Bitcoin's Price and Market Activity
Bitcoin's price on November 24, 2023, reflects a steady rise in value, standing at $37,903. Over the past 24 hours, BTC has fluctuated between $36,972 and $38,078, with a trading volume of $17.41 billion, signaling strong market activity to end the week. The crypto asset's market capitalization is currently coasting along at $737 billion.
Optimistic Outlook for Bitcoin
The technical indicators present an optimistic outlook for bitcoin (BTC). The oscillators, including the relative strength index at 62 and the Stochastic at 83, currently indicate a neutral stance. However, the commodity channel index at press time at 123 suggests a growing momentum. This combination of readings implies that while the market is not in an overbought or oversold condition, it is gearing up for some more potential price movements.
Moving averages unanimously signal optimistic sentiment as well. The exponential and simple moving averages across different time frames (10, 20, 30, 50, 100, and 200 days) all suggest an upward trajectory for BTC's price for the time being. This alignment across various time frames points to a strong and sustained bullish trend, reinforcing the positive sentiment among traders.
Encouraging Trend and Resistance/Support Levels
The 4-hour chart analysis reveals an encouraging trend for bitcoin. The chart shows a recent uptrend marked by higher highs and higher lows. The increase in volume accompanying this uptrend is a sign of strength in the current movement. This pattern is typically indicative of sustained buying interest and could signal further price increases.
In terms of resistance and support levels, BTC faces immediate resistance around the recent high of $38,078. Conversely, a significant support level is established at the previous low of around $35,539. These levels are crucial for traders to monitor, as they can offer insights into potential breakout or retracement scenarios.
Entry and Exit Points
For entry and exit points, a potential entry could be around the $37,000 mark, aligning with the latest breakout level. This price point may now act as a support level following its previous role as resistance. In terms of exit strategy, traders might consider taking profits near the recent high of $38,078 or use a trailing stop loss if they anticipate a continuation of the uptrend.
Bullish and Bearish Verdict
Bull Verdict:
The technical analysis for BTC/USD as of November 24, 2023, strongly suggests a bullish trend. The alignment of both oscillators and moving averages indicates a sustained upward momentum. With a consistent pattern of higher highs and higher lows, and a robust market capitalization, the market sentiment leans positively.
Bear Verdict:
Despite the current bullish indicators, a bearish outlook cannot be entirely dismissed for BTC as of November 24, 2023. The crypto market is known for its volatility, and a sudden shift in investor sentiment or external economic factors could reverse the current trend. The resistance level near $38,078 might prove to be a significant hurdle, and any failure to breach this could lead to a retracement.
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Frequently Asked Questions
How much of your portfolio should you hold in precious metals
This question can only be answered if we first know what precious metals are. Precious Metals are elements that have a very high relative value to other commodities. This makes them very valuable in terms of trading and investment. The most traded precious metal is gold.
There are many other precious metals, such as silver and platinum. The price of gold fluctuates, but it generally remains stable during times of economic turmoil. It is also not affected by inflation and depression.
In general, prices for precious metals tend increase with the overall marketplace. That said, they do not always move in lockstep with each other. For instance, gold's price will rise when the economy is weak, while precious metals prices will fall. This is because investors expect lower rates of interest, which makes bonds less attractive investments.
When the economy is healthy, however, the opposite effect occurs. Investors favor safe assets like Treasury Bonds, and less precious metals. Since these are scarce, they become more expensive and decrease in value.
It is important to diversify your portfolio across precious metals in order to maximize your profit from precious metals investments. Furthermore, because the price of precious Metals fluctuates, it is best not to focus on just one type of precious Metals.
Should you Invest In Gold For Retirement?
This will depend on how much money and whether you were able to invest in gold at the time that you started saving. If you are unsure which option to choose, consider investing in both options.
Not only is it a safe investment but gold can also provide potential returns. It's a great investment for retirees.
While many investments promise fixed returns, gold is subject to fluctuations. As a result, its value changes over time.
This doesn't mean that you should not invest in gold. Instead, it just means you should factor the fluctuations into your overall portfolio.
Another benefit to gold? It's a tangible asset. Gold can be stored more easily than stocks and bonds. It is also easily portable.
As long as you keep your gold in a secure location, you can always access it. There are no storage charges for holding physical gold.
Investing in gold can help protect against inflation. It's a great way to hedge against rising prices, as gold prices tend to increase along with other commodities.
Additionally, it will be a benefit to have some of your savings invested into something that won't lose value. Gold tends to rise when the stock markets fall.
Another advantage to investing in gold is the ability to sell it whenever you wish. You can also liquidate your gold position at any time you need cash, just like stocks. It doesn't matter if you are retiring.
If you do decide to invest in gold, make sure to diversify your holdings. Do not put all your eggs in one basket.
Do not buy too much at one time. Start small, buying only a few ounces. You can add more as you need.
Remember, the goal here isn't to get rich quickly. Instead, the goal is to accumulate enough wealth that you don't have to rely on Social Security.
Although gold might not be the right investment for everyone it could make a great addition in any retirement plan.
