more_reports

Get the Latest Investment Ideas Delivered Straight to Your Inbox. Subscribe

Crypto vs. Gold
Contributed Opinion

View Important Disclosures for this Article
Share on Stocktwits

Source:

Technical Analyst Clive Maund compares his outlook for gold and cryptocurrencies.

There's a crucial point that needs to be understood by investors at this time when considering the virtues of crypto versus gold. The powers that be frown on gold because gold provides genuine financial security and independence and an off-ramp from the system, which is designed to corral the population so that they can be steered and controlled financially.

So what they are seeking to do is provide an alternative that will channel investors in the direction that they want to take them so that they maintain ultimate control and can, at a time of their choosing, plunder these assets via bails-ins or hyperinflation or, in the event of complete systemic implosion, by the appropriation (stealing) of investors in what is known as The Great Taking and they have already laid the legal framework to enable them to do this.

Despite being a plutocrat himself, albeit one with the taste of a Russian oligarch, Trump has a rare ability to resonate with the masses, both the middle and lower classes, which was demonstrated by his recent successful stint working at McDonalds. Yet we should remember he is a wealthy man whose primary function is to advance the interests of the very wealthy, as is normal for top business leaders and politicians. Trump has stated in the past that he wants to turn the U.S. into "the crypto capital of the world."

The purpose of this, beyond siphoning off funds that would otherwise in part at least be destined for commodities and in particular gold and silver, is believed to be to normalize and mainstream cryptos and blockchain based-transactions in order to get the investing public more acclimated to them, the better to prepare them for the launch of CBDC's on a grand scale so that they are much more accepting of them. CBDCs are already organized and ready to go, and all that is needed is the right environment to lure the masses of investors and citizens into accepting them in sufficient numbers. Once that happens, the trap will be sprung, and all privacy with respect to financial transactions will be gone.

It is thus clear that they want to make cryptos as attractive as possible in order to suck as many investors into them as possible, and the best way to do that is to conspire to generate big gains in them. We have already seen this with strong gains in cryptos since Trump won the election and had figured it out immediately after he won, a standout being Dogecoin, which has risen about 4-fold in 5 weeks, doubtless helped by the knowledge that it's a favorite of Elon Musk. Notwithstanding corrections and shakeouts to periodically unwind their overbought conditions, they look set to go much, much higher and thus are buys on whatever significant dips come along.

We can see how Bitcoin took off strongly higher when it became known that Trump had won the election.

The money for this had to come from somewhere, and here's where it came from.

Dogecoin is apparently Elon Musk's favorite crypto, which helps explain its 4-fold gain from early October.

Although cryptos are likely to be the stars of the show for some considerable time for the political reasons outlined above, with gold and silver "playing second fiddle" to them, it is important to remember that gold and silver cannot drop much from here.

The reason is the vast amounts of money that will have to be spirited into existence to stabilize the debt markets and force down interest rates in order to recreate a "risk on" environment. New debt creation will go vertical against the background of an already totally saturated debt market, which means that the sums of money to be created are immense and will eclipse what has been created in the past, perhaps by orders of magnitude.

Once this works through the system it will cause hyperinflation and gold and silver prices cannot fall in such an environment — on the contrary, they are likely to soar. This is why any weakness in gold and silver, such as we are seeing now, will be viewed by us as an opportunity to accumulate the sector further, although this won't stop us riding the crypto bubble until it bursts.


Want to be the first to know about interesting Cryptocurrency / Blockchain and Gold investment ideas? Sign up to receive the FREE Streetwise Reports' newsletter. Subscribe

Important Disclosures:

  1. Statements and opinions expressed are the opinions of the author and not of Streetwise Reports, Street Smart, or their officers. The author is wholly responsible for the accuracy of the statements. Streetwise Reports was not paid by the author to publish or syndicate this article. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Any disclosures from the author can be found  below. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.

  2. This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company.

For additional disclosures, please click here.

Clivemaund.com Disclosures

The above represents the opinion and analysis of Mr. Maund, based on data available to him, at the time of writing. Mr. Maund's opinions are his own, and are not a recommendation or an offer to buy or sell securities. As trading and investing in any financial markets may involve serious risk of loss, Mr. Maund recommends that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction, and do your own due diligence and research when making any kind of a transaction with financial ramifications. Although a qualified and experienced stock market analyst, Clive Maund is not a Registered Securities Advisor. Therefore Mr. Maund's opinions on the market and stocks cannot be construed as a recommendation or solicitation to buy and sell securities.


Want to read more about Cryptocurrency / Blockchain and Gold investment ideas?
Get Our Streetwise Reports' Resources Report Newsletter Free and be the first to know!

A valid email address is required to subscribe