While the U.S. dollar has been extremely robust in recent times, compared to a myriad of fiat currencies worldwide, a number of analysts and economists think the greenback will eventually falter in an inconceivable manner. The owner of aheadoftheherd.com, Richard Mills, published a comprehensive research post on Wednesday called “Walking Dead U.S. Dollar,” warning that “we are rushing headlong into a U.S. dollar crisis of epic proportions.” The investor thinks that within the next five years, the greenback could very well “lose its status as the world’s reserve currency.”
If you are acquainted with the financial world, then you probably know that the U.S. dollar has been on a tear and Richard Mills, the investor and owner of aheadoftheherd.com, doesn’t think the greenback’s bull run will last. During the first week of October, the U.S. Dollar Index (DXY) recorded a brief dip after reaching a 2022 high, above the 114.000 region on September 27.
On October 20, 2022, the DXY has been coasting along between the 112.000 and 113.000 region, after some range-bound action during the last 48 hours. Comparing the U.S. dollar’s value to a variety of fiat currencies like the yuan, yen, pound, euro, and the dollars of Canada, Hong Kong, and Australia highlights the significant losses these currencies have seen over the last six months.
The blog post written by Mills and published on aheadoftheherd.com explains how the dollar is doing so well, the last six months of rising interest rates, and how short and long-term U.S. Treasury note and bond markets have shown erratic behavior.
“Rising interest rates have put upward pressure on the dollar, as foreign investors pour capital into the country,” Mills’ blog post details on October 19. “The dollar has also done well because the U.S. economy is perceived to be stronger than Europe’s, which is suffering from an energy crisis. On Aug. 22 the euro fell to a two-decade low of 0.9903 against the dollar. The New York Times stated in July that the dollar is the strongest it’s been in a generation, citing safe haven demand, inflation, higher interest rates, and worries over growth as factors.”
Akin to most of the blog posts on aheadoftheherd.com, the article called “Walking Dead U.S. Dollar” is jam-packed with citations and data to back up the claims Mills makes in his editorial. After explaining how strong the greenback has been and detailing what it has been doing to foreign nations, Mills says he believes the U.S. dollar is “due for a reckoning.” “Only six months into the Fed tightening cycle, we’ve got developing countries defending their own currencies against the surging U.S. dollar, trying to support them by selling Treasuries and dumping the dollar,” Mills writes.
The author adds that a strong dollar is bad for U.S. exporters. “When American companies sell their products to other countries, the latter’s purchasing power is weakened by the strong dollar. The result is lower demand for U.S. exports,” Mills explains. The owner of aheadoftheherd.com adds:
Conversely, the dollar as the world’s reserve currency can only go so low because it will always be in high demand for countries to purchase commodities priced in U.S. dollars, and U.S. Treasuries. It should not be allowed to fall too much, because that would risk the dollar losing its ‘exorbitant privilege.’
Mills is not the only person who believes the dollar is doomed to fail or face a reckoning as a great number of market strategists, analysts, and economists have stressed the greenback is down to the last straw. For instance, Robert Kiyosaki, the author of the best-selling book Rich Dad Poor Dad, detailed this month that the U.S. dollar will crash by January 2023. Economist and gold bug Peter Schiff recently explained that the U.S. central bank faces two choices, either “a massive financial crisis” is in the cards or “the world will run away from the dollar.”
The investor and financial author Mills thinks that an economic crisis and the greenback losing its status in the global currency arena will happen. “I personally believe we are rushing headlong into a U.S. dollar crisis of epic proportions. In fact, within the next five years, the buck could lose its status as the world’s reserve currency,” Mills’ blog post on Wednesday notes. Mills further argues that Jerome Powell and the Federal Reserve will not be able to get inflation down to the 2% range without significantly raising the Federal Funds Rate (FFR).
“Arguably the Jay Powell Fed will not be able to bring inflation down to its 2% target without increasing the FFR significantly — probably into the double digits. How high can rates go, and how strong can the dollar get, before the rest of the world ‘cries uncle’?” Mills asks his readers. He adds:
Will Powell make the same mistake as Volcker, running the economy into the ground with rate hikes? It seems likely, given the importance the Fed has placed not only on taming inflation, but maintaining the dollar system. Mark Twain is reputed to have said, ‘History does not repeat itself but it rhymes.’
