With crypto nosediving into oblivion, gold bugs are starting to crawl out of their caves. I'm not really sure why Gold Bugs are thumping their chests especially when Gold has done... well... nothing for the past 10 years.
Fun Fact: 11% of Gold's market cap is allocated to industrial application. Ok. Gold's market cap is 11.7 trillion. 0.89 * 11.7T = 10.41T. So, 10.41T of Gold's value is based on... what exactly? Shininess? Looks pretty? Scarcity? Recently, Uganda just discovered 31 million tons of Gold lol.
Putting 10.41T in market cap into perspective: FAANG + Tesla + Microsoft don't equate to 10.41T. Mind you, these companies combined together (7.7T) run and control almost every aspect of our lives. Just putting value into perspective here.
Looking at Price action, I definitely wouldn't be flexing if I was a Gold Bug. The "Hedge against inflation" narrative is about to be shattered. Gold is forming a triple top at ~$2,000. Looking at Cipher, Momentum (Blue Wave) and Moneyflow (Green/Red Wave) are both coming down just like it did in 2012 with a confirmed monthly sell signal in May.
First target: $1360. The scary part about Gold's chart is the money flow wave at $2,000 today is smaller than the money flow wave at $2,000 in 2010 indicating a monthly divergence. This could result in a multi-year bear market for Gold.
This whole fantasy narrative where you're going to march into town with your precious metals clanking around in your pocket needs to be dispelled. Even in under developing countries like Argentina, Chile, Mexico, Brazil, and Columbia, even they are transitioning to a completely cashless society. In Mercadolibre's most recent investor presentation, 7/10 people who were introduced to digital payments are going to continue with digital payments. The era of CBDC's is arriving faster than anyone could imagine (This decade). The era of hard physical money is quickly fading away. And it's not coming back. It's called the Great Reset for a reason. There's no hiding behind any asset. And if you think you can outsmart the system by investing, you'll lose even more fiat currency that you work so desperately hard for on a daily basis. Welcome to the system! Please enjoy your stay!
Perhaps there's another utility about gold I don't know about. Maybe your grandchildren will learn to play hopscotch with your gold.
Fun Fact: 11% of Gold's market cap is allocated to industrial application. Ok. Gold's market cap is 11.7 trillion. 0.89 * 11.7T = 10.41T. So, 10.41T of Gold's value is based on... what exactly? Shininess? Looks pretty? Scarcity? Recently, Uganda just discovered 31 million tons of Gold lol.
Putting 10.41T in market cap into perspective: FAANG + Tesla + Microsoft don't equate to 10.41T. Mind you, these companies combined together (7.7T) run and control almost every aspect of our lives. Just putting value into perspective here.
Looking at Price action, I definitely wouldn't be flexing if I was a Gold Bug. The "Hedge against inflation" narrative is about to be shattered. Gold is forming a triple top at ~$2,000. Looking at Cipher, Momentum (Blue Wave) and Moneyflow (Green/Red Wave) are both coming down just like it did in 2012 with a confirmed monthly sell signal in May.
First target: $1360. The scary part about Gold's chart is the money flow wave at $2,000 today is smaller than the money flow wave at $2,000 in 2010 indicating a monthly divergence. This could result in a multi-year bear market for Gold.
This whole fantasy narrative where you're going to march into town with your precious metals clanking around in your pocket needs to be dispelled. Even in under developing countries like Argentina, Chile, Mexico, Brazil, and Columbia, even they are transitioning to a completely cashless society. In Mercadolibre's most recent investor presentation, 7/10 people who were introduced to digital payments are going to continue with digital payments. The era of CBDC's is arriving faster than anyone could imagine (This decade). The era of hard physical money is quickly fading away. And it's not coming back. It's called the Great Reset for a reason. There's no hiding behind any asset. And if you think you can outsmart the system by investing, you'll lose even more fiat currency that you work so desperately hard for on a daily basis. Welcome to the system! Please enjoy your stay!
Perhaps there's another utility about gold I don't know about. Maybe your grandchildren will learn to play hopscotch with your gold.
Comment:
Wow such a nice hedge against inflation
