Gold Price News: Gold Nudges Higher as Markets Watch Central Banks

Gold Price News: Gold Nudges Higher as Markets Watch Central Banks

Market Analysis

Gold prices firmed slightly on Tuesday, showing signs of stability after a decidedly bearish start to the week.

KAU/USD 1-hourly

Prices moved in a range of $1,983 to $1,997 an ounce through the day, after falling as low as $1,976 an ounce on Monday.

Looking ahead this week, the US Fed is widely expected to maintain interest rates at the current 22-year high of 5.5% in a decision scheduled for Wednesday, with the markets looking for further clues on the outlook ahead of the Fed’s next meetings in December, January and March.

Data from interest rate traders currently indicates a 54% probability that the central bank will hold rates unchanged at its March meeting, and a 44% chance of a 25-basis point cut. It should be cautioned that these implied probabilities fluctuate on a day-to-day basis as the trading environment evolves. Interest rates matter for gold prices because they affect the opportunity cost of holding non-interest-bearing assets.

Interest rate decisions are also due on Thursday by the ECB and Bank of England – both expected to hold rates unchanged at 4.5% and 5.25% respectively as central banks seek to keep inflation under control.

Gold also continues to take support from ongoing geopolitical tensions in the Middle East. A cruise missile launched from Houthi-controlled Yemen hit a Norwegian-flagged oil and chemical tanker in the Red Sea off the coast of Yemen on Tuesday, according to news reports. This latest incident serves to highlight the risk that the conflict between Israel and Palestine could spill over into other regions. Heightened geopolitical risks tend to drive investment into safe havens such as precious metals.

Looking further out, Friday will see the release of Chinese industrial production figures and German manufacturing PMI flash data, which are likely to provide the latest indicators of economic health in those major economies.

Contributing to kitco.com

Time to Buy Gold and Silver

Tim Moseley

Great News for Entrepreneur One Members and a Look into the Future Of Hivecoin

Great News for Entrepreneur One Members and a Look into the Future Of Hivecoin 

Markethive is relentlessly pushing boundaries, driven by the pursuit of excellence in creating a cutting-edge platform that leaves traditional social media and marketing tools in the dust. With a focus on streamlining user experience, Markethive is incorporating innovative technologies that enable effortless broadcasting, significantly expanding your reach and influence.

With the recently launched wallet that is your comprehensive accounting and financial hub, Markethive is likened to a bank. Hence, the level of security is second to none. The cottage industry concept within the Markethive ecosystem will provide avenues to secure your financial freedom in a sovereign and meritocratic environment in a ‘market-verse’ unique to Markethive but extending its influence beyond the confines of the platform and into the broader online community and cryptocurrency realm.

We have made such significant progress because of the unwavering support and contributions of the Entrepreneur One community and ILP holders. The team behind the scenes is deeply grateful for the backing of these visionary individuals who share our commitment to advancing liberty for all people.

Markethive’s End Of Year Bonuses For E1 Upgrades

It’s Christmas time, and as promised, the 2023 bonus of one whole ILP to each of the Entrepreneur One (E1) associates who have maintained their subscription for the past 12 months will be credited to your wallet in January 2024.

To express our heartfelt gratitude and appreciation for the unwavering support of our esteemed E1 associates who share our vision, Markethive's founders, Thomas and Annette, are thrilled to announce a new promotion set to begin in January 2024. This exclusive offer is a token of our appreciation for your steadfast belief in our mission and your continued dedication to our community.

The incentive for next year is 1000 Hivecoins (HVC), and thanks to Annette, it will include another full ILP! This offering will be delivered at the end of the 12 months in January 2025. The initiative is for Entrepreneur Ones only and any other member who would like to upgrade to an E1 membership of $100 per month. To qualify for the bonus, members must maintain an active subscription for a consecutive 12-month period, and they will receive one whole ILP and 1000 HVC in January 2025.

There's no restriction on the number of Entrepreneur One subscriptions you can own, so you can benefit from multiple memberships. If you have numerous E1 subscriptions, you'll receive the corresponding number of bonuses, such as the ILP and HVC, for each membership you hold. For instance, owning two E1 memberships means you'll receive two whole ILPs and 2000 HVC in January 2025. The more memberships you have, the more rewards you'll achieve.

Alternatively, you can save $200 by upgrading to the E1 with a yearly subscription of $1000, which covers you for 12 months. Note that if you choose the annual option and pay for it a little later in the year, it will be backdated to January, and you will still be eligible for the ILP/Hivecoin 2024 promotion. Please keep in mind that your bonus will be paid to you at the end of the promotion in January 2025. 

Remember, the E1 Upgrade is only available from the company Markethive for a limited time. As we move closer to the official release of Hivecoin, E1 Exchange, and associated implementations within the Markethive system, the Entrepreneur One will only be available to bid and purchase primarily from E1 associates who hold multiple E1 subscriptions, should they choose to sell one via the E1 Exchange (E1X). 

It’s worth noting that 1000 Hivecoin is equivalent to 200,000 Markethive tokens (MHV) currently used within the Markethive ecosystem for micropayments. As Markethive is presently on the Solana blockchain, the Hivecoin is classed as a Token. Once Markethive establishes its own blockchain, which will drive the crypto coin exchange, Hivecoin will be the native token of its blockchain and be regarded as a Coin. 

What Type Of Crypto Is Hivecoin? 

In a previous article, we looked at the different types of cryptocurrencies and their respective categories. Many of the cryptos mentioned were utility tokens, even though they fall under other categories. For example, Binance and Chainlink are utility tokens, but they are classed as exchange and oracle tokens, respectively.   

 

Markethive's Hivecoin (HVC) is a versatile utility token that extends beyond its primary function to encompass aspects of exchange, payment, smart contracts, and commerce tokens. Its utility is further amplified by its use in various Markethive services, including sponsored articles, press releases, broadcasts, banner advertising, video advertising, and digital advertising on cryptocurrency faucet sites, news sites, the Bounce, and the upcoming Push. Additionally, Hivecoin will play a crucial role in Markethive's gamification strategy, contributing to the overall growth and development of the Markethive ecosystem driven by Hivecoin.

 

 

The components mentioned above, along with the Premium Upgrade (PUP), are the tipping point for the Incentivized Loan Program (ILP), as they will be extremely valuable in bringing in revenue for ILP holders. The ILP token is a smart contract, as any member who acquires ILPs through the E1 subscription or purchased the ILP outright is essentially loaning the funds to Markethive for its development. 

 

 

The Markethive Credit (MVC) falls into the category of a stablecoin that serves as the backbone of the Markethive ecosystem's staking mechanism. The more MVC you possess in your Markethive wallet, the greater the daily interest you'll accumulate. The interest rates are influenced by other various factors, as depicted in the image below. On the first day of each month, you'll receive your earned interest in Markethive Tokens (MHV), which will be reflected in your coin clip and detailed in your wallet's Accounting section. 

 

 

The Markethive Token (MHV) is currently used internally for micropayments. As we make the transition to Hivecoin and listed on the coin exchanges, the MHV will likely be replaced with the Bee Token. It takes 1 million Bees to make one Hivecoin. The Markethive Token is equated at 200 MHV to 1 Hivecoin. 

 

What Will The Hivecoin Be Worth? 

A realistic way of determining Hivecoin’s worth in the near future is taking into consideration the circulating supply of cryptos with a similar supply to HVC. If you research Coinmarketcap and click on circulating supply, the cryptos with coin supplies in the billions are priced extremely low. Most are less than a cent, with little hope of gaining real value. 

The cryptos with a circulating supply of millions fare much better—many cryptos of around 70 million range from $7 to $50. Markethive is somewhat modeled after Elrond’s MultiversX (EGLD), which has a circulating supply of just over 26 million with a maximum supply of 31.5 million and is currently priced at $61.56 when writing this article. 