What do you think about the investor Richard Mills and his opinion about the U.S. dollar? Let us know your thoughts about this subject in the comments section below.
Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.
Image Credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.
Today's Top Ethereum and Bitcoin Mining Devices Continue to Rake in Profits
As the crypto economy hovers just under $2 trillion in value, application-specific integrated circuit (ASIC) mining devices are making decent profits. While ASIC miners can still mine ethereum, a 1.5 gigahash (GH/s) Ethash mining device can rake in $51.58 per ... read more.
While the U.S. dollar has been extremely robust in recent times, compared to a myriad of fiat currencies worldwide, a number of analysts and economists think the greenback will eventually falter in an inconceivable manner. The owner of aheadoftheherd.com, Richard Mills, published a comprehensive research post on Wednesday called “Walking Dead U.S. Dollar,” warning that “we are rushing headlong into a U.S. dollar crisis of epic proportions.” The investor thinks that within the next five years, the greenback could very well “lose its status as the world’s reserve currency.”
If you are acquainted with the financial world, then you probably know that the U.S. dollar has been on a tear and Richard Mills, the investor and owner of aheadoftheherd.com, doesn’t think the greenback’s bull run will last. During the first week of October, the U.S. Dollar Index (DXY) recorded a brief dip after reaching a 2022 high, above the 114.000 region on September 27.
On October 20, 2022, the DXY has been coasting along between the 112.000 and 113.000 region, after some range-bound action during the last 48 hours. Comparing the U.S. dollar’s value to a variety of fiat currencies like the yuan, yen, pound, euro, and the dollars of Canada, Hong Kong, and Australia highlights the significant losses these currencies have seen over the last six months.
The blog post written by Mills and published on aheadoftheherd.com explains how the dollar is doing so well, the last six months of rising interest rates, and how short and long-term U.S. Treasury note and bond markets have shown erratic behavior.
“Rising interest rates have put upward pressure on the dollar, as foreign investors pour capital into the country,” Mills’ blog post details on October 19. “The dollar has also done well because the U.S. economy is perceived to be stronger than Europe’s, which is suffering from an energy crisis. On Aug. 22 the euro fell to a two-decade low of 0.9903 against the dollar. The New York Times stated in July that the dollar is the strongest it’s been in a generation, citing safe haven demand, inflation, higher interest rates, and worries over growth as factors.”
Akin to most of the blog posts on aheadoftheherd.com, the article called “Walking Dead U.S. Dollar” is jam-packed with citations and data to back up the claims Mills makes in his editorial. After explaining how strong the greenback has been and detailing what it has been doing to foreign nations, Mills says he believes the U.S. dollar is “due for a reckoning.” “Only six months into the Fed tightening cycle, we’ve got developing countries defending their own currencies against the surging U.S. dollar, trying to support them by selling Treasuries and dumping the dollar,” Mills writes.
The author adds that a strong dollar is bad for U.S. exporters. “When American companies sell their products to other countries, the latter’s purchasing power is weakened by the strong dollar. The result is lower demand for U.S. exports,” Mills explains. The owner of aheadoftheherd.com adds:
Conversely, the dollar as the world’s reserve currency can only go so low because it will always be in high demand for countries to purchase commodities priced in U.S. dollars, and U.S. Treasuries. It should not be allowed to fall too much, because that would risk the dollar losing its ‘exorbitant privilege.’
Mills is not the only person who believes the dollar is doomed to fail or face a reckoning as a great number of market strategists, analysts, and economists have stressed the greenback is down to the last straw. For instance, Robert Kiyosaki, the author of the best-selling book Rich Dad Poor Dad, detailed this month that the U.S. dollar will crash by January 2023. Economist and gold bug Peter Schiff recently explained that the U.S. central bank faces two choices, either “a massive financial crisis” is in the cards or “the world will run away from the dollar.”
The investor and financial author Mills thinks that an economic crisis and the greenback losing its status in the global currency arena will happen. “I personally believe we are rushing headlong into a U.S. dollar crisis of epic proportions. In fact, within the next five years, the buck could lose its status as the world’s reserve currency,” Mills’ blog post on Wednesday notes. Mills further argues that Jerome Powell and the Federal Reserve will not be able to get inflation down to the 2% range without significantly raising the Federal Funds Rate (FFR).
