Bitcoin and Ethereum, two of the industry's leading cryptocurrencies, continue to tread cautiously as market participants eagerly anticipate the release of the Federal Open Market Committee (FOMC) minutes. The FOMC report is a significant economic indicator which can potentially steer the broader financial market, including cryptocurrencies like Bitcoin and Ethereum, in the near term.
Bitcoin's Cautious Stand Below $28,000
With the consolidating price of Bitcoin, the leading currency has maintained its current position below the key $28,000 level in the midst of uncertain market conditions. Despite Bitcoin's (BTC) price reaching an intraday high of $27,715.85, it has yet to regain momentum against the recent losses experienced in the past 24 hours when it recorded an intraday low of $27,302.56.
While some market participants anticipate bullish momentum in the longer run, the potential for bears to drive prices towards the $27,000 level in the near future exists. The 14-day Relative Strength Index (RSI) also found itself exhibiting a downward trend with its current reading standing at 54.95, suggesting a potential weakening of price strength as it distances itself from the crucial resistance level of 60.00.
Although Bitcoin trades currently at $27,518.86, market predictions imply a potential surge in volatility as the impending release of the FOMC minutes approaches.
Ethereum's Tough Journey Below $1,700
Similarly, Ethereum (ETH), despite being a crucial player in the crypto scene, experienced a challenging trading session. In light of the recent decision by the Ethereum Foundation to trade 1,700 tokens, Ethereum's value tested the waters below $1,700.
Starting the week with a high of $1,596.97, ETH/USD recorded a drop, reaching a daily low of $1,553.01. This movement marked a one-month low for the digital asset, triggering a ‘buy the dip’ response from bulls which spurred its current price to $1,580.44.
An analysis of Ethereum's performance illustrates a concerning trend. The recent price fall has brought the 10-day (red) moving average perilously close to forming a downward cross with its 25-day (blue) equivalent. Should this crossover occur, it could possibly trigger widespread sell-offs, pushing Ethereum's price to drop below the anticipated $1,500 level.
As the week progresses, only time will tell if these market movements will manifest into a larger bearish trend. What are your thoughts about the impending market movements? Can the bull wave re-emerge, or will the bears maintain their stronghold?
Frequently Asked Questions
How much gold do you need in your portfolio?
The amount of capital that you require will determine how much money you can make. If you want to start small, then $5k-$10k would be great. Then as you grow, you could move into an office space and rent out desks, etc. This will allow you to pay rent monthly, and not worry about it all at once. Only one month's rent is required.
It's also important to determine what type business you'll run. My website design company charges clients $1000-2000 per month depending on the order. This is why you should consider what you expect from each client if you're doing this kind of thing.
Because freelance work pays freelancers, you won't likely get a monthly income if you do freelance work. This means that you may only be paid once every six months.
Decide what kind of income do you want before you calculate how much gold is needed.
I would recommend that you start with $1k-2k worth of gold and then increase your wealth.
What precious metals could you invest in to retire?
It is gold and silver that are the best precious metal investment. They are both simple to purchase and sell, and they have been around for a long time. If you want to diversify your portfolio, you should consider adding them to your list.
Gold: This is the oldest form of currency that man has ever known. It's also very safe and stable. It's a great way to protect wealth in times of uncertainty.
Silver: Silver has been a favorite among investors for years. It's a good choice for those who want to avoid volatility. Unlike gold, silver tends to go up instead of down.
Platinum: A new form of precious metal, platinum is growing in popularity. It is very durable and resistant against corrosion, much like silver and gold. It is however more expensive than its counterparts.
Rhodium: The catalytic converters use Rhodium. It is also used as a jewelry material. It's also relatively inexpensive compared to other precious metals.
Palladium: Palladium is similar to platinum, but it's less rare. It's also much more affordable. Investors looking to add precious and rare metals to their portfolios love it for these reasons.
How do you withdraw from an IRA that holds precious metals?
First, determine if you would like to withdraw money directly from an IRA. Next, ensure you have enough cash on hand to pay any penalties or fees that could be associated with withdrawing funds.
A taxable brokerage account is a better option than an IRA if you are prepared to pay a penalty for early withdrawals. You will also have to account for taxes due on any amount you withdraw if you choose this option.
Next, you'll need to figure out how much money you will take out of your IRA. This calculation is affected by many factors, such as the age at which you withdraw the money, the amount of time the account has been owned, and whether your plans to continue contributing to your retirement fund.
Once you have an idea of the amount of your total savings you wish to convert into cash you will need to decide what type of IRA you want. Traditional IRAs allow for you to withdraw funds without tax when you turn 59 1/2. Roth IRAs, on the other hand, charge income taxes upfront but you can access your earnings later and pay no additional taxes.
Finally, you'll need to open a brokerage account once these calculations are completed. To encourage customers to open accounts, brokers often offer signup bonuses and promotions. To avoid unnecessary fees, however, try opening an account using a debit card rather than a credit card.
When it's time to make withdrawals from your precious-metal IRA, you'll need a place to keep your coins safe. Some storage facilities will take bullion bars while others require you only to purchase individual coins. Before you choose one, weigh the pros and cons.
Because you don't have to store individual coins, bullion bars take up less space than other items. But, each coin must be counted separately. You can track their value by keeping individual coins.
Some people prefer to keep coins safe in a vault. Some prefer to keep them in a vault. Whatever method you choose to store your bullion, you should ensure it is safe and secure so you can enjoy its many benefits for many years.
Statistics
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
- 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)
- If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (lendedu.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)
- If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item's value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)
External Links
bbb.org
law.cornell.edu
- 7 U.S. Code SS7 – Designation board of trade as contract marketplaces
- 26 U.S. Code SS 408 – Individual retirement account
finance.yahoo.com
cftc.gov
How To
How to Hold Physical Gold in an IRA
The best way of investing in gold is to purchase shares from companies that produce gold. But this investment method has many risks as there is no guarantee of survival. Even if they survive, there's always the risk that they will lose money due fluctuations in gold prices.
An alternative option would be to buy physical gold itself. This requires you to either open up your account at a bank or an online bullion dealer or simply purchase gold from a reputable seller. These options offer the convenience of easy access, as you don't need stock exchanges to do so. You can also make purchases at lower prices. It's also easier to see how much gold you've got stored. So you can see exactly what you have paid and if you missed any taxes, you will get a receipt. You are also less likely to be robbed than investing in stocks.
There are also some drawbacks. Bank interest rates and investment funds won't help you. Also, you won't be able to diversify your holdings – you're stuck with whatever you bought. The taxman might also ask you questions about where your gold is located.
BullionVault.com offers more information on buying gold for an IRA.
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By: Eliman Dambell
Title: Bitcoin and Ethereum Analysis: Uncertainty Ahead of Pivotal US Economic Indicator
Sourced From: news.bitcoin.com/bitcoin-ethereum-technical-analysis-btc-consolidates-below-28000-ahead-of-key-us-economic-reports/
Published Date: Tue, 10 Oct 2023 12:52:23 +0000
