Robert Kiyosaki Predicts Real Estate Crash in 2023, Emphasizes Importance of Bitcoin and Precious Metals
Robert Kiyosaki, the well-known author of "Rich Dad Poor Dad," has reiterated his views on the future of the US economy in a series of tweets. He emphasized the importance of Bitcoin, gold, and silver as crucial investments and predicted that the upcoming real estate crash in 2023 would be worse than the 2008 financial crisis.
De-Dollarization Now Evident As Central Banks US Dollar Reserves Drop to Record Lows
JPMorgan analysts have reported that the trend of de-dollarization is gaining momentum as central banks worldwide reduce their US dollar holdings. The dollar's share in central banks' foreign exchange reserves has fallen to a record low of 58%, while gold's share has risen from 11% to 15% over the past five years.
Bitcoin's Decoupling from Traditional Markets: A Safe-Haven Asset Emerges?
Bitcoin's correlation with traditional market asset classes has decreased, with its correlation with gold dropping to 11% as of May 31st. Over the past three months, Bitcoin has outperformed major commodity assets like crude oil, gold, and silver, with a growth rate of 14.5%.
Bitcoin Price Outperforms Crude Oil and Gold with 15% Surge in Last 90 Days
Bitcoin, the world's largest cryptocurrency, has seen a 15% increase in price over the past 90 days, outperforming major commodities like Crude Oil and Gold. Despite a major sell-off in global bank shares, Bitcoin breached the $30k price level on April 15, 2023, and is currently trading at an average price of $27,844 with a 24-hour trading volume of around $13.61 billion. However, recent data suggests that the market is experiencing a correction, with low volatility and a narrow trading range, and it is expected that equilibrium might get disturbed ahead.
Gold hits new record high after Federal Reserve interest rate hike, Bitcoin also rises
Gold prices reached a new record high of $2,080.72 an ounce after the Federal Reserve raised interest rates. However, market commentators are criticizing the Fed's decision to continue hiking interest rates and predict a future stall. Bitcoin also saw a slight rally, trading above $26,000 after the Fed's decision to raise interest rates to the highest point in 16 years but signal a pause for future hikes. Financial analysts believe that a pause in rate hikes is here to stay due to worsening economic situations and bank stresses. Critics of the Fed's approach to handling inflation point to the collapse of regional banks and say that decisions are now based on politics rather than rational decisions.
Bitcoin, Gold Still The Best Insurance Against Corruption and Incompetence, Says Kiyosaki
As the US debt ceiling talks continue without any progress, economists are concerned that this could lead to a major global financial crisis. Despite politicians claiming that there will be a soft landing, Robert Kiyosaki disagrees and advises investors to turn to gold, silver, and bitcoin for protection. The inability of Republicans and Democrats to come to a decision on raising the debt ceiling raises questions about whether the US will default on its debt for the first time, and even if a deal is reached, the damage to the world's largest economy may have already been done.
Investors Favor Gold as Safe Haven Asset Amid Growing Risk of US Debt Default
According to a recent survey by Bloomberg's Markets Live Pulse, investors are increasingly turning to gold as a safe haven asset due to the risk of a US debt default. More than half of the 637 finance professionals surveyed expressed their preference for gold in the event of a potential default. The limited alternatives available to investors in such a scenario, including US Treasuries, traditional safe haven currencies, and even Bitcoin, further reinforce the appeal of gold as a reliable investment option. However, it is important to consider historical precedent and expert opinions, which suggest that the likelihood of default remains relatively low.
Zimbabwe Sells Gold-Backed Cryptocurrencies to Address Hyperinflation and Currency Depreciation Despite IMF Warning
Zimbabwe is currently facing hyperinflation and a depreciating local currency, prompting the Reserve Bank of Zimbabwe (RBZ) to sell gold-backed cryptocurrencies valued at 14 billion Zimbabwean dollars. The RBZ Gold-backed Digital Token will be used for payments and as a store of value, with the aim of expanding value-preserving instruments and enhancing investment divisibility. However, the International Monetary Fund (IMF) has warned against adopting the digital currency as a solution to the country's macroeconomic problems, citing potential risks and costs that should be carefully assessed. The RBZ's first sale of the gold-backed digital tokens was backed by nearly 140 kilograms of gold and fetched a minimum price of $10 for individuals and $5,000 for corporations, with a minimum vesting period of 180 days.
Tether Reduces Bank Deposits and Adds Gold and Bitcoin to Reserves While US Government Plans Crackdown on Crypto Exchanges
Tether, a stablecoin issuer, reduced its bank deposits from $5.3 billion to $481 million in Q1 to mitigate the risk of bank failures. The company also diversified its asset reserves by adding gold and bitcoin, which account for 4% and 1.8% of its total reserves, respectively. The US government is reportedly planning to crack down on crypto exchanges. Meanwhile, Lido Finance has staked over 6.2 million ETH, and the next bullish catalyst for Bitcoin is said to be the realized price getting above Long Term Holder RP. CZ, the CEO of Binance, has unfollowed Elon Musk on social media, causing speculation in the crypto community. Lastly, JPMorgan and financial regulators have accused Gary Gensler of jurisdictional overreach and disrupting well-functioning markets.
Gold Outperforms Bitcoin: Factors and Analysis of the Disparity
The price of gold has been increasing in comparison to Bitcoin, leading to speculation about the significance of this trend. Bloomberg Intelligence’s Senior Commodity Strategist, Mike McGlone, suggests that the Bitcoin rollover risks lean toward deflation, emphasizing the importance of this development. This article analyzes the recent disparity between gold and BTC prices, considering factors such as market sentiment, regulation, volatility, and environmental concerns. While the current pattern suggests a preference for gold, the future evolution of both assets remains uncertain, and investors should carefully evaluate market conditions and factors influencing gold and BTC prices to make informed decisions regarding their investment portfolios.