The Rise and Fall of Cryptocurrencies: A Week of Gains and Losses

Bitcoin and Ethereum Lead the Way

Last week, the value of bitcoin surged by over 14% and ethereum also experienced a notable 13% increase against the U.S. dollar. These top contenders were not alone in their success, as a considerable number of other cryptocurrencies also saw substantial gains within the span of seven days.

Market Value Hits $1.7 Trillion

The crypto market, which features over 11,000 cryptocurrencies across 940 exchanges, is currently enjoying steady growth. The total worth of the market has reached $1.7 trillion, marking a 2.8% rise in just the last 24 hours.

Impressive Upticks Across the Board

While BTC and ETH contribute significantly to this growth, many other digital currencies are also witnessing impressive upticks. Leading the charge this week is the meme coin bonk (BONK), which experienced a significant 226% increase against the U.S. dollar. ORDI followed closely with a 146% surge, and BTT completed the trio of top weekly gainers with a 117% jump.

Terra luna classic (LUNC) saw a 72% growth, while beam (BEAM) recorded a 60% rise. Other notable cryptocurrencies with double-digit growth include WEMIX (+60%), HNT (+51%), STX (+43%), and LUNA 2.0 (+40%).

High-Volume Tokens in Global Trade

When excluding BTC, ETH, USDT, and USDC, the frontrunners in global trade volume this week are SOL, XRP, DOGE, LINK, ADA, and BNB. These high-volume tokens have all registered increases ranging from 7% to 21% over the past week.

Some Cryptocurrencies Experience Losses

However, not every cryptocurrency enjoyed an upward trend over the week. Maker (MKR) saw a 6.4% decrease, and Bitfinex's LEO token dipped by 4.3%. TON also fell by 4.3%, BGB by 4.1%, and ILV by roughly 3.8%. Other cryptocurrencies that experienced a downturn this week include KAS, AAVE, and OKB. In summary, only eight cryptocurrencies recorded losses against the U.S. dollar in the past week, while the rest either gained value or remained stable.

What are your thoughts on this week's biggest gainers and losers? Share your opinions in the comments section below.

Frequently Asked Questions

Can I have a gold ETF in a Roth IRA

A 401(k) plan may not offer this option, but you should consider other options, such as an Individual Retirement Account (IRA).

An IRA traditional allows both employees and employers to contribute. A Employee Stock Ownership Plan, or ESOP, is another way to invest publicly traded companies.

An ESOP gives employees tax advantages as they share the stock of the company and the profits it makes. The money invested in the ESOP is then taxed at lower rates than if it were held directly in the hands of the employee.

A Individual Retirement Annuity is also possible. An IRA lets you make regular, income-generating payments to yourself over your life. Contributions to IRAs don't have to be taxable

How is gold taxed within a Roth IRA

The tax on an investment account is based on its current value, not what you originally paid. If you invest $1,000 into a mutual fund, stock, or other investment account, then any gains are subjected tax.

If you place the money in a traditional IRA, 401(k), or other retirement plan, there is no tax when you take it out. Capital gains and dividends earn you no tax. This applies only to investments made for longer than one-year.

These rules vary from one state to another. Maryland is an example of this. You must withdraw your funds within 60 calendar days of turning 59 1/2. Massachusetts allows you to wait until April 1. New York has a maximum age limit of 70 1/2. To avoid penalties, you should plan ahead and take distributions as soon as possible.

What is the best precious-metal to invest?

The answer to this question depends on how much risk you are willing to take and what type of return you want. While gold is considered a safe investment option, it can also be a risky choice. For example, if your goal is to make quick money, gold may not suit you. Silver is a better investment if you have patience and the time to do it.

If you don't care about getting rich quickly, gold is probably the way to go. Silver may be a better option for investors who want long-term steady returns.

Is it a good idea to open a Precious Metal IRA

The most important thing you should know before opening an IRA account is that precious metals are not covered by insurance. There is no way to recover money that you have invested in precious metals. All your investments can be lost due to theft, fire or flood.

Protect yourself against this type of loss by investing in physical gold or silver coins. These items have been around for thousands of years and represent real value that cannot be lost. You would probably get more if you sold them today than you paid when they were first created.

If you decide to open an IRA account, choose a reputable company that offers competitive rates and products. You should also consider using a third party custodian to protect your assets and give you access at any time.

When you open an account, keep in mind that you won't receive any returns until your retirement. Do not forget about the future!

Should You Invest in gold for Retirement?

It depends on how much you have saved and if gold was available at the time you started saving. If you are unsure which option to choose, consider investing in both options.

In addition to being a safe investment, gold also offers potential returns. Retirement investors will find gold a worthy investment.

Although most investments promise a fixed rate of return, gold is more volatile than others. This causes its value to fluctuate over time.

However, it doesn't necessarily mean that you shouldn't invest your money in gold. It just means that you need to factor in fluctuations to your overall portfolio.

Another advantage of gold is its tangible nature. Gold is more convenient than bonds or stocks because it can be stored easily. It's also portable.

You can always access your gold as long as it is kept safe. Additionally, physical gold does not require storage fees.

