by Marco Rossi
Who could’ve said that? From the dark of what everyone believed to be a slump, the S&P E-Mini roared this week, flabbergasting the market with its sudden spike:
In only two days, in fact, it rocketed from a low of just above 3,075 to a high of 3,114 on 11/15 at noon. Not only, according to the volatility index, brighter times are ahead for the S&P:
The VIX for the S&P 500 is lowering down, which, in this case, means that volatility of the market will lower in turn for the near future.
Volatility has been low also for the precious metal market, although the overall look of it is way less exciting as for the S&P.
Both Gold and Silver look stable, with a little upward trend for Gold and a stalemate for Silver, which after its golden days looks like passed the sceptre back to Gold.
What really caught our eye, however, is Palladium. Historically regarded as the undisputed king of the precious metals market, it’s been some tough months for Palladium and this week has not been different:
From Monday 11/11 Palladium dropped of more than a hundred, only to restore and then drop again around noon of 11/15. Next week might be a turning point for the value of Palladium, since volatility here is anything but similar to its peers in the metals market.
But let’s get to the core of the business.
BTC doesn’t seem willing to stop its fall, with another recession on Friday of roughly $300 in the same day.
As we know, there are two types of conclusions to draw from this: BTC might be falling too much for those who invested money into it; or the downward trend of the asset helps leaving the necessary space for other coins to affirm on the market.
For instance, ETH has been able to keep a good spread in the week, reaching a peak during the mid-week, although falling back almost to the starting point by the end of it:
This means, that although BTC is evidently passing a hard time, exchanging devalued BTC for ETH might not be a bad idea, quite the contrary!
However, not all is lost. As we can see from the chart above, the last 7 months have proven a possible, virtual bottom for BTC. That is to say that BTC has a potential bottom under which it would not go during the hardest times, waiting to rise again.
History is an important factor in the analysis and forecasts of the market. It teaches us that if something is repeated through time it means that it could happen again. Probably BTC will rise back.
Whether this is good for the market, however, is debatable.