Murphy, Willie, Ferguson Predict August Blastoff for Precious Metals, Miss Out on Bitcoin Rally
Rumors abound that this summer the precious metals are bound to takeoff. The emotions on the precious metals forums and blogs are running high. Insider information has appeared to have been leaked, though still the precious metals remain in their summer doldrums. Chart theorists discuss the technicals and how they have been overwhelmed by Cartel manipulation. Nonetheless, bullish sentiment irrationally outweighs the dim reality: precious metals are not enough to protect one’s assets. Considering the financial sectors rampant manipulation of the precious metals markets via dark pool bot trading, high speed frequency trading, to expect that only old world money can defeat the Empire is an exercise in destructive conservativeness. The data exciting the gold and silver blogwires are as follows:
- Bill Murphy of GATA and Jim Willie have tipped off that an insider,one of the richest men in Europe, has signaled an August explosion in the gold and silver markets.
- Turd Ferguson, chart-theorist over at TF Metals Report, has signaled that this summer the precious metals are bound to takeoff. He claims to be the original proprietor of this information. TF has numerous contacts, like Andrew Maguire.
- In the silver market, never have the commercial hedgers been so long silver; that is, they are merely less-short the metal than usual. This has led many to suspect that the precious metals – perhaps riding the coattails of silver- are due to begin their next leg up
- As always when the precious metals sit idle and quiet, many claim that all that is needed is that one-spark.
From a medium-term, sober perspective, last years takeoff of silver up to $50 an ounce might not be revisited for still years to come. By looking at the following 10-year silver chart, a pattern can be discerned in which peaks are met every 2-3 years. This, of course, is not to dissuade the individual from saving in silver, but is meant to inspire diversification in thinking, saving and investing. There are no signals either that the Cartel is losing control of the silver market. For a long-term store of value, in terms of decades and not years, gold, silver, platinum and palladium serve as the only real options. For the short-term, though, a high probability of desperate electronic attempts to suppress the price rise so as to control the demise of the dollar until its convenient will color the precious metals markets, and all markets generally. That’s why the age-old investment advice of diversification still rings true. Here is the ten year chart – note the peaks in ’06, ’08, and 2011.
Amid all this, though, the precious metals have seemingly served as a distraction away from the p2p, encrypted currency Bitcoin, which has had a number of strong closes in a row. Just last week it traded at $8 per btc, only to increase each day. Today it is at $10.15 per bitcoin. Trade volume is up and excitement is in the air.
Bitcoin is today at its highest value in nearly a year. Moreover, the currency is growing and so is then the economy which it could one day fuel. More and more transactions are taking place, and increasing numbers individuals are getting a feel for the p2p currency. Further, it is becoming increasingly evident just what bitcoin is good for.
A base was seemingly formed in May before the last two months of consistent price increase. Granted, a consolidation period would not be ideal, it does appear that bitcoin does still have some upward momentum.
So, while precious metals appear soft, bitcoin have had a tremendous week or so, thus offering an excellent hedge against a precious metals portfolio. Even the old world is catching onto bitcoin. “What the euro crisis and possible breakdown does is make people think about alternative [currencies] that can be used to maintain business and that cannot be manipulated by any central organization whatsoever,” a German restaurant owner has said recently. He has moved euros to bitcoin. European buyers recently became 9% of the Bitcoin market due to an increase in buyers from crisis-laden countries like Greece, Italy, Spain and the Netherlands.