Friday, November 27, 2020

Bitcoin Experiences Extreme Volatility as it Plummets Overnight

Over the course of the past month, many precious metals investors may not have been aware of the crazy, wild roller coaster of a ride that was occurring once again in the world of Bitcoin.

With all of the current events unfolding around the circus that was the Presidential election, you cannot be faulted, as much of the media attention has been fully and wholeheartedly invested in covering that event.

This is for good reason, as the ramifications of the 2020 U.S. Presidential elections are going to have a rippling effect across the entirety of the globe not just in the short term, but for years to come.

However, one market that has been on fire, skyrocketing to near all time highs is that of Bitcoin, which has had a completely stunning month of gains, well, at least until this week that is.

The Extreme Volatility of Bitcoin

In the early days of Bitcoin, of which I was an active member of, the Bitcoin community was truly a community that was dedicated in transacting in Bitcoin, spreading its message and the tremendous value that it offered as an alternative currency to the government issued fiat that we find ourselves living under.

However, as the years went by, the focus shifted rapidly from transacting in Bitcoin, from building businesses built around Bitcoin, to holding Bitcoin as a speculative play, HODLERS took over and it became all about increasing Bitcoin to higher highs. 

This is fine, even though it is very different from the vision that many had for Bitcoin within the community in those early days and unarguably, many have become fabulously wealthy by "investing" in Bitcoin.

Sadly, there are many more stories about those who came late to the Bitcoin party, jumping aboard the "hype" train and getting decimated in the process, as their emotions got the best of them, they invested everything they had into Bitcoin, only to then sell at much lower prices, as they could not stomach the extreme volatility that exist within the Crypto space.

For those with strong hands, who have dollar cost averaged into the Bitcoin world, they have fared much better, similar to those who have done so for years within the precious metals space, dollar cost averaging month after month, regardless of the highs or lows, mitigating their risks in the process.

 (Chart source, coindesk)

However, the volatility seen within the Bitcoin marketplace is unlike anything else we have seen.

At the start of November, less than 30 days ago, Bitcoin was trading within a range that saw it testing the $14,000 USD level, however not breaking through.

Yet, after the U.S. election results began to trickle in and as it became more and more transparent that Joe Biden would be the next President of the United States, the shackles on the price of Bitcoin were not only discarded, but catapulted towards the moon.

Speculators went ham wild, diving head first into Bitcoin once again, sending the price from $14,000 USD to near its all time 2017 high seen during the last Bitcoin mania. 

This resulted in a high of $19,374.84 USD per Bitcoin earlier in the week, before the Bitcoin bubble once again was popped, sending it crashing lower to $16,285.74 USD overnight!

How's that for volatility?

This is Not the End of Bitcoin

Just as I have said so many times before, this is far from the end of Bitcoin. It may be overbought, it may be in for a correction, as it has done countless times before, however, it is here to stay.

This is not a bad thing, as competition to the government controlled fiat currency monopoly is never a bad thing, however, for people thinking that Bitcoin can only and will only go higher, they are sadly mistaken.

Big money has clearly made it known that they are dabbling within the crypto markets and have the ability to rapidly send it higher, then dump it lower, profiting each time that they do so.

For those who cannot stomach the Bitcoin roller coaster ride, I would suggest that you stay as far as away as possibly, as your emotions can decimate you in a market such as this, causing you to both buy and sell at extremely inopportune times.

Yet, there are those out there that do believe Bitcoin is nothing but a pure speculative bubble, such as the highly regarded Peter Schiff, who has been a constant critic of Bitcoin as an asset;

Peter Schiff regularly spars with Bitcoin enthusiasts on his Twitter timeline, which makes for some rather comical reading, as both sides regularly consider themselves proven "correct" due to the extreme wild swings that are seen within the price of Bitcoin.

However, there is one point that I wholeheartedly agree on with Peter Schiff and that is the fact that Bitcoin is absolutely NOT a replacement for the safety that physical precious metals offer, even though there are many Bitcoin fan boys and girls who would argue that it is.

As previously mentioned, I would put Bitcoin much more in the camp of competing with traditional fiat currency, which I believe would be vastly superior if volatility eventually normalized and it was used primarily as a speculative vehicle.