“Arguably the Jay Powell Fed will not be able to bring inflation down to its 2% target without increasing the FFR significantly — probably into the double digits. How high can rates go, and how strong can the dollar get, before the rest of the world ‘cries uncle’?” Mills asks his readers. He adds:
Will Powell make the same mistake as Volcker, running the economy into the ground with rate hikes? It seems likely, given the importance the Fed has placed not only on taming inflation, but maintaining the dollar system. Mark Twain is reputed to have said, ‘History does not repeat itself but it rhymes.’
What do you think about the investor Richard Mills and his opinion about the U.S. dollar? Let us know your thoughts about this subject in the comments section below.
Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.
Image Credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.
Today's Top Ethereum and Bitcoin Mining Devices Continue to Rake in Profits
As the crypto economy hovers just under $2 trillion in value, application-specific integrated circuit (ASIC) mining devices are making decent profits. While ASIC miners can still mine ethereum, a 1.5 gigahash (GH/s) Ethash mining device can rake in $51.58 per ... read more.
Following two days of declines, dogecoin rebounded earlier in today’s session, moving away from a key level of support. The meme coin, which has been hovering close to a one-month low, surged, as bulls seemingly bought the dip. The token formerly known as ripple (xrp) was also higher.
Dogecoin (DOGE) was a notable gainer in today’s session, as the meme coin rebounded following recent losses.
So far this week, DOGE/USD has been trading around a floor of $0.0580, however prices rallied beyond that point today.
The world’s tenth largest cryptocurrency rose to a high of $0.06068 earlier today, as bulls seemingly have their sights set on a resistance point.
Looking at the chart, this ceiling is the $0.0620 mark, which was last hit ten days ago, on October 10.
Currently, the 14-day relative strength index (RSI), has reached a resistance level of its own, and is currently tracking at this point of 47.50
Should dogecoin bulls intend to take prices higher, we would first need to see a breakout of this current hurdle.
XRP, formerly ripple, was another big mover on Thursday, as price bounced from its own support point.
Following a low of $0.4501 on Wednesday, XRP/USD raced to an intraday peak of $0.4638 earlier today.
Today’s move sees XRP snap a two-day losing streak, bouncing from a support of $0.4500 in the process.
Recent declines have also led to the 10-day (red) moving average (MA) dropping below its 25-day (blue) counterpart.
Although prices have since rebounded today, this shift in moving averages could be a signal for greater drops in price to come.
Momentum in XRP has shifted in the last two weeks, as it was hovering close to a five-month high previously.
Register your email here to get weekly price analysis updates sent to your inbox:
Could bulls continue to send xrp higher this week? Let us know your thoughts in the comments.
Eliman brings an eclectic point of view to market analysis, he was previously a brokerage director and retail trading educator. Currently, he acts as a commentator across various asset classes, including Crypto, Stocks and FX.
Image Credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.
Following a Brief Fee Spike, Gas Prices to Move Ethereum Drop 76% in 12 Days
Transaction fees on the Ethereum network are dropping again after average fees saw a brief spike on April 5 jumping to $43 per transfer. 12 days later, average ether fees are close to dropping below $10 per transaction and median-sized ... read more.
Following two days of declines, dogecoin rebounded earlier in today’s session, moving away from a key level of support. The meme coin, which has been hovering close to a one-month low, surged, as bulls seemingly bought the dip. The token formerly known as ripple (xrp) was also higher.
Dogecoin (DOGE) was a notable gainer in today’s session, as the meme coin rebounded following recent losses.
So far this week, DOGE/USD has been trading around a floor of $0.0580, however prices rallied beyond that point today.
The world’s tenth largest cryptocurrency rose to a high of $0.06068 earlier today, as bulls seemingly have their sights set on a resistance point.
Looking at the chart, this ceiling is the $0.0620 mark, which was last hit ten days ago, on October 10.
Currently, the 14-day relative strength index (RSI), has reached a resistance level of its own, and is currently tracking at this point of 47.50
Should dogecoin bulls intend to take prices higher, we would first need to see a breakout of this current hurdle.
XRP, formerly ripple, was another big mover on Thursday, as price bounced from its own support point.
Following a low of $0.4501 on Wednesday, XRP/USD raced to an intraday peak of $0.4638 earlier today.
Today’s move sees XRP snap a two-day losing streak, bouncing from a support of $0.4500 in the process.
Recent declines have also led to the 10-day (red) moving average (MA) dropping below its 25-day (blue) counterpart.
