I have to say I’m seeing a lot of similarities with what’s happening now with the booming crytocurrency market and the 1997-2003 dotcom bubble. People quitting their jobs to become day traders because, well, they just make more money that way. I talked to an old friend today who used to be a stylist and turns out she had done just that. Quit her job as a stylist to hop on the day trading path. Can you really blame her? The market has been booming!
Now part of what caused the dotcom bubble to burst was due to the companies reports showing lack of profits.
Now similar to the dotcom bubble I think the cyptocurrency and blockchain technology will revolutionize the way we go about our daily lives but all these penny cryptos that are the focus of much of this day trading speculation may lead us down a bumpy road in the future! I do believe we’re in a bubble right now but I don’t think it’s going to pop as soon as some of these large bank “top analysts” are predicting; I think we have months of high returns in the future.
Just be wary and don’t fall victim to “this time is way different” because in the end this is all speculative trading. It’s more like gambling if you ask me. Now once you realize that you’ll be better off.
A big issue with the 2008 mortgage crisis was people didn’t look behind the CDO’s and I see similar attributes now. People are pouring money into cryptocurrencies based only off of their returns not what the cryptos visions or future benefits dictate. Look into what you’re buying because those will be the cryptos to truly bring in the big profits and withstand the test of time!
