Gold and Silver Trumped

But not bitcoin!

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For a long time now, along with many others, I’ve concluded that the spot price of gold (and silver) is heavily suppressed, especially at strategic times. Evidently this is to prevent a ‘run’ to precious metals. Precious metals are finite in the earth and historically used as money, there is no alchemy capable of manufacturing gold from other elements. Through history gold as money was safe from inflation. Limited supply, limited by nature. A run would mean rising prices.

On the converse side stock markets are propped up in the exact same but opposite way. Through this means, investors are diverted in the direction ‘they’ want which at this time is towards the stock market. I could go into endless detail but you get the picture I’m sure. Gold and Silver bad, stock market good, (because stock market up means the economy is good). Backed up by the media most people believe this mantra. They seem not to notice the inevitable corruptible nature of fiat money. Maybe this will change with the advent of negative interest rates and the banning of cash. Or not?

Who cares? Not many people care which is why it works. But I care.

On the side of people who do care, just about everyone has been wrongfooted by the Trump victory. Gold was supposed to go up. Trump is anti establishment. Trump the populist. Trump is going to drain the swamp. But lets step back a moment. The fact is that gold and silver are down, below critical technical levels and looking horrible. What does this tell us? It tells us the people in charge are still in charge in a very clear and unambiguous way. Forget Brexit and Trump. So how do you un-elect central bankers? Where is the referendum to get rid of those fuckers? Where is the conversation?

There is another form of money which like gold also has a limited supply. Bitcoin! Bitcoin has not read the central banker script. I find the price action during the US election very interesting. Initially gold, silver and bitcoin spiked when it was apparent Trump had won the election. In my view this was the free market reaction which managed to briefly show its face with all these assets doing what they should. What followed was gold, silver and bitcoin being stomped on by a massive controlling big boot.

In the case of gold and silver this has been amazingly effective (so far), in the case of bitcoin not so much. Bitcoin did go down but now is pushing up again, technical levels so far intact. I’m sure Satoshi would approve very much. Why would this be? Why is bitcoin resilient to the price suppression? My long held suspicions are that bitcoin is still far too new for them to know how to suppress it. The tools are not in place, the derivatives and ETFs and the futures markets are not there or not mature enough. Maybe the inherent nature of bitcoin is also a factor, the blockchain is visible, precious metals holdings are obscure. Does fort knox hold the gold thats claimed?

So anyway, looks like I might be tempted to resurrect this blog. I’ll see how it goes.

Heres some charts.

Gold looks horrible on 1week chart because it fell under my rising channel and failed to break up from long term resistance.

Similar with silver, its now under the rising fork I have been watching for some time.

Bitcoin, so far holding up quite well.

Appendix – US Election Day

In what was initially a post of its own, I’ve decided to move it here where I think it belongs.

In the post above I wrote:

“I find the price action during the US election very interesting. Initially gold, silver and bitcoin spiked when it was apparent Trump had won the election. In my view this was the free market reaction which managed to briefly show its face with all these assets doing what they should. What followed was gold, silver and bitcoin being stomped on by a massive controlling big boot.

In the case of gold and silver this has been amazingly effective (so far), in the case of bitcoin not so much. Bitcoin did go down but now is pushing up again …”

I thought it might be nice to expand on that and have a look at what I described on the following 1hour charts.

Starting with gold;

You clearly see the initial market reaction, which was a very sudden large spike upwards which actually threatened to break through an important bearish trendline. But then gold fell because… Reasons.

Next silver;

In silver the spike up was not so pronounced and there was a delay but then silver too fell because… Reasons.

Finally bitcoin;

Bitcoin also spiked up on the news which is interesting in itself that bitcoin does indeed function similar to gold. Then bitcoin fell too because… Rea
In this same post asons. But bitcoin hasn’t continued down instead reversing and resuming its bullish trend which I doubt is what was wanted.

Out of the three charts the best example is seen in the gold chart in which the moves were much larger than the scale of the surrounding noise (or volatility). But even so it is interesting that the same pattern can be seen in all three within the noise.

As I elaborated in my other post I suspect that bitcoin is a little bit harder to suppress than gold and silver. If they want bitcoin to fall they actually have to sell huge volumes of actual bitcoin across many exchanges, unlike in gold where they can sell huge volumes of paper representations of gold on the comex for example.

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10 thoughts on “Gold and Silver Trumped

      1. I find myself wondering if perhaps Bitcoin might already be a victim of price manipulation. Could it be much higher if it weren’t for the toxicity surrounding its development? Specifically, is there a psy-op campaign waged against it by “the establishment” to cheapen its reputation via MSM and government outlets, as solely a means for underworld characters to engage in black market commerce? That way the average person isn’t presented a fair argument about its usage and deflationary, non-centralized nature, but rather the tech’s reputation is instantaneously tainted.

        Also, are there public figures within the community whose principles have been compromised, in an effort to sullen the advancement of bitcoin development?

        Lately, it seems to me, that crypto development is booming in smaller, newer and less political communities like Ethereum and Monero. Ethereum has Dapp after Dapp being released and developed. Monero is obtaining full privacy, with a verifiable coinbase, non-trusted setup with no developers seigniorage (unlike other privacy coins like ZEC, Dash, etc). Both platforms are taking time to get it right but both are showing an enormous potential.

        Don’t get me wrong, Btc is clearly still the king of crypto. But it would appear that other kingdoms have been forged while the original royalty was under siege.

      2. Some great points there, won’t be able to address them all here, but good food for some future posting perhaps.

        In general I agree totally that yes, bitcoin is manipulated by those methods you have mentioned. However to me that is relatively toothless by comparison to the methods available for suppressing precious metals. They clearly don’t like any threat to the fiat regime and bitcoin is a real threat.

        As far as etherium goes I’m not yet convinced. I’d be interested to know more about the DAPPS that are being released on the eth platform though, the only one I recall was the DAO disaster. Perhaps I need to research eth a bit more.

        As far as ‘anon’ coins go I believe there is a problem which Monero and ZCash both suffer which is that their respective blockchains are so private that no analysis can be performed. So literally anything can be happening in there. In the case of zcash in particular the originators have the ability to ‘mint’ zec in any quantity they want whenever they want and it will be undetectable!

  1. Good to read you again!

    There is still a part of me wondering how the establishment could lose the control on Gold and Silver pricing after all, the last resource being requisition. But it’s good to see bitcoin going up without any bubble starting for now (unless ?).

    Apparently, what happened in India recently is pushing prices up as well.

    Have you heard of zcash (ZEC) ?

    Looking forward to your next post 🙂

    1. Hi JP, thanks for stopping by my blog again, good to hear from you.

      I also wonder how they will finally lose control of gold and silver price!!! They seem to have ways to prolong it indefinitely seems like

      Perhaps as the war on cash intensifies people will start to take more notice of whats going on? The situation in India its crazy to believe. I can easily imagine whats happening there is destined for us all if bankers have their way. Negative interest rates too! Will the populations of the world meekly accept all that crap? Or will the system finally break?

  2. In reference to your Appendix, I agree. I’ve been following the gold and silver markets for about ten years and most of this time has been demoralizing. It is nice to have assets in crypto that are increasing in value, whether it’s the technology or inverse movement against fiat, a combination of the two, or other factors. I’m extremely pleased to see that Bitcoin is showing resilience against manipulative market forces.

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