Cardano Dan's Newsletter - Issue #106

Taxation without Legislation

Quote of the Day

“Inflation is taxation without legislation.”

― Milton Friedman

Inflation is here. The government uses it as a form of tax when they’ve reached the limit of their other tools. The scary part of this tax is that there is no legislation needed to make it happen.

Bonus Quote! Alan Greenspan said

In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value.

That used to be true. But now cryptocurrencies are providing a new store of value opportunity in an inflationary environment. Hundreds of millions of people are figuring that out and it is why we’re seeing such a significant bull run.

Cryptocurrencies may not be the “safest” store of value. But I challenge anyone to identify a “safer” store of value in the crazy world that we live in today. It’s certainly not gold or the dollar.

In The News

1. Jerome Powell was, by all accounts, extremely dovish in his virtual Jackson Hole speech. Most “experts” expect a tapering move in November at the earliest with a possible delay beyond that if the Delta variant hampers the economy. Bull market game on!!! And so is inflation…

2. To that end, Raoul Pal laid down some wisdom on QE and inflation. His thread is well worth a read, especially if you’re someone that thinks the “Fed doesn’t actually print money!”

   Raoul Pal @RaoulGMI

   Humour me, let's just imagine that QE does actually debase a currency then it surely would have effects something very much like this... (SPX vs Fed Balance Sheet).

   

Cardano Updates

1. Cointelegraph’s FUD headlines about Cardano are reaching epic heights. Fortunately, real journalists are starting to cover Cardano in meaningful ways, so this FUD is having less and less sway over the markets.

2. NFT Markets on going absolutely nuts! Mutant Apes launched on Ethereum selling over $90M within an hour, Space Budz floor (lowest price) is now above 3,000 ADA (maybe more), and our Trybbles Drop 4 saw all 636 NFTs reserved for purchase in less than 2 minutes yesterday!

   In light of all of this excitement, I’m super pleased to share that I have a NFT collab with Blizzeffect that is dropping at 1600 UTC on Wednesday this week.

   DO NOT MISS IT. We have something really special planned. Stay tuned to my twitter feed over the next few days for additional details.

Technical Analysis / Price Discussion

4 hour charts are about as far as I zoom in these days. Below you’ll see what, I think, is an interesting place that Cardano ADA is in right now.

$3 resistance is proving a challenge to break through. ADA is getting squished up against its uptrend support.

I’m looking for a move soon. Its possible ADA retests $2.47 (prior all time highs) again before taking down $3. However, I’m included to think it’s more likely the current uptrend continues and the trendline holds. Exciting times continue either way!

This newsletter is for entertainment and educational purposes. I’m not a financial advisor and you should do your own research and consult a financial advisor before investing in cryptocurrencies.