Bitcoin, the leading cryptocurrency, is currently in a consolidation phase, indicating a cautious approach by the market. After the U.S. Federal Reserve meeting on Wednesday, BTC's price showed improvement but has since been trading within a tight range.
Bitcoin Price and Market Overview
As of Dec. 15, 2023, the price of bitcoin (BTC) is $42,696, with a 24-hour trading range between $42,067 and $43,329. The market capitalization of BTC stands at $835 billion, supported by a significant trading volume of $24.86 billion over the past 24 hours. While BTC has experienced a 2.2% decline in the past week, it has seen a 10.7% increase against the U.S. dollar.
Market Momentum
Various oscillators used to gauge market momentum present a mixed but generally neutral stance. The relative strength index (RSI) currently stands at 51, indicating a balanced market sentiment. The Stochastic oscillator aligns with the neutral perspective at 65. However, the commodity channel index (CCI) suggests a bearish undercurrent with a reading of -71, although it remains within the neutral zone.
Moving Averages
The moving averages, which provide insights into market trends over different time frames, offer a nuanced view. Shorter-term exponential moving averages (EMA) and simple moving averages (SMA) for 10 and 20-day periods indicate a bearish signal, reflecting the recent downtrend. On the other hand, longer-term EMAs and SMAs for 30, 50, 100, and 200-day periods mostly indicate a bullish undertone over an extended period. This disparity between short and long-term perspectives highlights the complexity of the current market dynamics.
Daily Chart Analysis
The daily chart analysis reveals a bullish trend characterized by higher highs and higher lows, interrupted by occasional pullbacks. Support and resistance levels are identified at approximately $35,651 and $44,729, respectively. These levels, combined with significant trading volumes during substantial price movements, validate the current trend and provide valuable insights for traders looking for entry and exit points.
4-Hour Chart Analysis
The 4-hour chart provides a more detailed view of the market with increased fluctuations. Despite the overall uptrend, this timeframe shows increased sideways movement, with a recent large red candle indicating potential selling pressure. Short-term support and resistance levels are identified around $40,181 and $43,440, respectively. This chart is essential for intra-day traders and those seeking to capitalize on short-term price movements.
Bullish Outlook
Based on the data and trends observed on Dec. 15, 2023, the overall outlook for Bitcoin leans toward a bullish sentiment. The daily chart's pattern of higher highs and higher lows, along with the 'Buy' signals from longer-term moving averages, suggests underlying strength and optimism in the market. The moderate volatility and significant trading volume further support this positive sentiment, indicating a likelihood of sustained upward momentum in the near future.
Bearish Outlook
Conversely, the bearish outlook considers the short-term signals and potential vulnerabilities in the Bitcoin market as of Dec. 15, 2023. The increased sideways movement on the 4-hour chart and the recent large red candle, combined with 'Sell' signals from the shorter-term moving averages, indicate potential selling pressure and short-term bearishness.
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What are your thoughts on Bitcoin's market action on Friday morning? Share your opinions in the comments section below.
Frequently Asked Questions
What is the best precious metal to invest in?
The answer to this question depends on how much risk you are willing to take and what type of return you want. Gold is a traditional haven investment. However, it is not always the most profitable. You might not want to invest in gold if you're looking for quick returns. If patience and time are your priorities, silver is the best investment.
If you don't care about getting rich quickly, gold is probably the way to go. Silver may be a better option for investors who want long-term steady returns.
Can the government seize your gold?
Because you have it, the government can't take it. It is yours because you worked hard for it. It is yours. This rule could be broken by exceptions. You can lose your gold if you have been convicted for fraud against the federal governments. You can also lose precious metals if you owe taxes. However, even though your taxes have not been paid, you can still keep your precious metals, even though they are considered the property of United States Government.
How is gold taxed by Roth IRA?
A tax assessment for an investment account will be based on the current market value, and not what you paid initially. All gains, even if you have invested $1,000 in a mutual funds stock, are subject to tax.
You don't pay tax if you have the money in a traditional IRA/401k. Dividends and capital gains are exempt from tax. Capital gains only apply to investments more than one years old.
Each state has its own rules regarding these accounts. For example, in Maryland, you must take withdrawals within 60 days after reaching age 59 1/2 . Massachusetts allows you up to April 1st. New York allows you to wait until age 70 1/2. You should plan and take distributions early enough to cover all retirement savings expenses to avoid penalties.
Is it possible to hold a gold ETF within a Roth IRA
You may not have this option with a 401(k), however, you might want to consider other options, like an Individual retirement account (IRA).