The Hivecoin has a capped supply of 48 million. With this low supply and the genuine use cases  Markethive offers, we can expect HVC to go to $10 – $50 within the first year once we are on the exchanges. Going by empirical evidence, the fact we have a strong community and a real need for Hivecoin, we can justify that. 

So what would 1000 Hivecoin be worth if it was MultiversX? It would be worth $61,560. That's pretty cool, and Markethive is giving that to you for being an Entrepreneur One! Another example is Arweave (AR), with a circulating supply of 65.4 million and a maximum supply of 66 million currently sitting at $11.04, which is $11,040, which is nothing to sneeze at. 

One of the strategies that Markethive will use is to buy back or repurchase some of the HVC tokens using its cash resources from holders at market price. This approach is not novel, as businesses have long utilized self-investment as a means of stabilizing prices (or inflation) in the traditional financial market. 

Hivecoin can profit from the successful and popular buyback approach used in the cryptocurrency market. Binance and Nexo are two examples of successful crypto projects that have employed this strategy to draw investors and deliver tangible advantages. Through a buyback, Hivecoin can offer a compelling and valuable proposition that works well within the system, ultimately resulting in a substantial increase in asset value. This tactic has shown to be effective and profitable, making it a wise decision for Hivecoin's future.

Empower Markethive's Mission

Markethive is not a drop in the ocean but an entire ocean in a drop. Rather than the ‘seeing to believe’ notion we’ve been brainwashed with, we must practice ‘believing to see.’ By embracing the power of belief, we can unlock our potential and create a brighter future. As a shining beacon, Markethive stands among the best, offering a haven for those seeking sovereignty, prosperity, and growth. To further our mission, we invite you to join us in empowering the people and creating a better world for all. Together, we can make a difference.

Upgrading to Entrepreneur One now is extremely advantageous, as you would receive a sizable bonus consisting of 1 ILP and 1000 Hivecoin. By doing so, you'll benefit from the many products and services exclusive to the E1 upgrade and be recognized as a pioneer in the Divinely inspired groundbreaking initiative, the Lord's Vision, aimed at liberating humanity in a world filled with turmoil.

Merry Christmas and blessings to all! 

This article is provided for informational purposes only and should not be relied upon as legal, business, investment, or tax advice. Furthermore, however plausible, the contents of this article may include speculative opinions. Of course, there is nothing wrong with speculation as long as its premises are made clear. Speculation is the customary way to begin the exploration of uncharted territory as it stimulates a search for evidence that will support or refute it.

 

 

Editor and Chief Markethive: Deb Williams. (Australia) I thrive on progress and champion freedom of speech.  I embrace "Change" with a passion, and my purpose in life is to enlighten people to accept and move forward with enthusiasm. Find me at my Markethive Profile Page | My Twitter Account | and my LinkedIn Profile.

 

 

 

 

Tim Moseley

Did today’s statement by Fed President Williams cause a sell-off in gold?

Did today’s statement by Fed President Williams cause a sell-off in gold?

After trading to a high of $2059.60 today, gold futures closed lower. As of 4:20 PM, gold futures basis the most active February 2024 contract is down $17.90 or 0.87% and fixed at $2033.40. Today’s selloff follows two days of strong gains that occurred immediately after the conclusion of this month’s FOMC meeting. On Wednesday, gold futures opened at $1995 and surged higher by $48.10 closing at $2043.30. Yesterday gold gained an additional $8.20 after trading to a high of $2062.90 and closing at $2051.30.

The price surge that occurred on Wednesday and Thursday was in response to the release of the FOMC statement, Summary of Economic Projections (SEP), and comments by Chairman Powell on Wednesday. All the information from the Fed indicated a major pivot in their monetary policy.

This pivot from interest rate hikes by the Federal Reserve to combat spiraling inflation above 8 ½% in March 2022 has been highly anticipated recently. Their aggressive pivot to a restrictive monetary policy included 11 rate hikes, taking their benchmark interest rates from near zero to between 5 ¼% and 5 ½ % in just over a year. Although the Federal Reserve stopped raising rates a few months ago and announced a series of rate hike pauses, comments by Federal Reserve officials remained close to the chest avoiding any information about when they planned to begin rate cuts.

That changed on Wednesday with the release of their economic projections which contained detailed information revealing that central bank officials almost unanimously are anticipating interest rate cuts to begin next year, with the expectations of a ¾% cut taking Fed funds rates to approximately 4.6%.

The immediate reaction was a strong decline in the dollar, which set into motion strong gains in gold as a result of bullish market sentiment and dollar weakness. Today, dollar strength was all that was needed for traders to pull profits on the recent advance in gold prices. The dollar gained 0.62% and gold dropped by 0.88% revealing that today’s price decline in gold futures was primarily due to dollar strength with a smaller component the result of market participants actively selling gold.

The question becomes whether this will be a one-off or a pivot from the recent gains in gold, or the beginning of a price correction. An important factor in today’s price decline was a recent statement by New York Fed President Williams. Speaking on CNBC’s Squawk Box today, Williams said, “We aren’t really talking about rate cuts right now,”.

This contrasts with Chairman Powell’s comments on Wednesday, as well as the dot plot that was released on Wednesday. The dot plot revealed that there were only two voting members who did not believe they would cut rates next year, making this author believe that Fed President John Williams was one of those two voting members, and if so, he represents a small minority.

By

Gary Wagner

Contributing to kitco.com

Time to Buy Gold and Silver

Tim Moseley

Gold silver rally as Federal Reserve leans surprisingly easy

Gold, silver rally as Federal Reserve leans surprisingly easy

Gold and silver prices sharply up in midday U.S. trading Thursday, in the aftermath of surprisingly dovish rhetoric on U.S. monetary policy from the Federal Reserve. February gold was last up $56.50 at $2,054.00. March silver was last up $1.579 at $24.505. (Gold and silver futures prices had officially settled before the FOMC meeting concluded Wednesday afternoon. Thus, the big gains noted in today's prices.)

The marketplace got a dovish surprise from the Federal Reserve Wednesday. While the Federal Open Market Committee (FOMC) left interest rates unchanged, the committee and Fed Chairman Jerome Powell pivoted from their heretofore hawkish rhetoric of a tight monetary policy and toward loosening policy, including future interest rate cuts. The Fed's "dot plots" now indicate three interest rate cuts (totaling 0.75%) in 2024. Markets cheered the Fed news as the U.S. stock indexes hit new highs for the year, gold prices soared back above $2,000, the U.S. dollar index dropped sharply and Treasury yields declined. The benchmark 10-year note yield dropped below 4%. The now much-improved risk appetite in the general marketplace should work to support further gains in equities and commodity markets for at least the near term. A Barrons headline today reads: "Markets rejoice as Fed doves take flight…."

The Bank of England kept its monetary policy steady at its regular meeting Thursday, as expected. The European Central Bank also kept its policy steady, but ECB President Christine Lagarde still sounded a hawkish tone in her press conference.

A stronger-than-expected U.S. retail sales report this morning did not support the Fed's monetary-policy-easing rhetoric Wednesday afternoon, and that likely helped to push gold and silver prices down from their daily highs.

  Fed's Powell confirms FOMC believes terminal rate has been reached, says outlook reflects latest CPI and PPI data

U.S. stock index futures are firmer at midday and hit new contract highs and new highs for the year, when the New York day session begins. The Dow Jones Industrial Average set a record-high today.

The key outside markets today see the U.S. dollar index sharply lower and hit a four-month low, on follow-through selling pressure from Wednesday's sharp losses. Nymex crude oil prices are solidly up and trading around $72.00 a barrel, after hitting a 5.5-month low Wednesday. The yield on the benchmark U.S. Treasury 10-year note is presently fetching 3.908%.

