Best quote of the week, possibly the year, and let’s pray it’s not the quote of the decade. Jerome Powell testified in front of the banking committee this last week. COMMITTEE: “Do you see any systemic risk in the banking system because of the rapid rise of interest rates?” POWELL: “No” https://twitter.com/GRDecter/status/1634926576105320449 And then this morning, this is… Read More »
Regular readers of my newsletter know I never indulge in buying or selling Bitcoin futures without covering my positions, or “hedging” so to speak. It’s an iron-clad rule I never break. Never ever buy a futures contract without covering position. Never put yourself in a position to lose money. Except for yesterday. I broke the rule. I went… Read More »
Bitcoin pops above $5000 and many in the crypto community are preparing their happy dances and calling for $10,000 in no time flat. I am all for singing Hallelujah, but before we all jump on the bandwagon, let’s take a look backwards and ask ourselves one very important question. Why did Bitcoin crash in 2018? And if it… Read More »
Things are looking up for public bitcoin miners as Bitcoin nears $4000 USD. It is now profitably to mine bitcoin again: Virtually all the (surviving) mining companies have all-in costs of seven cents or lower per kilowatt. Some have all-costs as low as five cents. With cryptocurrency still near the bottom of the worst bear market since 2014,… Read More »
Bitcoin charts can drive you insane. They can be so volatile, (and oh, does the press ever like to remind you of that). But there is one quietly bullish chart nobody is telling you: This is a chart of the Bitcoin futures contract XBTU18 on Bitmex, the largest bitcoin exchange in the world. The XBTU18 expires on September… Read More »
Last week (while I was on vacation) Tom Yee published a widely-distributed story stating “Bitcoin currently trades essentially at the break-even cost of mining a bitcoin,” I couldn’t find the methodology behind the report, so I thought I would try to duplicate the results. As I have noted many times before, it’s not hard to figure if Bitcoin… Read More »
