Bitcoin’s prices collapsed from the April 14, $64,778 highs to the May 19, $30,000 lows.
In one month, prices have been corrected by more than 53 percent. After Tesla Lead Elon Musk made a statement last month denying the acceptance of crypt payments, the selling pressures were seen in cryptocurrencies.
After heavy sales pressure on the crypto market, gold prices caught momentum, and shopping in SPDR Gold Trust Exchange Traded Funds emerged.
The dollar index fault and constant 10-year benchmark bonds yield also support gold prices. Gold prices.
Five-month lowering of the Federal Reserve dollar index was driven by inflation, accommodating Federal Monetary Reserve policy and low-based economic data which supported gold buying.
Retail sales showed a zero percent increase in April and core retail sales decreased to a negative level. In the month of April, CPI inflation increased to record highs.
As of May 17, gold prices hovered in the international markets for about four months and crossed the trojan ounce mark at $1870.
In light of global inflation, Israel-Palestine geopolitical tensions and the weaker dollar, in the next three to four months, international gold prices are expected to test the $2000 level.
With regard to the dollar index, it is supported strongly in the 89.80-89.20 area and as soon as it breaks 89.20, it is expected to fall at a level of 86.70 that could support gold prices.
In August 2020 India MCX Gold made a peak of Rs 56,191 and has since proved sharply corrected. In March 2021 prices were fixed at the level of Rs 43,320.
The price of yellow metal decreases by approximately 23 percent. The price retreated from an RS 31,232 low in May 2019 to an RS 56,191 high in August 2020, by 51.5 percent of its total RS rally, by 24959 points.
Weekly technical chart indicates that the growth trends can resume with the formation of a bullish embulfing pattern at around Rs 43,500. Looking at the Fibonacci rerouge levels in March 2021, it gives a retracement of 38,2 per cent, and crossed the rs 48237 level on 17 May 202, from the current fall in Rs 12871 points (from Rs 56.191 in the month of august 2020 to the rs 43.320 lower levels in the month of mars 2021). The current fall of Rs 12871 points will be reversed at a price of 61.8 percent at the levels of Rs 51 274.
With regard to the weekly RSI above 60 levels, the price trend also indicates. In the next 3-4 months, we expect gold to be able to test 51,274 Rs for rupees and the Rs 45,800 to be the main price support.
At Comex, prices for divisions are expected to again test $2,000 in 3-4 months for each troy once level and $1788 is a major price support.