Technically, February gold futures prices Wednesday scored a bullish "outside day" up after hitting a three-week low early on. The bulls have the overall near-term technical advantage and have regained strength. Prices are in a nine-week-old uptrend on the daily bar chart. Bulls' next upside price objective is to produce a close above solid resistance at $2,100.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $2,000.00. First resistance is seen at today's high of $2,062.90 and then at $2,072.70. First support is seen at today's low of $2,039.10 and then at $2,025.00. Wyckoff's Market Rating: 7.0

March silver futures prices Wednesday scored a big and bullish "outside day" up after hitting a three-week low early on today. The silver bulls have gained the overall near-term technical advantage and have regained power. Silver bulls' next upside price objective is closing prices above solid technical resistance at $26.00. The next downside price objective for the bears is closing prices below solid support at this week's low of $22.785. First resistance is seen at $24.75 and then at $25.00. Next support is seen at $24.00 and then at $23.75. Wyckoff's Market Rating: 6.0.

March N.Y. copper closed up 1,060 points at 389.35 cents today. Prices closed nearer the session high today. The copper bulls have the overall near-term technical advantage and gained power today. Prices are in a choppy, seven-week-old uptrend on the daily bar chart. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at the July high of 404.45 cents. The next downside price objective for the bears is closing prices below solid technical support at the December low of 372.90 cents. First resistance is seen at today's high of 390.95 cents and then at the December high of 393.30 cents. First support is seen at 385.00 cents and then at today's low of 382.70 cents. Wyckoff's Market Rating: 6.5..

By

Jim Wyckoff

For Kitco News

Time to Buy Gold and Silver

Tim Moseley

FOMC statement leans dovish gold price rallies

FOMC statement leans dovish, gold price rallies

Gold and silver prices aare solidly higher and hit new daily highs in the aftermath of the Fed's FOMC meeting conclusion. The FOMC statement was surprisingly dovish on U.S. monetary policy, which pushed the precious metals markets sharply up. February gold was last up $26.60 at $2,020.10. March silver was last up $0.434 at $23.425.

On the front burner of the marketplace is the just-concluded two-day Federal Open Market Committee (FOMC) monetary policy meeting of the Federal Reserve. The FOMC statement said U.S. economic growth has moderated but inflation remains elevated. Most FOMC officials now see rate cuts coming in 2024. 2025 and 2026. The marketplace is reading the FOMC statement as being surprisingly dovish on U.S. monetary policy. Now the marketplace awaits the press conference from Fed Chairman Jerome Powell. It's still expected Powell may lean at least a bit hawkish by saying the inflation fight is not yet finished.

This week's U.S. inflation data in the form of the consumer price and producer price indexes for November came in close to market expectations and suggest U.S. inflation continues to cool. The data somewhat assuaged the marketplace, at least for the moment, as the U.S. stock indexes this week hit new for-the-move highs amid a seasonal Santa Claus rally.

  Gold to outperform silver and platinum as weak growth forces the Fed to cut rates in 2024 – Heraeus

The key outside markets today see the U.S. dollar index lower and selling off after the FOMC statement. Nymex crude oil prices are up and trading around $69.75 a barrel after hitting a 5.5-month low overnight. The down-trending crude oil market is casting a pall over much of the raw commodity sector. The yield on the benchmark U.S. Treasury 10-year note is presently fetching 4.092% and down from just before the FOMC statement was released.

Technically, February gold futures prices hit a three-week early on low today. The bulls have the overall near-term technical advantage but regained some momentum today. Prices are in a two-month-old uptrend on the daily bar chart. Bulls' next upside price objective is to produce a close above solid resistance at $2,050.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at the November low of $1,955.40. First resistance is seen at this week's high of $2,023.70 and then at the October high of $2,039.70. First support is seen at $2,000.00 and then at today's low of $1,987.90. Wyckoff's Market Rating: 6.0

March silver futures prices hit a three-week low early on today. The silver bears have the slight overall near-term technical advantage. Prices are now trending down on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at $24.50. The next downside price objective for the bears is closing prices below solid support at the October low of $21.17. First resistance is seen at $23.75 and then at $24.00. Next support is seen at $23.00 and then at today's low of $22.785. Wyckoff's Market Rating: 4.5.

March N.Y. copper closed down 30 points at 378.45 cents today. Prices closed nearer the session high today. The copper bulls have the slight overall near-term technical advantage. Prices are in a choppy, seven-week-old uptrend on the daily bar chart. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at the December high of 393.30 cents. The next downside price objective for the bears is closing prices below solid technical support at the November low of 362.60 cents. First resistance is seen at this week's high of 383.60 cents and then at last Friday's high of 386.40 cents. First support is seen at today's low of 375.30 cents and then at last week's low of 372.90 cents. Wyckoff's Market Rating: 5.5.

By

Jim Wyckoff

For Kitco News

Time to Buy Gold and Silver

Tim Moseley

Gold up but loses altitude as FOMC meets

Gold up, but loses altitude as FOMC meets

Gold prices are modestly higher and silver around steady near midday Tuesday. Both metals modestly extended overnight gains and hit session highs following a morning U.S. inflation report that was in line with expectations. However, prices have backed down from daily highs on position evening as the U.S. central bank will provide an update on its monetary policy Wednesday afternoon. Solidly lower crude oil prices are also a bearish daily outside-market element for the metals. February gold was last up $3.50 at $1,997.10. March silver was last down $0.008 at $23.05.

The U.S. economic data point of the day saw the consumer price index report for November come in at up 3.1%, with the core rate (minus food and energy) coming in at up 4.0%. Both figures are year-on-year and are the same readings as seen in the October report. The November year-on-year numbers came in right in line with market expectations. The modest rallies in gold and silver following the CPI data suggest traders were relieved inflation did not uptick in November. Recent economic data from the world's major economies has generally shown cooling inflation.

Focus is now squarely on the two-day Federal Open Market Committee (FOMC) monetary policy meeting of the Federal Reserve begins today and ends Wednesday afternoon with a statement and press conference from Fed Chairman Jerome Powell. The marketplace consensus is that the FOMC will leave interest rates unchanged. However, it's also expected the FOMC statement and Powell at his press conference will still lean a bit hawkish by saying the inflation fight is not yet finished. Still, many market watchers expect the Fed to cut U.S. interest rates by mid-year in 2024.

  Gold is poised for new all-time highs in 2024 – World Gold Council

The key outside markets today see the U.S. dollar index weaker. Nymex crude oil prices are solidly down, near the recent for-the-move low, and trading around $69.00 a barrel. The yield on the benchmark U.S. Treasury 10-year note is presently fetching 4.227%.

Technically, February gold futures bulls have the overall near-term technical advantage. Prices are in a two-month-old uptrend on the daily bar chart. Bulls' next upside price objective is to produce a close above solid resistance at $2,075.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at the November low of $1,955.40. First resistance is seen at today's high of $2,012.50 and then at this week's high of $2,023.70. First support is seen at this week's low of $1,991.20 and then at $1,975.00. Wyckoff's Market Rating: 6.0

March silver futures bears have the slight overall near-term technical advantage. Prices are now trending down on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at $24.50. The next downside price objective for the bears is closing prices below solid support at the October low of $21.17. First resistance is seen at today's high of $23.45 and then at $23.75. Next support is seen at $23.00 and then at $22.75. Wyckoff's Market Rating: 4.5.

March N.Y. copper closed up 115 points at 379.20 cents today. Prices closed near mid-range today. The copper bulls have the slight overall near-term technical advantage. Prices are in a choppy, seven-week-old uptrend on the daily bar chart. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at the December high of 393.30 cents. The next downside price objective for the bears is closing prices below solid technical support at the November low of 362.60 cents. First resistance is seen at this week's high of 383.60 cents and then at Friday's high of 386.40 cents. First support is seen at today's low of 376.65 cents and then at last week's low of 372.90 cents. Wyckoff's Market Rating: 5.5.