A traditional IRA allows for contributions from both employer and employee. Another way to invest in publicly traded companies is through an Employee Stock Ownership Plan.
An ESOP can provide tax advantages, as employees are allowed to share in company stock and the profits generated by the business. The tax rate on money that is invested in an ESOP is lower than if it was held in the employees' hands.
An Individual Retirement Annuity (IRA) is also available. You can make regular payments to your IRA throughout your life, and you will also receive income when you retire. Contributions made to IRAs are not taxable.
What are the benefits to having a gold IRA
The best way to invest money for retirement is by putting it into an Individual Retirement Account (IRA). It will be tax-deferred up until the time you withdraw it. You have total control over how much each year you take out. There are many types to choose from when it comes to IRAs. Some are more suitable for students who wish to save money for college. Others are intended for investors seeking higher returns. Roth IRAs, for example, allow people to contribute after they turn 59 1/2. They also pay taxes on any earnings when they retire. Once they start withdrawing money, however, the earnings aren’t subject to tax again. This account is a good option if you plan to retire early.
The gold IRA allows you to invest in different asset classes, which is similar to other IRAs. Unlike a regular IRA you don't need to worry about taxes while you wait for your gains to be available. This makes gold IRA accounts excellent options for people who prefer to keep their money invested instead of spending it.
You can also enjoy automatic withdrawals, which is another benefit of owning your gold through an IRA. That means you won't have to think about making deposits every month. You could also set up direct debits to never miss a payment.
Finally, the gold investment is among the most reliable. It is not tied to any country so its value tends stay steady. Even in times of economic turmoil gold prices tend to remain stable. This makes it a great investment option to protect your savings from inflation.
Who has the gold in a IRA gold?
The IRS considers gold owned by an individual to be “a type of money” and is subject taxation.
You must have at least $10,000 in gold and keep it for at most five years to qualify for this tax-free status.
While gold may be a great investment to help prevent inflation and volatility in the market, it's not wise to keep it if you won't use it.
You will need to declare the value of gold if you intend on selling it one day. This could impact how capital gains taxes you owe for cash investments.
To find out what options you have, consult an accountant or financial planner.
What precious metals can you invest in for retirement?
These precious metals are among the most attractive investments. They are both easy to trade and have been around for years. These are great options to diversify your portfolio.
Gold: Gold is one of man's oldest forms of currency. It is also extremely safe and stable. This makes it a good option to preserve wealth in uncertain times.
Silver: Silver is a popular investment choice. It's an ideal choice for those who prefer to avoid volatility. Silver, unlike gold, tends not to go down but up.
Platinum: A new form of precious metal, platinum is growing in popularity. It's resistant to corrosion and durable, similar to gold and silver. It is however more expensive than its counterparts.
Rhodium: Rhodium can be used in catalytic convertors. It's also used in jewelry making. It's also relatively inexpensive compared to other precious metals.
Palladium: Palladium has a similarity to platinum but is more rare. It's also less expensive. It is a preferred choice among investors who are looking to add precious materials to their portfolios.
Statistics
- You can only purchase gold bars at least 99.5% purity. (forbes.com)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
- This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)
- Indeed, several financial advisers interviewed for this article suggest you invest 5 to 15 percent of your portfolio in gold, just in case. (aarp.org)
- If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item's value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)
External Links
wsj.com
- Saddam Hussein’s InvasionHelped Uncage a Bear In 1989 – WSJ
- Want to Keep Gold in Your IRA at Home? It's not exactly legal – WSJ
irs.gov
investopedia.com
finance.yahoo.com
How To
Guidelines for Gold Roth IRA
Start saving as soon as possible to save for your retirement. It is best to start saving for retirement as soon you can (typically at age 50). It is essential to save enough money each year in order to maintain a steady growth rate.
Also, you want to take advantage tax-free options such as a traditional 401k, SEP IRA or SIMPLE IRA. These savings vehicles allow you the freedom to contribute without having to pay tax on your earnings until they are withdrawn. This makes them great options for people who don't have access to employer matching funds.
It's important to save regularly and over time. You may not be eligible for any tax benefits if your contribution is less than the maximum allowed.
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By: Jamie Redman
Title: Bitcoin Technical Analysis: BTC’s Consolidation Phase Signals Cautious Market Approach
Sourced From: news.bitcoin.com/bitcoin-technical-analysis-btcs-consolidation-phase-signals-cautious-market-approach/
Published Date: Fri, 15 Dec 2023 13:30:48 +0000
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