In Conclusion

The volatility that we are seeing in the Bitcoin marketplace may be some of the most extreme that the world is witnessing at this time, but it is far from the only space that is suffering from wild gyrations and uncertainty.

The world is holding its breath in regards to so many issues at the moment and people are preparing to enter into 2021 with COVID-19 still hanging heavily over their heads.

Will the markets be able to adapt, will we be able to curb the spread and damage that COVID-19 is causing to the global economy?

What will become of the incredibly Divided States of America as we head into 2021, in which people appear to be more divided in their political views than ever before.

There is so much uncertainty, so much that is unknown, however one thing is certain and that is that volatility will be a continuing trend that will only grow from this moment out and be constantly present as we navigate our way through 2021.

Until then, stay safe and as always, keep stacking.

- Source, Nathan McDonald via the Sprott Money Blog

Tuesday, November 24, 2020

Ron Paul: Dark Winter, Biden's Coming Lockdown

Former vice president Joe Biden has been declared president-elect by the mainstream media and he is wasting no time making good on his promise to lock the country down in the name of fighting Covid. 

His Covid task force member Dr. Michael Osterholm is recommending a four to six week mandatory national lockdown, paid for by a massive money-printing operation. 

Will doing the same thing again bring different results? Also today... here's how they are going to force you to take the Covid vaccine. 

- Source, Ron Paul

Sunday, November 22, 2020

Ron Paul: Class Warfare, Fed Counterfeiting & Lockdowns Hammer The Poor & Middle Class

The Fed’s counterfeiting of dollars hits the poor and those on fixed incomes like a sledgehammer. Inflation leads to there never being enough money at the end of the month. 

To make matters worse, unnecessary COVID lockdowns have slammed middle class small businesses, while crony politically-connected corporations made out like bandits. 

Free markets and sound money are desperately needed to return to an economic reality that has been lost on America since the Fed was founded in 1913.

- Source, Ron Paul

Friday, November 20, 2020

A Renewed Surge in COVID-19 Cases Rattles Investors

Just as the economy was beginning to find its feet and begin some form of recovery in earnest, the reality of 2020 has begun to sink in once again, with cases of COVID-19 rising rapidly across both North America and Europe.

Some of this increase has to do with better testing, some if it has to do with the significantly increased knowledge we have about the virus, however, a significant proportion of it has to do with complacency and people's desire to live their lives in as normal of a fashion as they possibly can in this upside down world.

Regardless of the why, the markets are reacting and they are suffering negatively because of it.

Markets Drop Across the Board

Renewed fears of an economic shutdown is what is scaring market participants the most, as it is appearing more and more likely that Joe Biden is going to become the next President of the United States, despite President Trump's continued fight in that arena.

Joe Biden and his closest allies have stated repeatedly that they are not taking a mass shutdown off the table and are indicating that it is a very likely possibility in their attempt to battle the spread of COVID-19 once he takes office.

Many people laugh at this notion, as they believe that it is simply too late to stop the spread of the virus and only a mass national vaccination program will help alleviate the problem, or simple herd immunity over time.

Yet, fears about people's willingness to take the first wave of vaccines is a real concern for the markets.

(Chart sources, google stocks)

These various concerns are what is causing the recent volatility in the markets, as speculation of what is coming next begins to run rampant in the minds of many investors.

Recent polling from across Canada has indicated that support for taking a COVID-19 vaccine is rising from recent levels, however, many are still anxious about taking what they believe to be a "hastily" approved vaccine.

Global News reports;

A new poll suggests the proportion of Canadians planning to get vaccinated for COVID-19 is on the rise after encouraging initial results from Pfizer’s vaccine trial.

Sixty-nine per cent of respondents said they plan to get inoculated against the novel coronavirus once Health Canada approves a vaccine that is broadly available and free, according to a survey by Leger and the Association for Canadian Studies.

The number is a jump from the 63 per cent who said they would take up such an offer one month ago, and a return to levels of vaccine enthusiasm reported in a similar poll in July.

Similar polling, carried out for Global News between October 23-26 by Ipsos, found that just 54 per cent of the Canadian public is willing to take a vaccine as soon as they can. Of that figure, only 22 per cent feel strongly about taking a vaccine right away.