Try out my "Markets Front Burner" email report. My next one is due out today and is going to be entitled, "When China sneezes…" Front Burner is my best writing and analysis, I think, because I get to look ahead at the marketplace and do some market price forecasting. And it's free! Sign up to my new, free weekly Markets Front Burner newsletter, at https://www.kitco.com/services/markets-front-burner.html .

By

Jim Wyckoff

For Kitco News

Time to Buy Gold and Silver

Tim Moseley

Markethive’s Contribution to the Cause

6 Steps To Unlocking Crypto's Full Potential: Markethive's Contribution to the Cause.

Although Bitcoin has existed for 15 years, the crypto industry is considered relatively nascent, and it’s frequently stated as still in the early days, meaning that many coins and tokens still have huge potential. Many believe this is somewhat underestimated. In perspective, the total market cap of stocks is $90 trillion, the total market cap of precious metals is $15 trillion, and just the US Dollar is over $20 trillion. The total market cap of crypto is only around $1 trillion, and considering some coins and tokens could someday become serious competitors to stocks, metals, or even national currencies means that crypto still has unprecedented potential. 

This article explores the six steps to achieving crypto’s full potential, how it will achieve this potential, what entities are moving forward, and how significant the returns could be. We’ll look at where we’ve come from and where we are heading and discover the critical component that brings this whole approach together. 


Image source: Finoa.io

Awareness and Education

The first step to achieving crypto's full potential is awareness and education because crypto can only receive investment or achieve adoption if people know about it. It can only receive investment or achieve adoption if people understand how it works and its value. Awareness of and education about crypto needs to be improved, as most of the attention either comes from mainstream media, arguably biased and aligned with the financial establishment, or from misleading advertisements, promotions, and partnerships, often from explicitly pro-crypto entities. 

Much of the education has also come from questionable sources, with most media outlets and influences pushing content purely to get clicks or token allocations. The result is that there is a general shortage of quality information about crypto, but this is improving. People are looking for quality information about crypto, and it’s increasing.

Another reason there’s been a lack of genuine education in crypto until now is that it's often more profitable to do other kinds of crypto content in the short term. It has given cryptocurrency an unfavorable reputation and is especially tough for those genuinely trying to educate others, but this seems to be slowly improving, too.

Some crypto content creators and influencers have taken shortcuts, finding themselves under the scrutiny of the SEC, while other countries have recently enforced strict regulations around crypto marketing.  As concerning as some of these regulations are, they are arguably necessary to ensure that the next wave of crypto content creators and influencers focus on crypto content with long-term value. 

Markethive, an entrepreneurial ecosystem, is a platform at the forefront of this shift as a next-gen crypto media outlet that champions free speech, focusing on genuine crypto content and education. The overall crypto landscape is at the beginning stages. Still, by the time the next crypto bull market hits, the quality of crypto awareness and education will be much higher than it has been, which will set the stage for crypto to reach its full potential. 

Crypto Regulation 

The second step to achieving crypto's full potential is regulation. It ties into the first step because regulators must know about crypto to write reasonable regulations. Institutional investors also need to be aware of and educated about these regulations. As we've seen, regulators worldwide are both aware of and educated about crypto for the most part. This is fortunate or unfortunate, depending on the jurisdiction in question. 

It's becoming clear that some are pushing for pro-crypto regulations while others are pushing for anti-crypto regulations. Believe it or not, any crypto regulation will benefit the crypto market if it doesn't involve an outright ban. This is just because investors, notably institutions, will finally have some guidance about what they can and can't do with crypto in their country. And once these investors and institutions get involved, you can bet that they will lobby to improve crypto regulations to suit their needs better. 

The crypto industry has already been lobbying but with mixed results. By contrast, Fidelity privately lobbied the SEC to approve a spot Bitcoin ETF in September 2021. For context, Fidelity is one of the largest asset managers in the world. It was arguing with an anti-crypto regulator behind closed doors, which is highly bullish. 

In retrospect, it's possible that Fidelity's lobbying is why Black Rock became encouraged to file for a spot Bitcoin ETF in June 2023. More importantly, Fidelity's past lobbying and Black Rock’s present SEC filing suggest that these lobbying efforts will only increase. This will ultimately be a net benefit to the crypto market. 

Institutional Investment

The third step to achieving crypto's full potential is investment from institutions and high-net-worth individuals. Of course, these entities hold most of the world's wealth. This is a consequence of having currencies whose supply is manipulated by people in power. Like all investors, institutions and high-net-worth individuals ultimately want to maximize their returns. As it happens, Bitcoin’s BTC is estimated to be the best-performing asset of all time, from an initial price of $0.09 to all-time highs of over. $69K, BTC has pulled a 760,000X return. 


Image source: Bitcoin’s Price History

Like all assets with such high returns, BTC’s returns will likely diminish over time, but it will still ostensibly outperform most other assets for the foreseeable future. This fundamentally depends on how much BTC we'll see in inflows. Although this is impossible to predict, there is one benchmark to remember; 

BTC is considered by many investors, including Black Rock, to be digital gold. As a result, it's generally believed that BTC’s market cap will someday be similar to that of gold. Now, gold's market cap currently sits at around $13 trillion. BTC's market cap is currently sitting at approximately $500 billion. So, BTC catching up to gold would mean a 26X increase in its price. This would translate to a BTC price of around $670,000. 
 
Interestingly, BTC’s peak price of $69K put its market cap at around $1.3 trillion, around 10% of gold's total market cap. This assumes that BTC is analogous to digital gold. Some have argued that BTC has additional value since Bitcoin is technically the most secure network in the world. It makes it the ideal base for other ecosystems, including payments, which the likes of the Lightning Network can support. On the topic of payment networks, smart contract cryptocurrencies are the ones that will capture this market share. It means that they could someday displace payment processors and other financial intermediaries. 

The total market cap of these financial intermediaries is over $2 trillion. Given that the market cap of Ethereum’s ETH is currently around $200 billion, matching analogous companies would mean a 10X increase in price. It translates to an ETH price of over $15K, but this likewise assumes that Ethereum is just a payments network; it is obviously much more than that. As such, one could argue that Ethereum is still near the beginning of its adoption curve. 

Crypto Adoption

The fourth step to achieving crypto's full potential is adoption. For reference, it's estimated that less than 5% of the world currently holds crypto. This implies that should more people choose to hold crypto, its price should have excellent upside potential. However, holding crypto is not the same as using crypto. Holding it constitutes investment effectively, whereas using it is actual adoption. 

On-chain data for the largest cryptos suggests there are only a few million daily users, a mere fraction of the world's population. Therefore, potential gains are even more significant than expected by merely extrapolating hodlers. For those unfamiliar, there are ultimately three reasons why people adopt crypto. The first is for profit, the second is for fun, which is very much intertwined with the first reason, and the third is out of necessity. This third reason has resulted in most of the actual crypto adoption. 

For example, 50% of Nigeria's population uses crypto daily, primarily because the government can't be trusted. This phenomenon is not unique to Nigeria; it's an accelerating trend worldwide. Considering that most central banks are currently rolling out Central Bank Digital Currencies (CBDCs), it becomes easy to imagine a world where the average person starts looking for alternatives to a digital currency controlled by institutions they don't trust. 

The demand for such alternatives is already increasing among some governments. The so-called Global South is looking to move away from the US dollar, and some reports suggest that crypto could be a part of their escape plan. Some countries already use crypto for international trade, and Russia is considering mining its own crypto. 

So, just like the adoption process at the individual level, the adoption process at the national level will eventually involve nations and national activities. Using crypto for things like international trade will become more accessible to the average country. At the same time, the tendency to weaponize fiat currencies will be increasing, and this will increase the demand for credibly neutral currencies. Decentralized cryptos like BTC could play a key role. 

Crypto Innovation

Crypto Adoption will ultimately depend on the progress of crypto innovation, the fifth step to achieving crypto’s full potential, particularly around user experience and privacy. Logically, it will be hard for individuals and institutions to adopt crypto in any meaningful way if they need to struggle with hardware wallets. 


