The Taylor Report-Bitcoin vs Gold vs Ethereum (10/14/18)

BITCOIN & ETH Have a Very Quiet Weekend; No News Is Good News?

Bill Taylor


By Bill Taylor, Contributor/Fintek Capital

We compare the price of Bitcoin, Ethereum, & Gold, using the CME Bitcoin Indexes (BRR & BRTI) and the CME Ethereum Indexes (ETH_RR_USD) & (ETH_RTI_USD) for reference.

10/14/18 Closing Prices:

Bitcoin: $6,224.43 (+$26.29)
Ethereum: $197.38 (+$2.81) 
Gold: $1,218 (-$5.00) (from Friday’s close)
Dow Jones Industrials: 25,339.99 (+287.16) (Friday)
S&P 500: 2,767.13 (+38.76) (Friday)
Nasdaq Composite: 7,496.89 (+167.83) (Friday)

CME CF Bitcoin Reference Rate & CME CF Bitcoin Real Time Index
CME ETH_RR_USD Ethereum Reference Rate & CME ETH_RTI_USD Ethereum Real Time Index

Trading Summary Notes for Sunday, 10/14/2018

  • Cryptos including (no, led by) BITCOIN held steady and added a few dollars over the weekend
  • BITCOIN dipped just under $6,200 but finished higher. ETH held at $195
  • Are cryptos becoming part of the “risk on, risk off” trade? With equities taking a big hit last week (risk off), did that spill over to cryptos? Theory to be proved……..but any correlation will be short lived
  • When fear strikes it spills into all sectors. There should NOT be any correlation between cryptos and equities. This could be a few days of fear ruling logic (fyi….which can happen)
  • BITCOIN buying opportunity? I say YES. ETH? Cautious
  • GOLD,GOLD GOLD! That’s the gold we have been expecting and calling for. Traditional flight to safety.
  • GOLD upside target $1,350. Expect some “backing and filling” but buy the dips
  • BITCOIN downside support at $6,000, upside target $8,500
  • ETH downside at $185-$190 (new), upside target $300
  • Long term bullish on BITCOIN and GOLD. Short neutral bullish on ETH

CURRENT TRADING POSITION:  LONG BITCOIN, ETH and GOLD




Bill Taylor is Managing Partner at Fintek Capital & a frequent contributor