Fed Fails To Deliver Dow 20k But Bitcoin Hits Record High

Tyler Durden's picture

"20,000 will be mine... oh yes, she will be mine..."

 

The post-Fed Minutes reactions were mixed initially

 

But perhaps the biggest news of the day was Bitcoin surged to record highs today... coming close to parity with gold...

 

NOTE - As stocks got hit in the last few seconds so Bitcoin also skidded

 

Another day, another cash open pump-and-dump in futures...

 

As "Most Shorted" stocks extended yesterday's afternoon rip...

 

Sending Small Caps ripping...

 

VIX was smashed as Fed Minutes hit and then leaked lower as every effort was made to keep The Dow green and pushing for 20k... (NOTE VIX went a littel crazy at the very last minute and stocks gapped down)

 

Notably the SVXY Puts remain massively positioned relative to calls (SVXY Puts should be considered similar to VIX Calls, or implicitly leveraged market Puts/hedges)

 

Bonds rallied, dropped, and then pushed back higher (in price) post-Fed...

 

30Y yields remain lower so far in 2017...

 

The USD Index slipped lower overnight but after a brief dip post-Fed, pushed higher - but ended the day lower unable to extend on yesterday's 14-year highs...

 

EURUSD tagged 1.05 post-fed but faded as all the majors gained against the USD...

 

But the biggest news in FX markets was the explosion higher in Offshore Yuan...following capital control crackdown concerns - the biggest rise since jan 2016

 

Some context for this move...

 

Crude bounced back modestly from its big dump yesterday (ahead of API inventories report later).

 

NatGas saw no such bounce following yesterday's bloodbath...

 

But remains red on the week as silver leads in the new year...

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HokumYTrader's picture
HokumYTrader (not verified) Jan 4, 2017 4:05 PM

Did I miss it oh no must buy buy buy

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) HokumYTrader Jan 4, 2017 4:06 PM

YES!! MOAR BITCOIN!

SILVERGEDDON's picture

You really did get dropped on your head at an early age, didn't you, Drag ? 

Go chase some parked cars, and get Revenue Canada to audit your tax returns for Bitcoin profits missed out on over the last 10 years or so...............

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) SILVERGEDDON Jan 4, 2017 4:12 PM

Has Bitcoin outperformed Silver and Gold? The answer is not a matter of "opinion". You are either and idiot or you are delusional (or both).

SILVERGEDDON's picture

Nobody been killed over Bitcoin, because nobody cares about digital Ponzi.

Ask Saddam and Ghaddafi about gold backed currency value, and risk asessment. 

Take your Fake Digital Snowflake Clown Bux, and shove them up your ass.  

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) SILVERGEDDON Jan 4, 2017 4:19 PM

Your comments aren't even funny, they're just stupid. Hopefully ZH gets lots of "hits" from people interested in finance and thinks "wow this is the mentality of the average PM investor".

SILVERGEDDON's picture

Funny how all your responses never rationally address my comments on metals tradition currency safety versus your FED NSA BIS preferred muppet digital slavery bux. 

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) SILVERGEDDON Jan 4, 2017 4:25 PM

Yes, every piece of computer code is some "super duper conspiracy" by the CIA/NSA/TIA/FBI/ILLUMINATI. Maybe you are the conspiracy to make PM holders look like dumb, paranoid Luddites?

knukles's picture

Talkin' about "Any Day Now", my mom always used to say that to me.

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) knukles Jan 4, 2017 5:03 PM

Bitcoin just "crashed" to $1090 USD a coin today. Now I realize what an idiot I was for not listening to you guys. I am so sorry! Now I will shut up and go away forever and also put 100% of my life savings into gold coins, silver bars, junior miners and VIX calls.

SILVERGEDDON's picture

Funny how the largest Bitcoin exchange, Coinbase.com, has been crashing out all day long, denying access to ones digital clown bux...............................................

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) SILVERGEDDON Jan 4, 2017 5:52 PM

eh, don't really care what happens to "coinbase".

Vlad the Inhaler's picture

I just wish those Winkeldink twins would hurry up with the bitcoin ETF so I can short the crap out of it!

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) Vlad the Inhaler Jan 4, 2017 4:27 PM

Please explain in logical terms why you think Bitcoin would crash? Or why anyone with brains would short the best performing asset of teh past decade?

2_legs_bahhhhhd's picture

Can you sell for spot on the exchanges?

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) 2_legs_bahhhhhd Jan 4, 2017 4:42 PM

Most exchanges? Or if you sell on localbitcoins you can do way better than spot. I know a few guys on there who have done very well for themselves.

2_legs_bahhhhhd's picture

So, on the exchanges you can buy and sell for spot? But if you buy on local you pay more than spot, and sell for less than spot? How do you buy on the exchanges or online and remain anonymous? What's the spread to remain anonymous? Thanks

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) 2_legs_bahhhhhd Jan 4, 2017 5:34 PM

Well just my 2bits but using LBC is the spread for anonymity. I've used BTC-e and a few other exchanges and they all want government ID to sign up. LBC did not and so for me it was worth the higher prices. For others it might not be.

2_legs_bahhhhhd's picture

Thanks, but could you please answer my first two questions?

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) 2_legs_bahhhhhd Jan 4, 2017 6:45 PM

On BTC-e yes you get very close to spot Bitcoin price. On localbitcoins you usually pay more for Bitcoin than spot but you can also sell sometimes for over spot. Buying Bitcoin using on LBC using Interac Email Transfer is probably the most expensive but also the easiest for me. You can usually buy Bitcoin cheaper on there if you visit a branch and wire them the money or use Western Union.