Image source: Coursera.org

Significant developments have been on this front, the most notable of which is the gradual merging between hardware and software. It might sound bizarre, but a crypto phone like Solana Saga could solve crypto wallet User Interface (UI) and User Experience (UX). It's not just wallets, either. A lot of innovation is happening at the blockchain level. 

For instance, Ethereum’s EIP 4337 upgrade from earlier this year will allow any phone to have crypto phone-type properties, mainly hardware wallet-level security. It will also make it possible to create dApps with no gas fees or, rather, dApps where the user doesn't have to pay the gas fee. 

Constantly checking and accounting for transaction fees is another considerable hurdle to crypto adoption, which many crypto projects attempt to overcome. This will require entirely new approaches, such as charging crypto users monthly subscription fees to use a blockchain rather than charging them for every individual transaction. Of course, some of these approaches will require entirely new types of hardware, like more interactive hardware wallets.

Crypto Privacy

Crypto privacy is another niche to watch out for. Privacy in crypto has been a touchy subject. In one respect, crypto transparency is a huge advantage. At the same time, some degree of privacy is required for financial freedom, and high-net-worth individuals demand it. When it comes to the incessant third hand of government, there's a desire to exploit crypto’s transparency to track transactions and label any crypto privacy attempts as inherently encouraging criminality. 

For the crypto industry, balancing transparency with privacy presents a challenging problem. Zero-knowledge proofs have emerged as one potential solution to this problem, but they come with other problems. The primary one is ensuring that these zero-knowledge technologies don't have secret back doors. Thankfully, this is an issue that can be addressed.


Image Source: Developers:Circle.com

Regardless, the problem of balancing transparency with privacy is closely related to the problem of identity. Countries are pushing for digital IDs, and global regulators want to see these digital IDs integrated with cryptocurrency. The crypto industry has been working on its own supposedly decentralized digital ID solutions; however, these digital ID Solutions are just as centralized as the ones from governments. What's needed is a truly decentralized digital ID. 

There haven’t been any significant developments yet; however, the innovations around wallets and privacy continue rapidly and should be in place by the time the next crypto bull market comes around. This will further facilitate crypto investment and adoption at individual and institutional levels. 

Decentralization

Cryptocurrency's final step to achieve its full potential is complete decentralization. Without decentralization, everything that I just mentioned is off the table. That's because if crypto is centralized, it can be controlled, and if it can be controlled, it'll end up like our existing systems—news flash: Crypto's entire purpose is to replace our current systems with something better, starting with our monetary and financial systems. Naturally, the technology that underlies crypto is compelling. The only way it won't fall into the wrong hands is if it's genuinely decentralized. 

This article illustrates that decentralization means more than having many validators or miners. It means having a decentralized developer base, a decentralized coin or token distribution, a decentralized infrastructure layer, and a decentralized blockchain. Ultimately, this also means having a truly decentralized internet. 

Luckily, the Internet is somewhat decentralized and will likely become more decentralized as peer-to-peer Internet crypto projects like Helium see more investment and adoption. This also pertains to Markethive as it strives to decouple from all centralized entities prevailing as a tour de force in its next-gen social market broadcasting media niche. This adoption is necessary due to internet censorship

Currently, most cryptocurrencies are arguably not decentralized enough to evade control. It stands to reason, then, that these cryptocurrencies will not be the ones that make it. In other words, if you hold centralized cryptos, you're not early; you're late, very late. That said, this depends on whether the centralized cryptos you currently hold can become decentralized. To figure this out, you must ask one question: Is this crypto capable of building its own infrastructure and ecosystem without relying on a single set of individuals or institutions? 


Image Source: X – The DeFi Edge

Crypto Funding

The answer for most cryptos is no; however, that's not entirely their fault. One perspective is that one of the primary reasons why so many cryptos are so centralized is because of funding. Early investors in crypto projects want to see returns and often try to control the project to that end. This incentivizes crypto projects to cut corners on decentralization to ensure their investors are quickly rewarded. As we've seen, these so-called VC coins have seen the most aggressive pump-and-dump cycles, and most of them probably won't last past the next crypto cycle. 

The silver lining to this situation is that it fully displays the solution to the crypto centralization problem. The crypto industry needs to find a way to fund crypto projects in a more decentralized manner. 


Image by Markethive.com

Decentralization of Social Market Networks

Markethive is the ecosystem for entrepreneurs and a crypto project with the solution to top-level control issues, whether it be funding or the systems driving it. It is a decentralized, limited AI-secured rating and reputation system that is self-policing and a Human Intelligence (HI) that fosters a healthy level of meritocratic interaction. The community solely funds it with no prominent venture capitalists. The people are building it; it is of the people and for the people, so the community will profit, sharing the prosperity and abundance of every level of humanity.

It also creates a breeding ground for positive, creative, and beneficial content in which people's minds are prompted toward positive growth and critical thinking. Markethive is beyond its crypto wallet and Hivecoin release milestones, disengaging unreliable APIs and implementing multiple servers in preparation for its mining hives that give peace of mind—making it an impenetrable fortress against what has become a jungle, and a cesspool of fraud, scams, data harvesting, political bias, and dystopia. 

This divinely inspired project is all part of the Web 3 or 3rd generation Internet, which has emerged as a movement away from the centralization of services. Markethive is here for the rank and file with entrepreneurial aspirations at little to no cost to join. The all-encompassing social market broadcasting network delivers financial sovereignty, freedom of expression, privacy, and autonomy. We have entered into the much-needed world of decentralization, where the cancel culture is no longer an existential threat.  

At the time of writing this article, we are perfectly positioned to take advantage of the opportunities that are coming. Markethive, with its Hivecoin (HVC), will be poised for the next crypto bull run and participate in the facilitation of crypto achieving its full potential, where we’ll see HVC firmly established as a coin with purpose and utility in the free market. Do you want to be part of the decentralization revolution? Today, become an ‘Entrepreneur One’ and reap the rewards of Markethive’s ILP and revenue returns.  

May God bless and uphold you for all eternity…

 

Tim Moseley

Gold silver down amid bearish daily outside markets

Gold, silver down amid bearish daily outside markets

Gold and silver prices are down near midday U.S. trading Monday. A firmer U.S. dollar index and a slight rise in U.S. Treasury yields to start the trading week are bearish outside market forces for the metals markets. Both metals have also seen their near-term chart postures deteriorate recently, especially in silver. That’s inviting fresh technical selling. Gold and silver bulls are hoping for some friendlier fundamental news with this week’s batch of important economic data. February gold was last down $16.20 at $1,998.20. March silver was last down $0.226 at $23.04.

U.S. stock indexes are slightly up near midday. It’s a quieter start to the trading week, but at mid-week the Federal Reserve will announce its latest monetary policy meeting (FOMC) results. Key U.S. inflation data is also due out this week. The European Central Bank holds its regular monetary policy meeting Thursday.

Traders this week will also keep a closer eye on big U.S. Treasury bond and note auctions on Monday and Tuesday. The U.S. government will sell over $20 trillion of its debt this year. Some market watchers wonder how much longer the U.S. can keep selling more and more of its debt to the marketplace, without serious disruption.

The key outside markets today see the U.S. dollar index slightly higher. Nymex crude oil prices are near steady and trading around $71.00 a barrel. The yield on the benchmark U.S. Treasury 10-year note is presently fetching 4.26%.