What this means is that there is going to be heavy resistance by a large percentage of the population in taking the first round of COVID-19 vaccines, and despite what your personal beliefs may be surrounding this controversial topic, this has the markets and governments around the world rattled.

China Steams Ahead with Vaccinations

One country that is not waiting for global approval in regards to a standardized COVID-19 vaccine is China, who has to date vaccinated over 1 million citizens under the "emergency use" designation.

This vaccination campaign by the Chinese government is much higher than what Western officials previously believed and of which has been largely targeted towards troops and those in peace keeping positions according to government officials.

Joining the ranks of China, and unsurprisingly to many is Russia, who has also made recent news due to the fact that they have also begun to issue "still in clinical trial" doses of their COVID-19 vaccine.

Zero Hedge reports;

Russia and China are the only two countries actively working to develop a vaccine that have used emergency measures to vaccinate large swaths of their populations. Russian President Vladimir Putin even claimed earlier this year that one of his adult daughters had been inoculated in one of the early-stage trials for the vaccine developed by the Gamaleya Institute.

The rush to profit off of an effective COVID-19 is truly underway at this point, with countries such as Brazil already signing a contract to purchase the Chinese COVID-19 vaccine, while others such as Turkey are also entertaining the idea.

Meanwhile, in North America, both Pfizer, Moderna and other western corporations are signing deals with countries all around the world, as they claim to be close to having an effective COVID-19 vaccine.

In Conclusion

The markets remain rattled at the moment, fearing renewed, potential lockdowns, while also fearing the effectiveness and willingness of the public to take a newly released COVID-19 vaccine.

However, they need to fear not, as big daddy government is soon to be coming to the rescue once again, revving up the printing presses and issuing out stimulus checks galore, of that you can rest assured.

As previously stated, it mattered little who won the election if money printing was first and foremost on your mind, as both Donald Trump and Joe Biden plan to do just that.

In this scenario, both gold and silver bullion remain strong buys in my personal opinion, with dollar cost averaging being the continued preferred method of acquisition, riding out by the highs and the lows in stride.

2020 will remain a volatile year right until it closes its chapter, however, sanity will eventually be returned and a new normality will be resumed, yet with much uncertainty remaining as we head into 2021.

Until that time, stay safe and as always, keep stacking.

- Source, Nathan McDonald via the Sprott Money Blog

Friday, November 13, 2020

The Election from Hell, the Political Hangover of the Century

Just as predicted, the 2020 Presidential Elections went off not with a whimper, but a monstrous, ear shattering blast.

This was easy to see for some, despite the fact that once again the Mainstream Media and the Polling industry were calling for a crushing, undisputable victory for Joe Biden. 

In which they stated he would run away with the night, easily leaving Republicans in the dust.

This clearly was not the case and was easy to predict, as Trump supporters were being horribly underrepresented in the polls, just as they were in 2016.

The result of this will be the complete and utter collapse of the polling industry as we know it, as they have now called both the 2016 and 2020 elections horribly wrong, causing irreparable damage to themselves and the psyche of the American public.

Mistrust in the System is at All Time Highs

A contested election was what I feared the most and I believe many people are shocked that America is currently in the undesirable position that it now finds itself in, in which it is not only going to suffer negatively from for the next few months, but in all likelihood, the next four years.

The reason for this is that mistrust in the political system is at an all time high. 

This has largely been caused by the allowance of mail in voting on a grand, unprecedented scale, of which as I previously stated many times over the past few months, was going to be an epic disaster.

The seeds of doubt have now been sown amongst roughly 50% of population, with so many States being so tightly contested and now "appearing" to swing favorably towards Joe Biden.

President Trump is fanning these flames of doubt, just as everyone expected him to, taking to twitter on a near hourly basis, ranting and raving about how "rigged' the election was.

Sadly, there are so many discrepancies and glaring examples of all around "funny business" that many are taking what he has to say quite seriously, both on the political left and right, as clearly many errors were made throughout the course of election night.

In all likelihood, Joe Biden is going to ultimately be declared the next President of the United States, however, not after many more months of fighting and legal actions from President Trump and his closest allies.

