading at $43,170.14.
Alliance Bernstein's Positive Outlook on Bitcoin
In November of last year, Alliance Bernstein predicted that the price of bitcoin would reach $150,000 by 2025. Chhugani explained that this optimistic prediction is based on the expectation of spot bitcoin ETF approval. He noted that a dispassionate view of bitcoin as a commodity suggests a turn of the cycle.
Significance of Spot Bitcoin ETF Approval
The approval of spot bitcoin ETFs by the SEC is considered a landmark moment by many in the crypto industry. Alesia Haas, the chief financial officer of crypto exchange Coinbase, described it as "a landmark day for crypto." Haas believes that spot bitcoin ETFs will attract trillions of dollars from investors who previously did not have access to crypto assets and bitcoin.
What are your thoughts on the recommendation to buy the bitcoin dip? Share your opinion in the comments below.
Frequently Asked Questions
What is the tax on gold in an IRA
The fair value of gold sold to determines the price at which tax is due. Gold is not subject to tax when it's purchased. It isn't considered income. If you decide to make a sale of it, you'll be entitled to a taxable loss if the value goes up.
Gold can be used as collateral for loans. Lenders seek to get the best return when you borrow against your assets. This usually involves selling your gold. This is not always possible. They might just hold onto it. They might decide that they want to resell it. You lose potential profits in either case.
In order to avoid losing your money, only lend against your precious metal if you plan to use it to secure other collateral. You should leave it alone if you don't intend to lend against it.
What are the benefits of a gold IRA
Many benefits come with a gold IRA. It is an investment vehicle that can diversify your portfolio. You have control over how much money goes into each account.
You can also rollover funds from other retirement accounts to a gold IRA. This makes for an easy transition if you decide to retire early.
The best part is that you don't need special skills to invest in gold IRAs. They're available at most banks and brokerage firms. Withdrawals are made automatically without having to worry about fees or penalties.
However, there are still some drawbacks. Gold has always been volatile. Understanding why you invest in gold is crucial. Are you seeking safety or growth? Is it for insurance purposes or a long-term strategy? Only after you have this information will you make an informed decision.
You might want to buy more gold if you intend to keep your gold IRA for a long time. A single ounce will not be sufficient to meet all your requirements. You could need several ounces depending on what you plan to do with your gold.
If you're planning to sell off your gold, you don't necessarily need a large amount. You can even get by with less than one ounce. But you won't be able to buy anything else with those funds.
What precious metals do you have that you can invest in for your retirement?
Gold and silver are the best precious metal investments. They are both simple to purchase and sell, and they have been around for a long time. These are great options to diversify your portfolio.
Gold: This is the oldest form of currency that man has ever known. It's also very safe and stable. Because of this, it's considered a good way to preserve wealth during times of uncertainty.
Silver: The popularity of silver has always been a concern for investors. It is an excellent choice for investors who wish to avoid volatility. Silver, unlike gold, tends not to go down but up.
Platinum: A new form of precious metal, platinum is growing in popularity. It's like silver or gold in that it is durable and resistant to corrosion. It's however much more costly than any of its counterparts.
Rhodium – Rhodium is used to make catalytic conversions. It is also used as a jewelry material. It is also quite affordable compared with other types of precious metals.
Palladium (or Palladium): Palladium can be compared to platinum, but is much more common. It's also less expensive. It's a popular choice for investors who want to add precious metals into their portfolios.
Statistics
- This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
- Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)
- You can only purchase gold bars at least 99.5% purity. (forbes.com)
- Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
External Links
bbb.org
forbes.com
- Gold IRA: Add Some Sparkle To Your Retirement Nest Egg
- Understanding China's Evergrande Crisis – Forbes Advisor
finance.yahoo.com
law.cornell.edu
- 7 U.S. Code SS 7 – Designation of boards of trade as contract markets
- 26 U.S. Code SS 408 – Individual retirement plans
How To
Tips for Investing in Gold
Investing in Gold has become a very popular investment strategy. Because investing in gold has many benefits. There are many options for investing in gold. Some people buy physical gold coins, while others prefer investing in gold ETFs (Exchange Traded Funds).
Before buying any kind of gold, you need to consider these things.
- First, find out if your country allows gold ownership. If so, then you can proceed. You might also consider buying gold in foreign countries.
- You should also know the type of gold coin that you desire. You have the option of choosing yellow, white, or rose gold.
- You should also consider the price of gold. Start small and move up. You should diversify your portfolio when buying gold. Diversifying your portfolio includes stocks, bonds, mutual funds, real estate, commodities, and mutual funds.
- Don't forget to keep in mind that gold prices often change. Be aware of the current trends.
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By: Kevin Helms
Title: Senior Analyst Advises Investors to Buy Bitcoin Dip and Focus on New Adoption Cycle
Sourced From: news.bitcoin.com/analyst-advises-investors-to-buy-the-bitcoin-dip-predicts-asymmetric-upside-ahead/
Published Date: Wed, 17 Jan 2024 02:30:02 +0000
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