2_legs_bahhhhhd's picture

Thanks... I just checked out LBC atm sites, the spread is 13.5% !!! That is roughly 3 times the spread on gold coins. I'm guessing to use these atm's you have to provide some ID...no anonymity. Wiring money thru a bank is the same deal. When vendors accept BC for payment, they must build a spread into the cost, to hedge against volatility. How many of these BC sales at these prices are coins that were mined 5-8 years ago for next to nothing, to speculators buying the hype?

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) 2_legs_bahhhhhd Jan 4, 2017 7:46 PM

Keep in mind that the guys accepting Interac are taking a way bigger risk of charge-back scammers. That's why they are asking for more money. If you search the sellers who accept wire transfer you will see the prices come down. And I couldn't speak to when most of this BTC was mined but most of the sellers are working people who need cash flow, so I don't imagine they're that old.

Vlad the Inhaler's picture

Because history, dumbass.  It went from around $1,150 to $150 in about one year during 2014.  How's that for performance?  And before that we had some glorious crashes on pretty much a yearly basis including

June 8-12, 2011, 68% crash August 17-19, 2012, 51% crash April 10, 2013, 61% crash

 

 

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) Vlad the Inhaler Jan 4, 2017 6:32 PM

And despite all of these "crashes" Bitcoin has gone from < $1 to $1100 USD in eight years.

Bitcoin can keep crashing and I will keep laughing.

Vlad the Inhaler's picture

And once they roll out that bitcoin ETF I will be selling every speculative bubble rip.  And can you give me a "logical reason" why you put crashes in parentheses?

SILVERGEDDON's picture

Muppet crush zone ahead...............................

Dragbin Defecation The Turd in with " Buh teh Satoshi Preciouses sos I cans be cashing outses ! " in 5.....4.............3............2.............1......................... 

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) SILVERGEDDON Jan 4, 2017 4:10 PM

I think of Zerobrains every time I am forced to stand in a line-up at an Analog Bank. Think to myself, "wow these idiots actually enjoy wasting their lives with this crap."

SILVERGEDDON's picture

Tired fake narrative.

Real men don't do banks. 

 

BabaLooey's picture

For the love of all that's holy Fonestar - get a new Avatar!

The one you have reminds me of those edible Pepperidge Farm Goldfish, and gives me the munchies.

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) BabaLooey Jan 4, 2017 4:30 PM

Maybe I will...

Sorry, I shouldn't be so mean to people here. I am sure they are not really dumb morons. I bet they are really good at shoveling dirt, washing dishes, flipping burgers or some other exciting venture.

InsaneBane's picture

I also fixed a new name..thank me later

More deafer con artist IV

Draybin Deffercon III's picture
Draybin Deffercon III (not verified) InsaneBane Jan 4, 2017 4:34 PM

Wow that was so awesome, did you do that on your own?

InsaneBane's picture

How about MoreDeafer ConArtist IV..feel free to use

InsaneBane's picture

It's like Odongo screaming Hole In One after falsely putting the balls in the holes.

HokumYTrader's picture
HokumYTrader (not verified) SILVERGEDDON Jan 4, 2017 4:25 PM

Gotta get to S&P 2300 first

svs9000's picture

Buy MOAR now or be priced out forever....

thismarketisrigged's picture

how fucking amazing, a new year, and these ''investors'' do not want to sell any stawks .

 

there is no price the dow or s&p can be at that it would not be considered undervalued, the fucking insolvent banks continue to be propped up by central banks ( just look at db, up 6 pct today, up 2 pct yesterday, no reason whatsoever)

 

audit these bastards now and hang them

HokumYTrader's picture
HokumYTrader (not verified) thismarketisrigged Jan 4, 2017 4:13 PM

Trump loves these guys, look at the rally it is all Trump, no its not a bubble now that Trump won.

NugginFuts's picture

Well, I did it. I tried to buy the ramp at 3:29PM and sell at 3:59PM. I got a .2% return. 

Arnold's picture

No monkey hammer hit to the head is a good day.

Did that include fees?

Tin Hat Salesman's picture

lever up 10x and you're making 2% in a day or 500% annualized. now you're playing with the big boys!

NugginFuts's picture

should I add some HFT algos while I'm at it? Maybe borrow against my house and children?

HokumYTrader's picture
HokumYTrader (not verified) NugginFuts Jan 4, 2017 4:55 PM

Just sell VIX every morning before the market opens

HokumYTrader's picture
HokumYTrader (not verified) Jan 4, 2017 4:24 PM

Everyone must have gotten a car or truck for Christmas instead of a Macy's sweater

Global Douche's picture

That makes the appearance of a sub-par car loan crash that some predict as coming true. I predict these rides will have FOR SALE signs if not already wrecked up when the economic wrecking ball, hurled by the Elites, makes contact with the Deck of Cards.

HokumYTrader's picture
HokumYTrader (not verified) Jan 4, 2017 4:26 PM

Trump is going to show us how to make 20 trillion plus debt disappear

SgtShaftoe's picture

If the only thing he does is create a reasonably low-pain way to default on public and private debts Trump will be a success.  He is a master at bankrupcy.  He may just be able to do it.  The question is: Will he truly stand for the American people or will he be bought or intimidated?  Time will tell. 

HokumYTrader's picture
HokumYTrader (not verified) SgtShaftoe Jan 4, 2017 4:51 PM

He already sold out to Goldman Sachs

SgtShaftoe's picture

That's certainly how it seems.  I can't say I'm really surprised.