marketbearish

🇧🇷,🇨🇳,🇮🇳,🇷🇺,🇿🇦The BRICS group has launched a working prototype of a gold-backed trade currency known as the “Unit”, as the world’s leading emerging markets search for a way to ditch the dollar, the Institute for Economic Strategies of the Russian Academy of Sciences (IRIAS) reported on December 4.
The Unit is a digital trade instrument backed by a reserve basket composed of 40% physical gold and 60% BRICS national currencies, equally weighted between the Brazilian real, Chinese yuan, Indian rupee, Russian ruble, and South African rand. The pilot was initiated IRIAS which issued 100 Units on October 31, each initially pegged to 1 gram of gold.
As bne IntelliNews recently reported in a deep dive into dedollarisation, the Global South have been long been unhappy with the dominance of the dollar in global trade, which gives the US a powerful geopolitical lever, but central bankers around the world were freaked out by the imposition of the SWIFT sanctions on Russia only days after Russia’s invasion of Ukraine in February that threatens every country in the world’s ability to trade freely.
Since then, they have been hunting for an alternative. Many countries have since switched to settling their mutual trade in national currencies. Russia and China now settle nearly all their trade in yuan and rubles. India and China have also switched to national currencies. And almost all the trade in the Eurasian Economic Union (EUU) is now done using each member’s own currency. However, while China and Russia's mutual trade balance is relatively balanced, making using national currencies easy, India runs a $60bn trade deficit with Russia thanks to the oil trade, making the relationship more difficult.
The BRICS countries have been looking at cryptocurrencies for a solution and introduced the BRICS Pay coin at the Kazan summit last year. Not a true cryptocurrency, BRICS Pay is based on digital versions of a digital ruble, rupee, yuan, etc as each government has been setting up a virtual version of their national currencies. Russia and others have already floated the idea of a gold-backed mechanism, particularly for bilateral trade
Russia ran trials for the digital ruble earlier this year, testing it in the domestic banking system. The BRICS ‘Unit’ is the first working prototype for a gold-referenced trade currency.
While not yet official policy, its existence is a direct step toward dedollarisation and a significant bullish signal for long-term gold demand. The value of the Unit is designed to fluctuate daily in line with movements in the component currencies against gold. By December 4, market fluctuations had adjusted the value of the reserve basket to 98.23 grams of gold, effectively bringing the Unit’s value to 0.9823 grams of gold per Unit.
Although currently limited to a test pilot phase, the instrument is being closely monitored by policymakers and central banks, particularly in the Global South. Several countries in Africa are also watching developments closely.
The aim of the initiative is to facilitate trade settlement without the use of the dollar, while also enabling countries to maintain gold reserves within their own borders. All the emerging markets have been aggressively buying gold in the last years and the Unit would make trading gold less cumbersome and increase the liquidity of the gold market.
The project is not yet officially adopted by the BRICS bloc or its central banks, but the experiment has been driven by select member states seeking alternatives to the current dollar-dominated financial architecture.
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Cointelegraph
Bitcoin 'bull run is over,' traders say, with 50% BTC price crash warning
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(Key takeaways:)
Market analysts say the Bitcoin bull run could soon come to an end.
BTC price risks a 50% correction to $52,200 if key support levels fail, according to technical analysis.
Bitcoin
BTCUSD
fell to $103,500 on Friday, resulting in over $916 million in liquidations of leveraged long positions and dampening sentiment in BTC markets.
Investors appear to be losing confidence after two straight weeks of failing to hold prices above $110,000. But does this mean the bull run is over?
Bitcoin bull run “ends in 10 days”
Bitcoin may only have a few days of price expansion left in the cycle, especially if it follows historical patterns from past bull runs, according to analyst CryptoBird.
The Bitcoin “bull run ends in 10 days,” the analyst said in an X thread on Tuesday, basing the forecast on previous cycles.
Cycle Peak Countdown shows that the Bitcoin bull run is 99.3% done, as weak hands are shaken out “in a classic pre-peak pattern,” the analyst said.
“1,058 days since cycle low = 99.3% complete, with only 0.7% remains of this historic bull cycle. Our October 24 target is exactly 10 days away.”
According to the analyst, the ongoing pullback is right on schedule, adding that it appears to be a classic pre-peak behavior that occurs in every major cycle, as “final weak hands getting flushed before the euphoric top.
It has been 543 days since the 2024 Bitcoin halving, which put the BTC market “+25 days inside the historical 518-580 day peak window,” the analyst said, adding:
“We’re not just in the zone - we’re deep in the statistical heart where every major Bitcoin top has occurred.”
As Cointelegraph reported, the Bitcoin Fear and Greed Index has hit yearly lows of 22, signifying “extreme fear” among investors.

CryptoBird said that this represents a complete reset in market sentiment before BTC embarks on its final leg.

“This emotional washout creates the perfect launchpad for final leg euphoria.”
Bitcoin price could drop to $50,000: Analysts#marketbearish

Bitcoin’s drop below key support levels today, including the 200-day simple moving average (SMA), has led to structural weaknesses, which could potentially lead to a deeper correction, according to analysts.

The price is “now testing the 0.786 fibonacci retracement level around $104,000,” analyst Daan Crypto Trades said in an X post on Friday, adding that losing this level would bring June lows at $98,000 into the picture.

“Touching grass if bulls can’t manage to hold this level this week.”