You Might Want To Check On Your “Investments”, Because The Financial Markets Are Starting To Go Haywire
You Might Want To Check On Your “Investments”, Because The Financial Markets Are Starting To Go Haywire
Francesco Abbruzzino, The Uncensored Report, LLC
Is the party almost over? Volatility has returned to Wall Street in a major way, and certain investors are getting absolutely crushed. On Wednesday, a trillion dollars in paper wealth had been wiped out during the trading session at one point, but those losses were later pared back as cryptocurrencies rallied. On social media, there has been a lot of weeping and wailing due to the huge financial losses that some people have experienced this week. But if you think that these losses are bad, just wait until you see what is coming later.
In the old days, investors would carefully select the companies that they were going to invest in. The key was to identify companies that had something of great value to add to society and that were being run very well. In those days, strict adherence to the fundamentals would often bring great rewards. Just ask Warren Buffett.
But these days our financial markets are little more than giant casinos. Companies that lose giant mountains of money year after year are supposedly worth billions of dollars, and “assets” that have no inherent value whatsoever are endlessly gobbled up by drug-fueled “investors” that are looking for a way to get rich quick.
This speculative environment has driven the price of Bitcoin to absolutely insane heights in recent months, but now it is starting to fall. After hitting a record high of $64,829 in the middle of April, Bitcoin fell to almost $30,000 on Wednesday before bouncing back a bit…
Bitcoin plunged 30% to near $30,000 at one point on Wednesday, continuing a major sell-off in the cryptocurrency markets that began a week ago.
But don’t feel too bad for Bitcoin investors just yet. Bitcoin is still up more than 30 percent so far this year, and overall it is up close to 300 percent over the past 12 months.
Other cryptocurrencies that have also soared in recent months took a huge bath on Wednesday…
Other cryptocurrencies also plunged on Wednesday. Ether, the digital currency that powers the Ethereum blockchain, was down more than 22% at $2,620.97, according to Coin Metrics. Dogecoin, a cryptocurrency that started as a joke and has been talked up by Tesla CEO Elon Musk, fell 25% to less than 36 cents. Both had substantially larger losses earlier in the session.
Dogecoin is the poster child for the wild speculation that I so often deride on my websites. It was started as a joke, it is a useless waste of digital space, and it has no inherent value whatsoever.