Investing in gold can help protect against inflation. As gold prices rise in tandem with other commodities it can be a good hedge against rising cost.

It's also a good idea to have a portion your savings invested in something which isn't losing value. Gold tends to rise when the stock markets fall.

Gold investment has another advantage: You can sell it anytime. You can easily liquidate your investment, just as with stocks. You don't even have to wait until you retire.

If you do decide to invest in gold, make sure to diversify your holdings. Do not put all your eggs in one basket.

Don't buy too many at once. Start small, buying only a few ounces. Next, add more as required.

Keep in mind that the goal is not to quickly become wealthy. It's not to get rich quickly, but to accumulate enough wealth to no longer need Social Security benefits.

Gold may not be the most attractive investment, but it could be a great complement to any retirement strategy.

What are the pros and disadvantages of a gold IRA

An Individual Retirement Plan (IRA) has a major advantage over regular savings accounts. It doesn't tax any interest earned. An IRA is a great option for those who want to save money, but don't want tax on any interest earned. This type of investment has its downsides.

You could lose all of your accumulated money if you take out too much from your IRA. Also, the IRS may not allow you to make withdrawals from your IRA until you're 59 1/2 years old. If you do withdraw funds, you'll need to pay a penalty.

A disadvantage to managing your IRA is the fact that fees must be paid. Most banks charge 0.5% to 2.0% per annum. Other providers charge monthly management fees ranging from $10 to $50.

Insurance is necessary if you wish to keep your money safe from the banks. In order to make a claim, most insurers will require that you have a minimum amount in gold. Insurance that covers losses upto $500,000.

If you choose to go with a gold IRA, you'll need to determine how much gold you want to use. Some providers limit how many ounces you can keep. Others allow you the freedom to choose your own weight.

You will also have to decide whether to purchase futures or physical gold. The price of physical gold is higher than that of gold futures. However, futures contracts give you flexibility when buying gold. They enable you to establish a contract with an expiration date.

Also, you will need to decide on the type of insurance coverage you would like. The standard policy doesn’t provide theft protection or loss due fire, flood, or earthquake. The policy does not cover natural disasters. You might consider purchasing additional coverage if your area is at high risk.

Apart from insurance, you should consider the costs of storing your precious metals. Storage costs are not covered by insurance. Banks charge between $25 and $40 per month for safekeeping.

A qualified custodian is required to help you open a Gold IRA. A custodian helps you keep track of your investments, and ensures compliance with federal regulations. Custodians are not allowed to sell your assets. Instead, they must keep your assets for as long you request.

Once you've chosen the best type of IRA for you, you need to fill in paperwork describing your goals. The plan should contain information about the types of investments you wish to make such as stocks, bonds or mutual funds. It is also important to specify how much money you will invest each month.

After completing the forms, send them along with a check or a small deposit to your chosen provider. After receiving your application, the company will review it and mail you a confirmation letter.

When opening a gold IRA, you should consider using a financial planner. A financial planner can help you decide the type of IRA that is right for your needs. They can help you find cheaper insurance options to lower your costs.

Is gold a good IRA investment?

If you are looking for a way to save money, gold is a great investment. It's also a great way to diversify your portfolio. But gold is not all that it seems.

It has been used throughout history as currency and it is still a very popular method of payment. It's often referred to as “the world's oldest currency.”

But unlike paper currencies, which governments create, gold is mined out of the earth. This makes it highly valuable as it is hard and rare to produce.

The price of gold fluctuates based on supply and demand. The economy that is strong tends to be more affluent, which means there are less gold miners. Gold's value rises as a result.

On the flip side, people save cash for emergencies and don't spend it. This increases the production of gold, which in turn drives down its value.

This is why both individuals as well as businesses can benefit from investing in gold. You'll reap the benefits of investing in gold when the economy grows.

Your investments will also generate interest, which can help you increase your wealth. If gold's value falls, you don't have to lose any of your investments.

Statistics

The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
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)
(Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)

External Links

How To

How to Keep Physical Gold in an IRA

The easiest way to invest is to buy shares in companies that make gold. However, this method comes with many risks because there's no guarantee that these companies will continue to survive. There is always the chance of them losing their money due to fluctuations of the gold price.

The alternative is to buy physical gold. You'll need to open a bank account, buy gold online from a trusted seller, or open an online bullion trading account. This option is convenient because you can access your gold when it's low and doesn't require you to deal with stock brokers. It's also easier to see how much gold you've got stored. The receipt will show exactly what you paid. You'll also know if taxes were not paid. You have less risk of theft when investing in stocks.

However, there can be some downsides. There are some disadvantages, such as the inability to take advantage of investment funds and interest rates from banks. You won't have the ability to diversify your holdings; you will be stuck with what you purchased. Finally, the tax man might ask questions about where you've put your gold!

BullionVault.com has more information about how to buy gold in an IRA.

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By: Jamie Redman
Title: The Rise and Fall of Cryptocurrencies: A Week of Gains and Losses
Sourced From: news.bitcoin.com/this-weeks-biggest-gainers-and-losers-bonk-ordi-btt-lead-triple-digit-growth-in-booming-crypto-market/
Published Date: Fri, 08 Dec 2023 16:30:20 +0000