How much should you have of gold in your portfolio
The amount of money you need to make depends on how much capital you are looking for. A small investment of $5k-10k would be a great option if you are looking to start small. As you grow, you can move into an office and rent out desks. This will allow you to pay rent monthly, and not worry about it all at once. Only one month's rent is required.
Also, you need to think about the type of business that you are going to run. My company is a website creator. We charge our clients about $1000-2000 per monthly depending on what they order. Consider how much you expect to make from each client, if you decide to do this kinda thing.
Because freelance work pays freelancers, you won't likely get a monthly income if you do freelance work. So you might only get paid once every 6 months or so.
Decide what kind of income do you want before you calculate how much gold is needed.
I recommend starting with $1k-$2k in gold and working my way up.
What's the advantage of a Gold IRA?
Many benefits come with a gold IRA. You can diversify your portfolio with this investment vehicle. You can control how much money is deposited into each account as well as when it's withdrawn.
Another option is to rollover funds from another retirement account into a IRA with gold. This allows you to easily transition if your retirement is early.
The best part? You don’t need to have any special skills to invest into gold IRAs. These IRAs are available at all banks and brokerage houses. Withdrawals can be made instantly without the need to pay fees or penalties.
But there are downsides. The volatility of gold has been a hallmark of its history. So it's essential to understand why you're investing in gold. Are you looking for growth or safety? Are you looking for growth or insurance? Only by knowing the answer, you will be able to make an informed choice.
If you plan on keeping your gold IRA alive for a while, you may want to consider purchasing more than 1 ounce of pure gold. A single ounce isn't enough to cover all of your needs. Depending upon what you plan to do, you could need several ounces.
A small amount is sufficient if you plan to sell your gold. You can even live with just one ounce. But you won't be able to buy anything else with those funds.
Do You Need to Open a Precious Metal IRA
Precious metals are not insured. This is the most important fact to know before you open an IRA account. If you lose money in your investment, nothing can be done to recover it. This includes all investments that are lost to theft, fire, flood, or other causes.
It is best to invest in physical gold coins and silver coins to avoid this type loss. These items have been around for thousands of years and represent real value that cannot be lost. These items are worth more today than they were when first produced.
If you decide to open an IRA account, choose a reputable company that offers competitive rates and products. A third-party custodian is a good option. They will protect your assets while giving you easy access whenever you need them.
If you decide to open an account, remember that you won't see any returns until after you retire. Don't forget the future!
Who is the owner of the gold in a gold IRA
The IRS considers any individual who holds gold “a form of income” that is subject to taxation.
To take advantage of this tax-free status, you must own at least $10,000 worth of gold and have been storing it for at least five years.
While gold may be a great investment to help prevent inflation and volatility in the market, it's not wise to keep it if you won't use it.
You will need to declare the value of gold if you intend on selling it one day. This could impact how capital gains taxes you owe for cash investments.
It is a good idea to consult an accountant or financial planner to learn more about your options.
Statistics
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
- If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (lendedu.com)
- You can only purchase gold bars at least 99.5% purity. (forbes.com)
- (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
- Indeed, several financial advisers interviewed for this article suggest you invest 5 to 15 percent of your portfolio in gold, just in case. (aarp.org)
External Links
forbes.com
- Gold IRA: Add some sparkle to your retirement nest egg
- Understanding China's Evergrande Crisis – Forbes Advisor
law.cornell.edu
- 7 U.S. Code SS7 – Designation board of trade as contract marketplaces
- 26 U.S. Code SS 408 – Individual retirement account
irs.gov
investopedia.com
- Do You Need a Gold IRA to Get Retirement?
- What are the Options? Types, Spreads, Example and Risk Metrics
How To
Three Ways to Invest In Gold For Retirement
It's crucial to understand where gold fits in your retirement strategy. You have many options for investing in gold if there is a 401K account at your workplace. It is also possible to invest in gold from outside of your work environment. One example is opening a custodial accounts at Fidelity Investments if an IRA (Individual Retirement Account), if you already own one. You may also want to purchase precious metals from a reputable dealer if you don’t already have them.
If you do invest in gold, follow these three simple rules:
- Buy Gold With Your Cash – Do not use credit cards to purchase gold. Instead, deposit cash into your accounts. This will help you to protect yourself against inflation while also preserving your purchasing power.
- Own Physical Gold Coins – You should buy physical gold coins rather than just owning a paper certificate. Physical gold coins are easier to sell than certificates. Also, there are no storage fees associated with physical gold coins.
- Diversify Your Portfolio – Never put all of your eggs in one basket. Also, diversify your wealth and invest in different assets. This reduces risk and allows you to be more flexible during market volatility.
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By: Jamie Redman
Title: Bitcoin Technical Analysis: Bulls Eye $38K Amid Stiff Resistance
Sourced From: news.bitcoin.com/bitcoin-technical-analysis-bulls-eye-38k-amid-stiff-resistance/
Published Date: Fri, 24 Nov 2023 15:23:29 +0000
