Welcome back to our weekly newsletter! We have things all ready and summarized for you🔥

• SEC Decides not to Contest its Defeat in the GBTC Case🥳

• Decline in Tesla's Market Share🚗

• Warren Buffett’s Investing Strategy📊

Weekly Summary 📅

📊Market Performance

• S&P 500: 4,327.78 (+0.60%)

• DJI: 33,670.29 (+0.84%)

• Nasdaq-100: 14,995.12 (+0.54%)

• Russell 2000: 1,719.71 (+1.08%)

• Bitcoin: 26,880.60 (-2.59%)

• Gold: $1,932.28 (+3.29%)

SEC Decides not to Contest its Defeat in the GBTC Case🥳

The SEC had previously endured a chastising reversal by the court in August when it initially dismissed Grayscale's application for their Bitcoin Trust.

The decision is now seen as increasing the likelihood of turning the Grayscale Bitcoin Trust (GBTC) into a more beneficial ETF.

Following this news, BTC saw a significant jump in its price, but it is not reflected in it’s 5-day price at the moment.

The markets regulator had the opportunity to challenge this ruling until midnight Friday. However, they've chosen not to appeal, according to multiple sources acquainted with the matter.

This development can be seen as encouraging to other competitors in the field such as BlackRock and Fidelity who are also awaiting similar approvals from the SEC.

Grayscale's endeavor to convert its fund took off in October 2021. This proposed transformation of GBTC to an ETF has been argued to provide a more accurate depiction of Bitcoin's price in the market, potentially eliminating the 17% price discount of the fund relative to its Bitcoin holdings.

Decline in Tesla's Market Share🚗

In the recent financial presentation released by leading automotive market research company, Kelley Blue Book (KBB), electric vehicle (EV) sales reached a new record high during the third quarter, while Tesla's dominant industry share displayed a progressive dip.

The figures are encouraging as they reveal a surge in US EV sales passing the 313,000 threshold, almost 50% higher than Q3 last year.

Notably, this milestone translates into an overall EV market share of 7.9%, a significant uptick from 6.1% a year ago.

While Tesla still holds a strong lead as the top EV manufacturer with 150,000 cars sold in the US, indicative of exactly 50% of total EV sales, its share is decreasing against its burgeoning rivals.

This represents the lowest share for the electric car giant to date, down from 62% the previous year. However, it's essential to acknowledge that Tesla's overall sales volume continues to increase, surpassing the industry's overall growth rate.

Competing EV manufacturers, such as Ford, have been aggressively modifying their strategies to respond to the challenging market conditions by reducing the prices of their electric models, enabling them to increase sales volumes significantly.

However, the cost factor remains a significant concern for buyers as the average transaction price (ATP) of EV remains relatively higher than internal combustion engine vehicles.

Are you looking to buy an EV car in the near future? For me I think I would stick to a combustion engine 😅

Warren Buffett’s Investing Strategy📊

The world of finance and investment moves swiftly and October brought some new surprises. News from the investment front tells us that Berkshire Hathaway, led by the iconic billionaire investor Warren Buffett, navigates turbulent waters as Apple stocks take a hit.

Remember when Apple shares accounted for 55% of Berkshire Hathaway's U.S.-listed stock portfolio?

Since July, Apple's price has gone down 8%, translating to a drop in Berkshire Hathaway's investment position by a massive $14.4 billion.

I know that is massive to me🤣

However, all is not gloomy in the Berkshire Hathaway universe.

Eight U.S.-listed stocks including Charter Communications, Markel Group, and T-Mobile US, have seen upward turns since the S&P 500 peaked this year on July 31.

These increases provide a buffer against the plunge of Apple stocks.

Charter Communications emerged as Buffett's top-performing stock since the end of July, with its value marching 10.5% upwards. This and others such as the 2.5% rise of Markel Group stocks and a 2.4% increase in T-Mobile US shares demonstrate the importance of diversification even within a dominantly concentrated portfolio.

While the value of an energy company, Occidental Petroleum, also rose slightly, the increase was too small to significantly impact the overall portfolio value.

The fact that Apple stocks still rose nearly 39% this year, despite recent drops, continues to boost investor confidence. However, concerns around the market behavior of Apple stock persist due to the rise in Treasury yields and reviews of its latest phone product.

Weekly Forecast Summary

Gold (XAU/USD)

We predicted that the price of gold would increase last week, and we were correct. The price exceeded our initial weekly estimated level and also exceeded the support level from the previous month on October 9th. This turned into a resistance when the price opened at 1832 with a bullish candle, which is a sign of increasing prices.

We also predicted that the price might even reach 1925 in our newsletter earlier this week.

However, gold prices did face a few minor setbacks during the week.

Looking at this week, there was a bit of push back for gold prices between the range of around 1874-1880. Analyzing the daily chart, we noticed the price was turned down twice before.

Likewise, on September 12th, the price faced rejection in the similar price region. Furthermore, the Consumer Price Index (CPI), a major economic factor, triggered a downward momentum making the price fall when the US market opened.

The same happened when gold prices hit the resistance level within the 1874 - 1880 region.

However, today, gold is still increasing in price, starting from the previous day's support level with an uptrend candle.

Currently, the price is in the resistance zone (1874 - 1880) and based on the daily candlestick, it's likely to exceed this zone due to high buying pressure and will keep on its upward trend.

But before gold can hit our target level, which is the weekly resistance at 1925, it needs to first surpass another slight resistance.

This smaller daily resistance is in the area below which is at 1907 - 1900. We'll have to wait and see how the price behaves next week and stay tuned for our next gold forecast.

Bitcoin (BTC/USD)

Shifting to Bitcoin, as expected, the price fell again. Last week, when the price hit the 28k-29k area, it was strongly turned away. For Bitcoin to reach the 30k area, it needs to move past this specific area. But because it was rejected, Bitcoin's price fell further, and it's currently at a support level of 26k.

This particular support level at 26k is important for Bitcoin. Looking at the past four-hour interval, we see that when the price hits this level, it generally becomes a base for the price to increase for the week, or a barrier once it moves past it.

For this week, we thought Bitcoin's price might go down to the 25k support level, but it only went down to the 26k level.

For Bitcoin's price to start increasing again, it must stay above the current 26k support level. If not, it's likely that the price will keep falling down to the key support level at 25k.

Maybe the approval for Grayscale’s ETF could help push for another Bitcoin price rally📈

✨Bonus News✨

Disclaimer: This is not any kind of financial advise. This newsletter is solely informational; it does not constitute investment advice, a solicitation to buy or sell any securities, or a recommendation regarding how to manage your money. Be cautious and conduct your own study, please.