Technically, February gold futures prices hit a three-week low today. The bulls still have the slight overall near-term technical advantage but are fading fast. Prices are still in a two-month-old uptrend on the daily bar chart. Bulls’ next upside price objective is to produce a close above solid resistance at $2,075.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at the November low of $1,955.40. First resistance is seen at today’s high of $2,023.70 and then at the October high of $2,039.70. First support is seen at $1,990.00 and then at $1,975.00. Wyckoff's Market Rating: 6.0

March silver futures prices hit a three-week low today. The silver bulls have lost their overall near-term technical advantage. A two-month-old uptrend on the daily bar chart has been negated. Silver bulls' next upside price objective is closing prices above solid technical resistance at $25.00. The next downside price objective for the bears is closing prices below solid support at the October low of $21.17. First resistance is seen at $23.50 and then at $24.00. Next support is seen at $23.00 and then at $22.75. Wyckoff's Market Rating: 5.0.

March N.Y. copper closed down 385 points at 379.20 cents today. Prices closed nearer the session low today. The copper bulls still have the slight overall near-term technical advantage. Prices are in a seven-week-old uptrend on the daily bar chart. Copper bulls' next upside price objective is pushing and closing prices above solid technical resistance at the December high of 393.30 cents. The next downside price objective for the bears is closing prices below solid technical support at the November low of 362.60 cents. First resistance is seen at today’s high of 383.60 cents and then at Friday’s high of 386.40 cents. First support is seen at today’s low of 377.55 cents and then at last week’s low of 372.90 cents. Wyckoff's Market Rating: 5.5.

By

Jim Wyckoff

For Kitco News

Contact jwyckoff@kitco.com

www.kitco.com

Time to Buy Gold and Silver

Tim Moseley

Understanding and Identifying the Different Types of Cryptocurrencies is a Must for Sound Investing

Understanding and Identifying the Different Types of Cryptocurrencies is a Must for Sound Investing

The value of cryptocurrencies is a question that has likely been posed to you before and perhaps that you have also wondered about. The answer varies depending on the specific crypto coin or token being discussed. With over 11,000 cryptocurrencies in existence, each one has its purpose or intended use case that adds to its value. However, it is essential to note that not all cryptocurrencies are currently active or hold value. By disregarding the many "dead" cryptos, we are left with approximately 8,000 active cryptocurrencies.

Most cryptocurrencies can be grouped into various categories, including those that serve as a means of storing value, facilitating smart contracts, providing oracle services, enabling payments, ensuring privacy, acting as exchange tokens, and even serving meme coins. 

Identifying the category a cryptocurrency belongs to when investing in the crypto market is crucial. This is because each category has its advantages and disadvantages, and they tend to experience different patterns of price surges and declines during a bull market. This guide provides an overview of the different types of cryptocurrencies and offers insights on how to leverage this information to optimize your investment strategy and mitigate potential losses.


Image source: Business Today

Store Of Value Cryptos

Cryptocurrencies that fall under the store of value category are intended to maintain or enhance their buying power as time passes. Although there is usually a gradual rise in their price over time, it is important to note that price and purchasing power are two different concepts.

Traditional currencies lose about 2% to 3% of their purchasing power yearly due to governments printing more money to stimulate economic growth. Therefore, if you invested in a stock that increased by 23% last year, the actual purchasing power of that stock remains the same despite the increase in its dollar value.

The government's excessive money printing diminishes its value, which is why cryptocurrencies like Bitcoin were created. Bitcoin, launched in 2009, reacted to the 2008 financial crisis and the subsequent government money printing. It's the only cryptocurrency that fits the store-of-value category, although some argue that others, like Litecoin, also qualify. Litecoin is also known as silver to Bitcoin’s gold.

Bitcoin differentiates itself from traditional currencies by having a limited supply of 21 million BTC, in contrast to conventional currencies, which are subject to continuous printing and subsequent devaluation. This 21 million BTC is created gradually, thanks to miners who solve intricate equations to facilitate transactions on the Bitcoin blockchain and are rewarded with BTC.

A decentralized payment network has been established by allowing anyone to mine Bitcoin and receive BTC as a reward for processing transactions. This network comprises millions of computers located worldwide. The presence of economic incentives makes Bitcoin the most secure payment network globally. It cannot be shut down by targeting a single location.

Although Bitcoin was initially intended to function as a form of virtual currency, its economic characteristics and the relatively slow speed of its transactions have resulted in it being more comparable to digital gold than digital cash. Within the cryptocurrency market, Bitcoin holds the highest market capitalization, and the price of Bitcoin influences the prices of almost all other cryptocurrencies. 

If Bitcoin's value experiences a sharp decline, it also leads to a decline in the value of other cryptocurrencies. Conversely, if Bitcoin's price remains stable or gradually increases, it increases the value of other cryptocurrencies. Furthermore, if Bitcoin experiences a significant surge in value, it outperforms other cryptocurrencies by a substantial margin. The ongoing fluctuations in Bitcoin's dominance can be observed in real-time through the Bitcoin dominance chart.

The main benefit of store-of-value cryptocurrencies is that they tend to be less risky investments than other cryptocurrencies and have a higher potential to appreciate in value over time. However, the critical factor determining their success is a fair launch, where a community of miners collectively starts mining the cryptocurrency from the beginning. 

Many store-of-value cryptocurrencies have been pre-mined, where the development team and private investors hold a significant portion of the supply, which can lead to centralization and decreased trust in the network. To verify if a store of value cryptocurrency is genuinely decentralized, you can check its supply distribution using a Blockchain Explorer. Bitcoin and Litecoin are examples of store-of-value cryptocurrencies with relatively equitable supply distributions.

One major drawback of cryptocurrencies that serve as stores of value is their lack of extensive features. This is why some individuals compare Bitcoin to a pet rock. These types of cryptos primarily focus on preserving purchasing power and facilitating peer-to-peer transactions without intermediaries. The limited functionality of store-of-value cryptocurrencies is why many individuals anticipate that Bitcoin will eventually lose its position as the most prominent cryptocurrency in market capitalization. The crypto that surpasses Bitcoin is expected to emerge from the second category.

Smart Contracts Cryptos

Smart contract cryptos, which belong to the second category of cryptocurrencies, are specifically created to be programmable and prioritize functionality over value preservation. The reason this is important is as follows. 

If you are currently viewing this article on either your computer or phone, it means you are utilizing a specific program, whether it be a web browser or a mobile application. The distinguishing feature of the programs you rely on daily is that they are centrally controlled. A major technology company is typically responsible for developing and overseeing these browsers or apps. Additionally, these programs are not particularly secure. There is a risk that an individual could hack or alter the program to gain access to your personal information, finances, identity, and so on.

The influential tech conglomerates and financial institutions are constantly monitoring your digital activities. Whether you're spending, saving, or trading your funds, you must utilize a centralized medium, such as a bank or a brokerage firm. However, cutting-edge smart contract cryptocurrencies present a revolutionary replacement for the digital and financial systems we rely on today. This innovative approach is known as Web3, representing a significant upgrade from the existing Web2 internet.


Image source: globalxetfs.com.au

Smart contracts are self-executing programs that automate specific actions when predefined conditions are met. They can be used to create various cryptocurrency tokens, such as fungible tokens similar to traditional currency or non-fungible tokens that are unique and rare, like a collectible baseball card. What sets smart contracts apart from regular programs is their immutability and decentralization. Once created, smart contracts cannot be modified, and their decentralized nature means they cannot be shut down as they exist on a vast network of computers globally.

A decentralized application (dApp) is formed by merging various smart contracts. These dApps cover a wide range of functions, such as payments, trading, lending, borrowing, and even gambling. Utilizing dApps does not necessitate sharing personal information; all that is required is an internet connection. The most significant advantage of dApps is the absence of intermediaries extracting fees or compromising your data. Transactions within dApps occur directly between individuals, ensuring a level of privacy for your activities. (However, there is one exception to this, which will be elaborated on later.)

Many decentralized applications (dApps) with a significant user base operate on various smart contract-based cryptocurrency platforms, primarily Ethereum and Binance Smart Chain. Also, Solana is very active in this niche. These cryptocurrencies derive value from their utility in facilitating transactions and executing smart contracts rather than solely as a store of value. 

