Due to severe droughts, sanctions, embargo, war, the price of Wheat went up a lot in the past few weeks. Having access to Wheat volatility and potential upside should be a big plus for Mirror Finance. Wheat is also a good indicator alongside crude oil for inflation.
With natural gas rising in price, making fertilizer more expensive, and sanctions, Wheat got a huge upside in the last 3 weeks. It also is in an uptrend for over a year, since September 2020.
WEAT, like other commodity ETF’s should be here to stay in the long run. For Mirror Finance, this addition is possible via Teucrium Wheat Fund, which is the biggest Wheat ETF on the market at this time.
In an inflationary environment, holding WEAT, USO, IAU can provide a good hedge, but for a food crisis, Agricultural ETF’s like WEAT may be the best.
Here are some charts that could explain Wheat’s trajectory.
Today it has a green candle, and as long as the price stays above 1100 cents(11$) per bushel, then it has a chance to appreciate by over 30% to around 1480-1500, by mid-April of this year.
So, to have a token that mirrors the ETF, should get some good gains.
Update from yesterday, a bit of growth. It may have a correction if it fails to breach 1180 cents per bushel. If it breaches 1200 there is a good chance Wheat is off to the races, going higher to test previous highs at 1300 and going towards 1460-1500 area.
The strongest support for Wheat is at around 1000 cents (10$) per bushel.
Due to Crude Oil price reaching critical support close to yearly VWAP and Monthly Pivot, there is a chance this is the bottom for oil and thus, all the other commodities.
Only with Crude Oil under 90$ and Wheat under 1000 cents we will see commodities turning bearish.
If Crude Oil holds 95$ and Wheat over 1030 cents we will have a chance to see a continued leg up of the same movement we had in March, happening next month in April.
I guess someone staked some extra MIR so that the percentage went from 15% to 11.5%.
Also, earlier during the day, it was set as Threshold 10%, then reverted back to Quorum of 18%.
Not sure what is the criteria for a poll to change arbitrarily from Threshold to Quorum back and forth.
With this happening, anyone would observe that there is some degree of centralization, and only the polls that are wanted by the ones holding most of the tokens are approved. Which is not necessarily a bad thing, but not really a good thing when initiatives that the protocol was made for and would have demand and good use, would be shut down.
For me joining, participating and creating this poll as a newbie, feels like a rug pull and can be seen as an unfriendly experience. This being my first ever governance proposal, all this shows that one should be careful before taking a decision.
For those of you who voted Yes, all I can say is I appreciate your efforts and God bless you!
If anyone else is willing to be brave to whitelist and launch any other Agriculture ETF, I can offer this advice, to try this one with the highest AUM in terms of agriculture:
DBA - Invesco DB Agriculture Fund
Sorry you didn’t make quorum. There is a UI bug which makes the percentages appear higher than they are while the poll is open. The UI seems to be using an old value for the number of tokens staked which is lower than the actual current amount so the percentages show up as higher than they should.