Today is the end of 2021
We have seen an incredible rise in the stock market after the initial COVID crash in 2020
The stock market is now nearly 2x where it was in 2018!
This is in large part because of inflation.
Also had Bitcoin and cryptos not existed in this time the stock market might actually have been 20% higher.
We have increasingly rising inflation. Some would call it "transitory".
However, interest rates have been at all time lows for a while now.
The federal reserve, to reign in the inflation caused by their infinite emergency money printing (money printer go BRRR lol), the Federal Reserve will need to raise interest rates.
This also comes after The Federal Reserve began experimenting with "tapering" their "quantitative easing" whatever the fuck that means.
Home prices are now far above where they were before the crash in 2008.
However if you invested in any stock besides those in the "Nifty Fifty" or FANG there's about a 90% chance you lost money because hedge funds shorted everything else down.
The market breathes, like an animal. It inhales and exhales, it goes up and down. When was the last time this market has stopped to catch its breath?
I ask you now, looking at this chart. Will it keeping going up forever and ever, into infinity?
Or will it return to its moving averages, like every other equity in history that has ever existed before, ever.
What happens when Evergrande collapses and the Chinese economy contracts?
What happens when Russia finally invades Ukraine and one of their nuclear power plants melts down?
What happens when the US IRS starts investigating Tether and other stable coins for their cash reserves?
We're going to see a market crash.
It's that simple, there's going to be a market contraction.
Maybe not in January, I don't know when, the market might even do a blow off top for a month and jump up another 10% or something before then dropping 50% for the rest of the year.
Just looking at this chart, it defies gravity, it defies logic.
We have seen an incredible rise in the stock market after the initial COVID crash in 2020
The stock market is now nearly 2x where it was in 2018!
This is in large part because of inflation.
Also had Bitcoin and cryptos not existed in this time the stock market might actually have been 20% higher.
We have increasingly rising inflation. Some would call it "transitory".
However, interest rates have been at all time lows for a while now.
The federal reserve, to reign in the inflation caused by their infinite emergency money printing (money printer go BRRR lol), the Federal Reserve will need to raise interest rates.
This also comes after The Federal Reserve began experimenting with "tapering" their "quantitative easing" whatever the fuck that means.
Home prices are now far above where they were before the crash in 2008.
However if you invested in any stock besides those in the "Nifty Fifty" or FANG there's about a 90% chance you lost money because hedge funds shorted everything else down.
The market breathes, like an animal. It inhales and exhales, it goes up and down. When was the last time this market has stopped to catch its breath?
I ask you now, looking at this chart. Will it keeping going up forever and ever, into infinity?
Or will it return to its moving averages, like every other equity in history that has ever existed before, ever.
What happens when Evergrande collapses and the Chinese economy contracts?
What happens when Russia finally invades Ukraine and one of their nuclear power plants melts down?
What happens when the US IRS starts investigating Tether and other stable coins for their cash reserves?
We're going to see a market crash.
It's that simple, there's going to be a market contraction.
Maybe not in January, I don't know when, the market might even do a blow off top for a month and jump up another 10% or something before then dropping 50% for the rest of the year.
Just looking at this chart, it defies gravity, it defies logic.