Transaction fees on these networks are paid in the native cryptocurrency of the respective platform, such as ETH for Ethereum, BNB for Binance Smart Chain, and SOL for Solana. To maintain a sufficient supply of cryptocurrency for transaction fees, most smart contract cryptocurrencies do not have a maximum supply. Instead, they implement annual inflation schedules that can range into double digits under certain conditions.

If there are sufficient dApp users purchasing the coin to cover the necessary fees, the act of ‘printing coins’ is typically not an issue. This leads me to the main benefit of smart contract cryptocurrencies: their worth is connected to the scale and acceptance of the dApp and token ecosystems established on their blockchains. Despite Ethereum and the Binance smart chain having only a few million users, ETH and BNB had market capitalizations in the hundreds of billions. And SOL is not far behind them. 

The adoption of smart contract cryptocurrencies could significantly increase market caps for associated coins, reaching trillions of dollars by the end of the decade. However, the main drawback of smart contract cryptos is the uncertainty of which one will emerge as the winner. The competition in this category is fierce, with new projects entering the market regularly. Unless you have the means to invest in all of them, it is crucial to conduct thorough research before making any decisions.


Image source: Researchgate

Oracle Cryptos

Oracle cryptocurrencies facilitate the integration of real-world data into smart contract blockchains, enabling decentralized applications to access and utilize external information. In centralized systems, applications rely on APIs provided by external entities to obtain data such as weather or pricing information. Similarly, smart contracts require access to real-world data to execute practical tasks. This is where Oracle cryptocurrencies come in, providing a decentralized means of sourcing and verifying data for blockchain-based applications.

Oracle cryptocurrencies differ from data feeds like APIs by offering decentralized data feeds. Typically, multiple individuals or institutions will tell an oracle crypto the price of a particular item, and the oracle calculates an average of their responses. Similar to smart contract cryptocurrency coins, oracle crypto tokens are required to pay for the fees to cover the costs of obtaining this data.

Despite Chainlink currently holding the top position and being widely used as an Oracle cryptocurrency, around twelve other Oracle cryptos exist, including Band Protocol and API3. The main benefit of Oracle cryptos lies in the increasing number of smart contract cryptocurrency dApps and users. The demand for their tokens is also expected to rise. However, a significant drawback of these oracle cryptos is that most have allocated substantial portions of their pre-mined token supplies to their teams and private investors.

Consequently, if the prices of these cryptocurrencies increase, it creates a strong motivation for teams and private investors to sell, preventing the price from reaching higher levels. Additionally, many smart contract cryptocurrencies rely on multiple oracles to provide data for their decentralized applications, and specific cryptocurrencies, such as Cardano, have chosen to develop their own decentralized data oracles. As a result, this decreases the demand for any individual Oracle cryptocurrency.


Image source: Howmuch.net

Payment Cryptos

Payment cryptocurrencies, which belong to the third classification of virtual currencies, aim to substitute the existing payment systems currently in use. In some instances, these payment cryptos utilize smart contract technology. If you have ever made an international money transfer, you know its exorbitant costs and sluggishness. For business owners, the substantial fees charged by payment processors such as Visa, Mastercard, and PayPal per transaction are for business owners well known. 

Those who have experienced payment problems are also familiar with the numerous hurdles one must overcome when resolving issues with their bank. Additionally, many of us pay monthly fees simply to maintain a bank account or credit card. Irrespective of the circumstances, whenever money is involved, an intermediary takes a portion, causing delays and introducing complexities to processes that would otherwise be straightforward.

Payment cryptocurrencies enable swift transaction settlements and significantly reduce costs compared to using an antiquated payment network that takes several days to finalize transactions. Furthermore, similar to other cryptocurrencies, you can securely store payment-oriented coins or tokens in your personal wallet, eliminating the need to depend on a bank for fund storage. This also removes concerns regarding unauthorized access to your bank account or restrictions on incoming and outgoing payments.

Cryptocurrencies optimized for payments like Bitcoin Cash, Dash, Telcoin, and Solana have gained popularity due to their sophisticated smart contracts and dApp ecosystems centered around payment systems. These cryptocurrencies boast the highest potential for widespread adoption, targeting the largest and most profitable market globally. 

Dash has already achieved significant usage in Argentina for everyday payments, while Telcoin has made strides in offering affordable remittance services. Solana has been of particular interest in the payments niche as it's becoming clear that its technical capabilities are suitable for these applications. Recently, Visa joined the Solana ecosystem designed to offer high-speed performance, expanding its stablecoin settlement capabilities with the USDC stablecoin and furthering its core business with things like cross-border payments and using crypto for one of its core use cases.

The principal drawback of cryptocurrencies, except for stablecoins, designed for payment purposes, is that it is highly improbable that they will supersede traditional currencies in the near future. This is primarily because the value of these cryptocurrencies is often unstable. Additionally, governments have demonstrated a willingness to intervene and restrict their use for payment purposes.


Image source: Investing.com

Privacy Cryptos

Privacy cryptos, also known as privacy coins, constitute the fourth classification of cryptocurrencies. These types of cryptos aim to safeguard users' privacy during transactions and while utilizing decentralized applications (dApps). It is a common misconception that cryptocurrency transactions are inherently private. However, as mentioned earlier, most cryptocurrency blockchains are publicly accessible, enabling anyone to observe transactions as they occur in real-time. Although an individual's identity is not initially linked to their cryptocurrency wallet address, it is still feasible for others to determine which addresses belong to them.

This holds particularly true if you utilized a platform or trading service that demanded your personal details for buying cryptocurrency. Your identity can readily be associated with your digital wallets in transactions. It is plausible that you are perfectly fine with this and believe that all transactions should be completely open and confirmable by anyone. However, companies and affluent individuals hold a contrasting viewpoint. The very last thing they desire is for others to see the extent of wealth stored in their cryptocurrency wallets.

Furthermore, as an individual utilizing cryptocurrency dApps, it is highly likely that you desire a high level of privacy for your data. Privacy cryptocurrencies aim to tackle these concerns and come in various forms and options. For instance, Secret Network enables the development of dApps that prioritize privacy.

Specific cryptocurrencies, like Monaro and Zcash, prioritize confidential transactions and employ top-notch privacy mechanisms that are supposedly impervious to government surveillance. Another privacy-focused cryptocurrency, Haven Protocol, takes it a step further by enabling the generation of virtual fiat currencies, cryptocurrencies, and precious metals, thereby creating a virtually untraceable offshore bank account.

Privacy cryptocurrencies have a significant edge due to their robust design and durable structure. Most have had a fair and transparent launch without any pre-mining or favoritism towards private investors. Using Monero's XMR coin as an illustration, it shares similar store of value properties with BTC and can be transacted as quickly and as cheaply as most payment cryptocurrencies.

Monero also employs a unique mining algorithm known as RandomX, which prevents specialized computers from mining XMR. This feature enhances Monero's decentralization by allowing anyone to participate in mining XMR.

One of the main drawbacks of privacy cryptocurrencies is that regulators often single them out due to their association with illegal activities, or at least that is the primary reason given. Consequently, privacy coins are frequently removed from cryptocurrency exchanges, making them difficult to obtain and hindering their potential for price appreciation.

Decentralized exchanges like THORChain provide a means to trade privacy-focused cryptocurrencies, such as Monero and Haven, without relying on a centralized platform. Notably, some privacy-centric cryptocurrencies have been developed with regulatory compliance in mind, allowing users to demonstrate their wallet balance and transaction history to regulatory authorities upon request, thanks to sophisticated cryptographic techniques.


Image source: Binance Square

Exchange Tokens

Cryptocurrencies, known as exchange tokens, fall into the fifth category. These tokens are owned and controlled by the cryptocurrency exchanges they are associated with. Exchange tokens can be seen as a mix of a membership subscription and company shares. Similar to a subscription, they offer various benefits, such as discounts on trading fees and exclusive access to early coin and token sales. However, like company stock, the value of exchange tokens is influenced by the popularity of the exchange they are connected to.

