{"id":967,"date":"2024-03-17T08:26:00","date_gmt":"2024-03-17T12:26:00","guid":{"rendered":"https:\/\/www.inflation.us\/news\/?p=967"},"modified":"2025-05-30T19:07:30","modified_gmt":"2025-05-30T23:07:30","slug":"gdxj-likely-to-surpass-56-by-end-of-august","status":"publish","type":"post","link":"https:\/\/www.inflation.us\/news\/articles\/gdxj-likely-to-surpass-56-by-end-of-august\/","title":{"rendered":"GDXJ Likely to Surpass $56 by End of August"},"content":{"rendered":"\n

Vaneck Junior Gold Miners ETF (GDXJ)<\/strong> is likely to surpass<\/span> $56 per share<\/strong> by the end of August 2024:<\/span><\/span><\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

On February 28th, GDXJ<\/strong> hit what NIA believes was an extreme bottom<\/strong><\/span> of $31.20 per share<\/strong>.<\/span><\/span><\/p>\n\n

When GDXJ<\/strong> closed on February 28th at $31.20 per share<\/strong>, it was priced at 0.1657X<\/strong><\/span> the price of SPDR Gold Trust (GLD)<\/strong>, which is well below<\/strong><\/span> the 10-year median<\/span> GDXJ\/GLD ratio<\/strong> of 0.2469<\/strong>:<\/span><\/span><\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Historically, when the GDXJ\/GLD ratio declines to below<\/span> 0.17<\/strong>, GDXJ<\/strong> over the following six months<\/strong> achieves a median<\/strong><\/span> gain of 81.47%<\/strong><\/span>. From its February 28th extreme bottom<\/span><\/strong> of $31.20 per share<\/strong>, a gain of 81.47%<\/strong><\/span> in six months<\/strong> will price GDXJ<\/strong> at $56.62 per share<\/strong> on August 28th<\/strong>:<\/span><\/span><\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Historically, when the GDXJ\/GLD ratio declines to below<\/span> 0.17<\/strong>, GDXJ<\/strong> over the following twelve months<\/strong> achieves a median<\/strong><\/span> gain of 112.68%<\/strong><\/span>. From its February 28th extreme bottom<\/span><\/strong> of $31.20 per share<\/strong>, a gain of 112.68%<\/strong><\/span> in twelve months<\/strong> will price GDXJ<\/strong> at a new 10-year high<\/strong><\/span> of $66.36 per share<\/strong> on February 28, 2025<\/strong>.<\/span><\/span><\/p>\n\n

It is impossible<\/strong><\/span> for us to imagine a scenario<\/strong><\/span> where GDXJ doesn’t<\/span><\/strong> achieve<\/strong><\/span> these median<\/strong><\/span> gains<\/strong><\/span> over the next<\/span> 6-12 months<\/strong>. It is likely to happen <\/strong><\/span>regardless<\/strong><\/span> of if the NASDAQ continues going up<\/span><\/strong> or if the NASDAQ crashes<\/span><\/strong>.<\/span><\/span><\/p>\n\n

To the contrary, for Bitcoin<\/strong> to go up any further<\/strong><\/span> it needs the NASDAQ<\/strong> to continue moving<\/strong><\/span> significantly higher<\/strong><\/span>. Bitcoin’s strongest<\/span> correlation<\/span><\/strong> is with ProShares UltraPro QQQ (TQQQ)<\/strong> a triple leveraged<\/span> NASDAQ ETF<\/strong>:<\/span><\/span><\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

If you look at the Bitcoin\/TQQQ ratio<\/strong>, Bitcoin<\/strong> is trading near the high end<\/strong><\/span> of its six-year range<\/strong>:<\/span><\/span><\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

The six-year average<\/span> Bitcoin\/TQQQ ratio<\/strong> of 659<\/strong> currently gives Bitcoin<\/strong> a fair value<\/strong><\/span> of $38,063.84<\/strong>. Unless the NASDAQ skyrockets higher<\/span><\/strong>, Bitcoin<\/strong> is likely to decline by 43.09%<\/strong><\/span>.<\/span><\/span><\/p>\n\n

Crescat Capital<\/strong> posted a very good<\/span> chart<\/strong> yesterday showing that the enterprise value<\/strong> of the Top 10 largest<\/span> NASDAQ companies<\/strong> as a percentage of GDP<\/strong> appears to be at an extreme peak<\/strong><\/span> that was previously reached in 2021 right when the NASDAQ<\/strong> hit a top<\/strong><\/span>:<\/span><\/span><\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

Past performance is not an indicator of future returns. NIA is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. This message is meant for informational and educational purposes only and does not provide investment advice.<\/em><\/span><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Vaneck Junior Gold Miners ETF (GDXJ) is likely to surpass $56 per share by the end of August 2024: On February 28th, GDXJ hit what NIA believes was an extreme bottom of $31.20 per share. When GDXJ closed on February 28th at $31.20 per share, it was priced at 0.1657X the price of SPDR Gold […]<\/p>\n","protected":false},"author":1,"featured_media":976,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[28,9,8],"class_list":["post-967","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-articles","tag-etfs","tag-gold","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.inflation.us\/news\/wp-json\/wp\/v2\/posts\/967","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.inflation.us\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.inflation.us\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.inflation.us\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.inflation.us\/news\/wp-json\/wp\/v2\/comments?post=967"}],"version-history":[{"count":1,"href":"https:\/\/www.inflation.us\/news\/wp-json\/wp\/v2\/posts\/967\/revisions"}],"predecessor-version":[{"id":975,"href":"https:\/\/www.inflation.us\/news\/wp-json\/wp\/v2\/posts\/967\/revisions\/975"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.inflation.us\/news\/wp-json\/wp\/v2\/media\/976"}],"wp:attachment":[{"href":"https:\/\/www.inflation.us\/news\/wp-json\/wp\/v2\/media?parent=967"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.inflation.us\/news\/wp-json\/wp\/v2\/categories?post=967"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.inflation.us\/news\/wp-json\/wp\/v2\/tags?post=967"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}