Monero Faces 32% Value Slash as Binance Cuts Ties With Privacy Coin
Monero (XMR), the leading privacy-focused cryptocurrency, experienced a sharp 32% decline within the last day following the announcement that Binance, the world's leading cryptocurrency exchange, intends to remove the coin from its platform. Binance cited non-compliance with its listing criteria as the reason for delisting monero, along with three other cryptocurrencies. The delisting is scheduled to take place on February 20, 2024.
Binance's Delisting Announcement Causes Significant Drop in XMR's Market Value
Binance's decision to remove XMR from its listings follows in the footsteps of Okex, another major cryptocurrency exchange, which delisted monero in December. The news of Binance's delisting caused a significant 32% plunge in XMR's market value, as reflected in the 24-hour statistics after the announcement. XMR's trading with its USDT pair on Binance accounted for 29% of the total XMR volume, amounting to $64,332,318. The price of XMR dropped sharply from an opening of $166.45 to a low of $108.
Technical Indicators Suggest Caution for XMR Investors
Technical indicators paint a cautionary picture for XMR investors. Oscillators such as the relative strength index (RSI) and the Stochastic indicate bearish territories, suggesting a lack of upward momentum by bullish traders. The commodity channel index (CCI) and the momentum indicator signal stronger selling pressures, with the latter explicitly indicating negative action. These mixed signals from the oscillators require a vigilant approach from XMR traders, as they could precede either a stabilization or further declines.
XMR's moving averages (MAs) unequivocally support a bearish outlook, with all monitored timeframes—from the 10-day to the 200-day averages—aligned in bearish regions. This consensus among the MAs reinforces the negative market sentiment observed, indicating that the path of least resistance for XMR's price is downwards. The combination of monero's high trading volume accompanying the price drop and the absence of visible historical support levels further complicates the potential for a quick recovery. Therefore, investors and traders should brace for potentially more turbulence ahead.
Share Your Thoughts
What are your thoughts on Binance's decision to delist monero and the subsequent 32% drop in the coin's value? Feel free to share your opinions and insights on this subject in the comments section below.
Frequently Asked Questions
How does a Gold IRA account work?
You can purchase physical gold bullion coins anytime. To start investing in gold, it doesn't matter if you are retired.
An IRA lets you keep your gold for life. Your gold assets will not be subjected tax upon your death.
Your heirs will inherit your gold, and not pay capital gains taxes. Your gold is not part of your estate and you don't have to include it in the final estate report.
To open a IRA for gold, you must first create an individual retirement plan (IRA). After you have done this, an IRA custodian will be assigned to you. This company acts like a middleman between the IRS and you.
Your gold IRA custodian is responsible for handling all paperwork and submitting the required forms to the IRS. This includes filing annual reports.
After you have established your gold IRA you will be able purchase gold bullion coin. The minimum deposit required to purchase gold bullion coins is $1,000 You'll get a higher rate of interest if you deposit more.
You will pay taxes when you withdraw your gold from your IRA. If you take out the whole amount, you'll be subject to income taxes as well as a 10 percent penalty.
Even if your contribution is small, you might not have to pay any taxes. There are exceptions. You'll owe federal income tax and a 20% penalty if you take out more than 30% of your total IRA assets.
You shouldn't take out more then 50% of your total IRA assets annually. If you do, you could face severe financial consequences.
Can I own a gold ETF inside a Roth IRA
While a 401k may not offer this option for you, it is worth considering other options, such an Individual Retirement Plan (IRA).
A traditional IRA allows contributions from both employee and employer. You can also invest in publicly traded businesses by creating an Employee Stock Ownership Plan (ESOP).
An ESOP provides tax advantages because employees share ownership of company stock and profits the business generates. The money invested in ESOPs is taxed at a lower rate that if it were owned directly by an employee.
A Individual Retirement Annuity (IRA), is also available. With an IRA, you make regular payments to yourself throughout your lifetime and receive income during retirement. Contributions to IRAs will not be taxed
What precious metals can you invest in for retirement?
The best precious metal investments are gold and silver. They are both simple to purchase and sell, and they have been around for a long time. These are great options to diversify your portfolio.
Gold: The oldest form of currency known to man is gold. It's also very safe and stable. Because of this, it's considered a good way to preserve wealth during times of uncertainty.
Silver: The popularity of silver has always been a concern for investors. It is an excellent choice for investors who wish to avoid volatility. Silver tends instead to go up than down, which is unlike gold.
Platinium: Another form of precious metal is platinum, which is becoming more popular. It's resistant to corrosion and durable, similar to gold and silver. It is however more expensive than its counterparts.
