TG Watkins Reviews The Crypto Markets And Bitcoin As An Inflation Hedge

TG Watkins, Director of Stocks at Simpler Trading and editor at the Profit Pilot website, joins us to discuss the recent moves in the cryptocurrencies. We start off reviewing the difference in pullbacks and moves higher between Bitcoin and Ethereum, and the recent trade TD has discussed.  Next we debate whether Bitcoin is a good inflation hedge and what it means for an asset class to even be an inflation hedge in today’s macro set up. We wrap up by getting a few stocks that TD is watching for a compelling trade setup.  

Click here to visit the Profit Pilot website to follow along with what TG is trading.

    Oct 25, 2021 25:32 PM

    Hertz Order for 100,000 EVs Sends Tesla Value to $1 Trillion
    By Erik Schatzker – Bloomberg – October 25, 2021
    “Hertz Global Holdings Inc., barely four months out of bankruptcy, placed an order for 100,000 Teslas in the first step of an ambitious plan to electrify its rental-car fleet. Tesla Inc.’s shares soared, pushing the automaker’s value past $1 trillion for the first time.”
    “The cars will be delivered over the next 14 months, and Tesla’s Model 3 sedans will be available to rent at Hertz locations in major U.S. markets and parts of Europe starting in early November, the rental company said in a statement. Customers will have access to Tesla’s network of superchargers, and Hertz is also building its own charging infrastructure.”

      Oct 26, 2021 26:53 AM

      Hertz is getting ready to IPO on the Nasdaq. The money sharks need some hype.

    Oct 25, 2021 25:34 PM

    Bitcoin price predicted to soar to $220K as China eyes reversal of hated mining ban
    Brian McGleenon – Mon, Oct 25, 2021

      Oct 25, 2021 25:36 PM

      That’s a pretty big IF and “forward looking statement” there on that Bitcoin prediction, and is mostly a clickbait title, but I thought it summed up the point of the crazy march higher in valuation in the cryptos and in particular, Bitcoin mania, discussed in today’s editorial with TG Watkins.

    Oct 25, 2021 25:41 PM

    4 days ago Binance flash crashed Bitcoin 87%. I just posted a humorous video on the other blog. This is going to be the Bitcoin people when they realize there are no circuit breakers at coinbase.
    Bitcoin as an inflation hedge? Bitcoin is not investible, but does work as a trade.
    Tesla is going to be receiving some stark competition from China. Like I said this weekend ” There is always a better technology on the horizion.”
    I remember all the flack I took as a early buyer of Bitcoin. I still have no problem saying that Bitcoin is still the Greater Fool Theory.
    There are always events that mark the top of a financial system and the inevitable crash.
    For me, it is the Wall Street types recommending Bitcoin.

      Oct 25, 2021 25:49 PM

      Here’s a throw back to when I use to put them in the Dinosaur parade.
      All those who said I was crazy for owning Bitcoin.

      Oct 25, 2021 25:18 PM

      It is getting to be a bit of a mania again in the cryptos, where so many are jumping back in thinking they can’t loose, very reminiscent of Thanksgiving 2017 again. However, there has been more acceptance by larger institutions and a few smaller nations since then, but still it is mostly a speculative trading vehicle at this point, and the vast majority of people chasing it are for greed of more gains, and not really because it’s an inflation hedge. That is just the newest narrative being thrust upon Bitcoin to justify the climb to loftier levels. Thus far, it’s still a speculation.
      But… then there’s this guy on Stansberry claiming it is a bonafide asset class now, and he thinks Gold is dead. We’ll see how it all goes…
      Gold Is Dead, Bitcoin Officially an Asset Class Says Matt McCall
      Stansberry Research – Oct 15, 2021

        Oct 25, 2021 25:16 PM

        A great Stansbury interview.Thx. Ex. Yes, well put “we’ ll see how it all goes…”

          Oct 26, 2021 26:21 AM

          Thanks Ann. Agreed it was an interesting discussion and vantage point that Matt McCall had, and he is not alone in looking at the markets the way he does with the future in the cryptos over gold, but personally I feel they still appeal to different audiences for similar reasons, and there is a place for both in investors portfolios, without it having to be mutually exclusive.

        Oct 26, 2021 26:19 PM

        Matt McCall is the sort of goofball that appears in all manias. It doesn’t matter what price is ultimately achieved by BC, it will always be opposite gold with respect to its risk profile.

        BC is currently a net short term sell and might be building a small H&S top on the daily chart. It’s breakout to a new all-time high happened with an RSI reading near 80 so it might need some time before it makes another attempt.

    Oct 25, 2021 25:12 PM

    We find ourselves in very precarious times, hec, even Elon Musk talks about the dangers of artificial intelligence.
    Does God Play Dice? The New Mathematics of Chaos, penned by Ian Stewart is interesting.
    Why I have so little faith in the Fed, is due to complexity theory. I quote” No single investor can cause the market to crash, no single investor wants the market to crash. Yet when the interactions between investors happen to head along a particular non linear dynamic path, the collective responses reinforce each other, and a crash is the inevitable outcome.” The prior flash crashes in the market have never been explained. Have you ever wondered why?

      Oct 25, 2021 25:24 PM

      Yeah, Elon Musk warns about the danger of A.I. out one side of his mouth, and then develops a company called Neuralink using A.I. and continues to push the EV revolution, where in the future, our technocratic leaders could disable anyone’s vehicle from driving on proposed grid, or inhibit going to what they consider restricted zones, so it’s hard not to see the hypocrisy at play in his warning, while issuing in the very age he’s concerned with.
      Neuralink Stock Price – Elon Musk
      – October 25, 2021 by Pd Paradox
      “Elon Musk’s latest business devotion, Neuralink, has garnered massive attention from mainstream financial media pundits and tech investors.”
      “Neuralink is developing and building a practical brain-machine interface that will allow a user to remotely control a computer or mobile device via an app. To do this, the team at Neuralink is working on an implant called ‘The Link’ that will process and transmit nerve signals.”

        Oct 25, 2021 25:26 PM

        Elon Musk on his Crypto Portfolio: I Only Own Bitcoin, Ether and Dogecoin
        Taylor Locke – 8 hrs ago
        “Billionaire Elon Musk, CEO of SpaceX and Tesla, often tweets about different cryptocurrencies, and in doing so, has seemingly impacted their prices.”

          Oct 25, 2021 25:37 PM

          People are always looking for some one to lead them. Elon Musk seems to be the annoited one for the New Generation.
          I’m sorry, anybody that goes on Joe Rogan and smokes Pot in my book is right up there with the CEO of Mart Resources selling stock with out a disclosure to start a swim suit line for his transvestite girlfriend. You can’t make this stuff up.
          One must not also forget the loans given to Elon from the Chinese. Things are never black and white.

            Oct 25, 2021 25:14 PM

            Elon Musk has something special, unquantifiable. Can you imagine listening to Joe talk to Mark Zuckerberg for two hours?
            As far as smoking pot goes who cares, although I prefer acid myself.

    Oct 26, 2021 26:27 AM

    Updated “The Crow Line : Gold Must Hold” (there will be more on this topic):

    Oct 26, 2021 26:49 AM

    “All miners bad day”….just because we say so! Children and their games…we must endure.

    Oct 26, 2021 26:50 AM

    A ‘Dam’ Good Way to Power up Dividends
    by Sean Brodrick | October 26, 2021
    “Hydropower is expected to remain the world’s largest source of renewable power through 2024, according to the International Energy Agency (IEA).”