Throughout these next few months, the mistrust in the political system is only going to grow and only going to get worse in the minds of his most fervent, fierce supporters, as more and more examples of election meddling, fraud and mistakes are brought to light, regardless of whether or not they are enough to actually change the results of who is ultimately deemed the victor.

The Markets Are in For a Wild Ride

This extreme volatility initially caused both gold and silver bullion to spike higher in price, only then to fall lower as it became more clear that Joe Biden was likely to be deemed the victor, reducing uncertainty in the short term.

However, this is only in the short term, as it is looking more and more likely that months of unrest lay ahead, with the next step of this Presidential battle more than likely heading to the Supreme Court.

(Chart source,

If the results in which the MSM have declared Joe Biden the victor are overturned officially by the Supreme Court and Donald Trump is reelected via this avenue, then you are going to be looking at one of the most hostile and violent times in American history, with the radical left coming out in droves, burning, looting and causing destruction the likes of which have rarely been seen in mankind's history.

If the results are maintained, and the status quo declared by MSM is kept intact, then the political right will grumble, complain loudly and protest, but all around destruction and anarchy will be avoided.

To many, they are hoping for the latter result, regardless of how much "funny business" actually took place in the election, to others, they know that the long term longevity of the American political system is much more important than that, and would like the truth, no matter the cost or damage that it may cause in the short term.

Regardless, you can expect much more volatility and gyrations within both the precious metals markets and general stock markets as a whole in the coming days and months.

In Conclusion

Dark days lay ahead for America, as trust in the political process has been utterly shattered, with little to no faith remaining in the honesty of the system.

This is a dangerous path to be traveling down, as it is at this point that people begin to act irrationally and act out in erratic ways, believing that it is the only avenue they have left.

Regardless of who is ultimately deemed the President of the United States come 2021, the President is going to have an asterisk placed at the end of their name in the eyes of approximately 50% of the population.

Unrest, uncertainty and mistrust will be the trend for 2021 and possibly many more years.

Where this all ends is anyone's best guess.

Until then, stay safe and keep stacking.

- Source, Nathan McDonald via the Sprott Money Blog

Wednesday, November 11, 2020

2021: Gold and Silver Break Out, Plus Banks Heading into Crisis

With foreign USD and bond holders waking up to the smell of a rotten dollar, Americans oblivious to the unfolding dollar crisis are likely to be the ones left holding the bag. 

Euro-Zone banks desperately maneuvering to hide a ghastly pileup of bad debts are poised on a knife’s edge, geared up to unstable multiples, and running out of time. 

Meanwhile gold, silver and cryptos are breaking out, and destined to bolt higher. Alasdair Macleod, head of research at Gold Money, returns to Liberty and Finance to update us on his latest analysis of these volatile times!

Sunday, November 8, 2020

Ron Paul: The Last Gold Rush Ever is About to Occur

New York Times bestselling author Charles Goyette joins today's Liberty Report to talk about his new book, "The Last Gold Rush…Ever!: 7 Reasons for the Runaway Gold Market and How You Can Profit from It," and about the coming big economic crash.

Monday, November 2, 2020

Jim Sinclair: Exploding Global Debt Means $100,000 Gold is Guaranteed

Financial writer Bill Holter and renowned gold and financial expert Jim Sinclair say exploding federal debt and massive defaults will send gold to the stratosphere. 

Holter does the astounding and yet simple math and explains, “The number is over $100,000 per ounce for gold now. 

If you take the 260 million ounces that we (U.S. Treasury) supposedly have and take the 260 million ounces and divide it into the current debt which is $27 trillion, it’s well over $100,000 per ounce now. 

In other words, if we had to back our debt in gold, the gold would have to be priced at over $100,000 per ounce.” Sinclair offers hope and a way out of the financial mess we face. 

It involves a Trump Win that will preserve the Constitution and the rule of law. If we can maintain the rule of law and the U.S. Constitution, America can and will recover, according to Holter and Sinclair. Let’s pray that happens.

- Source, USA Watchdog

Sunday, November 1, 2020

Election Outcome Prediction: Blue Or Red They Print More Money

Politics & media benefit from inflaming the masses. To escalate or de-escalate is a choice, not a consequence. Media: Don’t censor truth, give it to me & let me decide.