Rhodium. Rhodium is used as a catalyst. It is also used to make jewelry. It is also very affordable in comparison to other types.
Palladium: Palladium has a similarity to platinum but is more rare. It's also more accessible. It is a preferred choice among investors who are looking to add precious materials to their portfolios.
What does gold do as an investment?
The price of gold fluctuates based on supply and demand. It is also affected by interest rates.
Due to the limited supply of gold, prices for gold are highly volatile. In addition, there is a risk associated with owning physical gold because you have to store it somewhere.
What are the advantages of a IRA with a gold component?
There are many benefits to a gold IRA. It's an investment vehicle that lets you diversify your portfolio. You decide how much money you want to put into each account, and when you want it to be withdrawn.
You can also rollover funds from other retirement accounts to a gold IRA. This is a great way to make a smooth transition if you want to retire earlier.
The best thing is that investing in gold IRAs doesn't require any special skills. They are readily available at most banks and brokerages. You don't have to worry about penalties or fees when withdrawing money.
That said, there are drawbacks too. Gold is known for being volatile in the past. So it's essential to understand why you're investing in gold. Are you seeking safety or growth? Are you trying to find safety or growth? Only after you have this information will you make an informed decision.
If you are planning to keep your Gold IRA indefinitely you will want to purchase more than one ounce. You won't need to buy more than one ounce of gold to cover all your needs. You may need several ounces, depending on what you intend to do with your precious gold.
You don’t necessarily need a lot if you’re looking to sell your gold. You can even live with just one ounce. However, you will not be able buy any other items with those funds.
How to Open a Precious Metal IRA
It is important to decide if you would like an Individual Retirement Account (IRA). Open the account by filling out Form 8606. For you to determine the type and eligibility for which IRA, you need Form 5204. This form should be filled within 60 calendar days of opening the account. You can then start investing once you have this completed. You can also choose to pay your salary directly by making a payroll deduction.
For a Roth IRA you will need to complete Form 8903. The process for an ordinary IRA will not be affected.
To be eligible to have a precious metals IRA you must meet certain criteria. You must be at least 18 years of age and have earned income to qualify for a precious metals IRA. You can't earn more than $110,000 per annum ($220,000 in married filing jointly) for any given tax year. Contributions must be made regularly. These rules apply to contributions made directly or through employer sponsorship.
You can use a precious-metals IRA to purchase gold, silver and palladium. But, you'll only be able to purchase physical bullion. This means you won’t be able to trade stocks and bonds.
You can also use your precious metallics IRA to invest in companies that deal with precious metals. This option can be provided by some IRA companies.
There are two major drawbacks to investing via an IRA in precious metals. First, they are not as liquid or as easy to sell as stocks and bonds. It's also more difficult to sell them when they are needed. They don't yield dividends like bonds and stocks. Therefore, you will lose money over time and not gain it.
- If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item's value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)
- Indeed, several financial advisers interviewed for this article suggest you invest 5 to 15 percent of your portfolio in gold, just in case. (aarp.org)
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
- If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (lendedu.com)
- This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)
- Yahoo Finance provides information about Barrick Gold Corporation's (GOLD) stock price, news, quote, and history.
- Saddam Hussein's Invasion Helped Uncage a Bear In 1990 – WSJ
- Do you want to keep your IRA gold at home? It's Not Exactly Lawful – WSJ
- Gold IRA: Add Some Sparkle To Your Retirement Nest Egg
- Understanding China's Evergrande Crisis – Forbes Advisor
The growing trend of gold IRAs
The gold IRA trend is growing as investors seek ways to diversify their portfolios while protecting against inflation and other risks.
The gold IRA allows investors to purchase physical gold bars and bullion. It can be used as a tax-free way to grow and it is an alternative investment option for people who are not comfortable with stocks or bonds.
Investors can manage their assets with a gold IRA without worrying about market volatility. They can use the gold IRA to protect themselves against inflation and other potential problems.
Investors also benefit from physical gold's unique properties, such as durability and portability.
The gold IRA also offers many other benefits, such as the ability to quickly transfer the ownership of the gold to heirs, and the fact the IRS doesn't consider gold a currency.
Investors who seek financial stability and a safe haven are finding the gold IRA increasingly attractive.
By: Jamie Redman
Title: Monero's Market Plummets 32% as Binance Announces Delisting, Sparking XMR's Turbulence
Sourced From: news.bitcoin.com/moneros-market-plummets-32-as-binance-announces-delisting-sparking-xmrs-turbulence/
Published Date: Tue, 06 Feb 2024 18:32:26 +0000