The reason for this is that nearly all exchanges buy back and burn a portion of their circulating exchange tokens using a fraction of the trading fees they collect. Buying back raises the price, while the burn reduces the overall supply, resulting in a cryptocurrency token that appreciates in worth as time passes. Additionally, certain exchanges like Binance have developed smart contract cryptocurrency networks that necessitate using their exchange tokens, creating an additional source of demand for these tokens.

The main benefit of exchange tokens is their strong potential for price appreciation. On the other hand, exchange tokens have a slower growth rate than other cryptocurrencies, nor are they guaranteed. As the influence of cryptocurrency exchanges continues to grow, regulators are gradually beginning to resist. It has been observed that a single unfavorable announcement regarding an exchange can result in a significant decline in its token value.

Meme Coins

Another type of cryptocurrency is meme coins. These digital currencies often lack a clear purpose or practical application, and their main appeal is based on hype and the promise of financial gain. In reality, if someone tried to sell you on the idea of becoming a millionaire by investing a few hundred dollars, you'd likely recognize it as a dubious proposition.

Interestingly, this apparent impossibility inexplicably becomes achievable when the identical concept is expressed for cryptocurrency. This could be attributed to the fact that novice cryptocurrency investors may not comprehend the connection between a meme coin's market capitalization, supply, and value in dollars. For instance, a single Shiba Inu token is priced at approximately 1/1000th of a cent. Without considering the market capitalization, one might think that if they invest a mere few hundred dollars into Shiba and its value rises to one dollar, they would become multi-millionaires.


Screenshot: Coingecko

The primary challenge with Shiba Inu's valuation is that its market capitalization is already in the billions, owing to its considerable circulating supply of 590 trillion and maximum supply of over 999 trillion, even after factoring in perpetual burns. Consequently, for Shiba Inu's price to reach $1, it would require an investment of over four times the total amount of money in existence, which seems unrealistic.

A large number of the meme coins that have emerged in recent months share a common characteristic: they have enormous supplies, which makes it unlikely that they will reach a value of one dollar in the near future. If you are considering the possibility that these coins have deflationary properties or unique economic mechanisms that will drive up their price, take a moment to reflect on the true purpose and potential outcome of these meme coins.

A common viewpoint is that none of these meme coins genuinely intend to provide useful functions for their community. The main objective behind most meme coins is to benefit their creators financially. While some individuals may choose to take a chance on them, the risk often outweighs the potential benefits.

Having said that, due to its unique origins and features, Dogecoin stands out among other meme coins. It was created as a lighthearted joke, and its survival during the last bear market can be attributed to its ability to be 'merged mined' with Litecoin at no extra cost.

Meme coins may provide an opportunity for rapid profit, but their volatility means the potential for loss is equally high. The unpredictability of pump and dump schemes makes it challenging to turn a profit, as the likelihood of being left with losses when the dust settles is significant. Meme coins are notoriously susceptible to manipulation and are the most manipulated cryptocurrencies on the market, with their prices often being artificially inflated and then suddenly collapsing. It makes the price manipulation of Bitcoin seem insignificant in comparison.


Image: Markethive

In Closing

Grasping the various forms of cryptocurrency and their potential applications is crucial. Projects that have pioneered a specific field, offering genuine utility to the broader community, have a distinct edge. By continuously adapting and staying up-to-date with technology, being a first mover enables a project to gain a significant portion of the market and avoid the negative consequences of oversaturation.

In terms of being a pioneer, Markethive belongs to the category of first movers, offering a wide range of practical applications. This raises the question of where Hivecoin (HVC) fits in among other cryptocurrencies. All of this and more will be disclosed in the upcoming article.

This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

 

 

Editor and Chief Markethive: Deb Williams. (Australia) I thrive on progress and champion freedom of speech.  I embrace "Change" with a passion, and my purpose in life is to enlighten people to accept and move forward with enthusiasm. Find me at my Markethive Profile Page | My Twitter Account | and my LinkedIn Profile.

 

 

 

 

Tim Moseley

Affiliate Marketing in 2024: Trends to Watch and How to Prepare

Affiliate Marketing in 2024: Trends to Watch and How to Prepare

By David Motta
May 18, 2023

autoaffiliate

The words of Malcolm X ring true: "The future belongs to those who prepare for it today." Preparation in affiliate marketing necessitates an understanding of evolving trends and the strategic nimbleness to adapt them to your plans. As we stride into 2024, affiliate marketing is entering a thrilling phase, with technology and changing consumer habits shaping its course. This piece delves into the transformative trends in affiliate marketing and arms you with practical insights to ready your strategies for success.

The Advent of AI and Automation

Advanced algorithms and automation are redefining the landscape of affiliate marketing. These tech advancements analyze consumer behavior, automate marketing campaigns, and streamline administrative tasks, enabling affiliate marketers to focus on refining their strategies. Platforms like AutoAffiliate are leading this wave, leveraging AI and automation to simplify affiliate marketing endeavors.

Discover how this 100% FREE PLATFORM can build you multiple streams of income…

Discover why AutoAffiliate is the most revolutionary way to start an online business. Create your account today and gain access to a new world of possibilities.

Data Privacy Comes to the Forefront

Global data privacy regulations are urging affiliate marketers to focus on transparency in their data usage and sharing practices. Balancing personalized marketing while upholding privacy forms a key challenge for marketers. 
Those who skillfully tread this line, offering unambiguous privacy practices, will foster trust and loyalty among their audience.

Voice Search on the Rise

The surge of voice-activated devices is reshaping the way consumers interact with search engines. Adapting content for voice search, integrating natural language, and including question-based search terms are crucial for affiliate marketers aiming to stay relevant.

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Dominance of Video Content

Video content is increasingly pivotal in the digital marketing sphere. Its immersive nature is highly engaging to consumers, prompting affiliate marketers to incorporate video into their marketing strategies. The potential of video content, from product reviews to informational pieces, is a realm that marketers cannot afford to overlook.

Increase in Mobile Shopping

The convenience of shopping via mobile devices continues to drive consumer behavior. Ensuring websites and marketing strategies are mobile-friendly is essential for affiliate marketers to tap into this ever-growing market segment.

Personalized Marketing

Consumers are increasingly expecting personalized experiences. Affiliate marketers will need to leverage data and technology to offer individualized content and product recommendations, enhancing customer engagement and conversions.

Preparing for the Future of Affiliate Marketing

How can you gear up for this dynamic future? Here are some actionable steps:

  • Embrace Technology: Use technology to navigate the complex terrain of affiliate marketing. Platforms that utilize AI and automation, like AutoAffiliate, can revolutionize your operations, giving you more time to focus on strategy and content creation.
  • Transparency is Key: Foster trust and credibility with your audience by being upfront about your data practices. Respecting your audience's privacy can strengthen your relationships and enhance customer loyalty.
  • Optimize for Voice Search: Begin integrating more conversational language into your content and incorporating question-based keywords to cater to the surge in voice searches.
  • Invest in Video Content: Develop your skills in video content creation or seek partnerships with influencers to promote your affiliate products in an engaging, dynamic format.
  • Optimize for Mobile: Ensure your website is mobile-friendly and your marketing strategies consider mobile users to capitalize on the increasing prevalence of mobile shopping.
  • Personalize Your Marketing: Utilize data and technology to offer personalized content and product recommendations. This will enhance customer engagement and conversions, leading to increased affiliate sales.

Conclusion

The future of affiliate marketing is a rich landscape of opportunities for those willing to adapt and innovate. Staying abreast of industry trends and being ready to modify your strategies accordingly is paramount to sustained success. Leveraging the right tools, like AutoAffiliate, can make your journey not only smoother but significantly more rewarding.

Tim Moseley

The Artist that came out of the Winter