Although prices have since rebounded today, this shift in moving averages could be a signal for greater drops in price to come.
Momentum in XRP has shifted in the last two weeks, as it was hovering close to a five-month high previously.
Register your email here to get weekly price analysis updates sent to your inbox:
Could bulls continue to send xrp higher this week? Let us know your thoughts in the comments.
Eliman brings an eclectic point of view to market analysis, he was previously a brokerage director and retail trading educator. Currently, he acts as a commentator across various asset classes, including Crypto, Stocks and FX.
Image Credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.
Following a Brief Fee Spike, Gas Prices to Move Ethereum Drop 76% in 12 Days
Transaction fees on the Ethereum network are dropping again after average fees saw a brief spike on April 5 jumping to $43 per transfer. 12 days later, average ether fees are close to dropping below $10 per transaction and median-sized ... read more.
PRESS RELEASE. London, UK, 20 October 2022: Race Kingdom has joined Polygon DAO’s Polygon Village, a full-stack ecosystem for Web3 developers to build and scale blockchain-based innovations.
The program will see Polygon Village boost Race Kingdom’s development by providing access to mentorship for hypergrowth from the best players in the crypto space. This will enable Race Kingdom to tap into Polygon DAO’s marketing expertise, collaborate with more projects within the Polygon ecosystem, and expand their partnerships with gaming guilds.
Polygon DAO has also awarded Race Kingdom with a grant to further develop the project. Polygon’s support will be utilised to build the communities of Race Kingdom across the globe in vernacular languages and deploy NFTs on the Polygon chain. This will take the much anticipated GameFi project to the next level.
“Being invited into the Polygon Village program is an honour for Race Kingdom and will be a catalyst for growth. It is a blessing to work closely with one of the fastest-growing ecosystems in the crypto space. We look forward to working with Polygon to realise our shared goal of bringing mainstream people into the crypto space through real world use cases.” – said Omar Gull, CEO of Race Kingdom.
Launched on July 15, Race Kingdom’s native token $ATOZ is currently listed on seven leading crypto exchanges, including Gate.io and MEXC. Despite the current bear market in the crypto space, $ATOZ has emerged as one of the strongest tokens in the GameFi space with a peak growth of more than 2600%.
About Race Kingdom
Race Kingdom is an upcoming metaverse-based income-generating game. Unlike other crypto games, it is built by gamers for gamers and will have a multilingual highly-immersive experience with a wide range of NFT creatures and different arenas. Race Kingdom will launch its NFTs in the last quarter of 2022.
$ATOZ is the native token of the Race Kingdom project. Initially listed at 0.007 USD, $ATOZ reached a high of 0.1959 USD and recorded over 2600% growth on CoinMarketCap. The token has also witnessed a surge in its trading volume; indicating sustained high interest from new investors. A BEP20-compliant cryptographic token, $ATOZ is one of the most highly anticipated coins currently and is listed on a number of leading crypto exchanges.
Race Kingdom Website: www.racekingdom.io
$ATOZ CoinMarketCap: www.coinmarketcap.com/currencies/race-kingdom
About Polygon DAO
Polygon DAO is the leading platform for Ethereum scaling and infrastructure development. Polygon DAO is the meeting place for present and future Polygon-connected communities, where they can learn, collaborate, work, build and participate in a progressive decentralization process.
The Polygon DAO aims to decentralize, grow and innovate the Polygon community. The DAO has implemented its own Bounty Board and an Ecosystem Job Board to allow everyone to contribute from day 0 to the DAO and the Ecosystem. Joining the Polygon DAO means being a full part of the Polygon Ecosystem, coming into contact with communities, developers, professionals and projects.
Polygon DAO Website: https://polygon.community
This is a press release. Readers should do their own due diligence before taking any actions related to the promoted company or any of its affiliates or services. Bitcoin.com is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the press release.
Bitcoin.com is the premier source for everything crypto-related. Contact the Media team on ads@bitcoin.com to talk about press releases, sponsored posts, podcasts and other options.
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Central Bank of Brazil Confirms It Will Run a Pilot Test for Its CBDC This Year
The Central Bank of Brazil has confirmed that the institution will run a pilot test regarding the implementation of its proposed central bank digital currency (CBDC), the digital real. Roberto Campos Neto, president of the bank, also stated that this ... read more.
Source From : News