In the financial world's ongoing tug-of-war for the ultimate risk management strategy, a captivating debate has taken center stage: Is Bitcoin BTC/USD or gold the superior choice as a hedge in the face of mounting concerns over rising interest rates and the looming specter of recession?
As market participants grapple with this question, contrasting ideologies and arguments have emerged, each championing the merits of these two distinct assets in the current environment.
Amidst the ongoing debate surrounding the choice between Bitcoin and gold as effective risk management strategies, a new contender emerged: The FolioBeyond Alternative Income and Interest Rate Hedge ETF RISR
This actively managed exchange-traded fund offers an alternative approach, seeking to provide consistent income in a stable rate environment while also serving as a hedge against the impact of increasing interest rates. Both institutional entities and retail investors may find RISR to be a valuable tool in navigating the uncertainties of an inflationary economic landscape.
On Thursday, the Bureau of Labor and Statistics will release crucial consumer price index data, which the Federal Reserve will use at its next meeting in September to determine whether to continue its rate hike campaign.
With rate hikes expected to continue, investors will continue looking for hedging strategies.
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The RISR Chart: RISR is trading in a strong bull cycle, above the 50-day and 200-day simple moving averages (SMA), with the 50-day SMA trending above the 200-day SMA. The ETF is also trading within a long-term rising channel and on Wednesday, RISR bounced up from the median line of the formation.
- RISR is trading in a strong uptrend on all longer-term timeframes and could be forming a bull flag pattern on the daily chart. If the pattern is recognized, the measured move is about 3.7%, which suggests the ETF could be headed toward the $34 mark.
- Bulls want to see RISR break up from the downward sloping flag formation on higher-than-average volume, which could indicate a move to the upper ascending trend line of the channel is on the horizon. Bears want to see RISR break down under the eight-day exponential moving average, which would negate the bull flag and suggest a downtrend is in the cards.
RISR has resistance above at $33.35 and at $34.44 and support below at $32.79 and at $32.26.
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