What does it take to move Bitcoin by almost 20% more? How about Tesla (TSLA) – Get the report Executive Director Elon Musk simply posted on Twitter “#Bitcoin”.
That’s what he did on Friday morning, and bitcoin is now trading at $ 37,537.79, up 19%.
So what is the way to go? Retail investors are in manic mode of full acceleration.
One thing is to push established companies like Amazon (AMZN) – Get the report, Apple (AAPL) – Get the report and Nike (OF) – Get the report, at extensive evaluations.
But it’s completely different to beat the GameStop (GME) – Get the report, AMC Entertainment (I HAVE C) – Get the report, special purpose purchasing companies and bitcoin. It’s all speculation right now.
The legendary 20a Century economist John Maynard Keynes said investing in the market is like judging how others will judge a beauty contest.
In the case of bitcoin, stocks with weak fundamentals and SPACs, each judge rates the asset as 10 perfect.
Nothing here is new. Given human nature, bubbles have almost certainly existed since the beginning of time. It is possible that Adam and Eve caused a flight on forbidden fruits. The 17a the century saw the Dutch tulip balloon and the 18tha the century saw the bubble of the South Sea.
You are no doubt familiar with the latest bubbles – the dot.com stocks in the late 1990s and the real estate market in the early 2000s.
Bitcoin, so-called unwanted stocks and SPACs are simply a continuation of that line. Markets are changing between greed and fear, and now greed is dominant.
Just remember that periods of greed, in the financial markets or in any other part of life, generally do not end well. For the most part, the greedy do not go unpunished.