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Whenever there's a big down turn in any market, I assume someone(s) were just taking their profit(s). Like bike racing's game of chicken in the velodrome.
by specialist 5y ago
Whenever there's a big down turn in any market, I assume someone(s) were just taking their profit(s).
Like bike racing's game of chicken in the velodrome.
- fennecfoxen 5y agoIt isn't necessarily a good assumption that someone is taking someone else's profit. More often it's simply people realizing that projected profits won't happen; many of them never existed in the first place. Crops fail. Promising biotech turns out to be impossible; new drugs are shown to be ineffective. The housing market turns out not-to-go-up-for-ever. A drought in Taiwan stifles semiconductor manufacturing and good chips are hard to find for years; ASML's factory catches fire. Oil spills, and must be cleaned up; Union Carbide leaks gas all over Bhopal. COVID-19 kills people, makes others (rationally) fear for their health, and far less gets done.
- specialist 5y agoSure. And maybe some events triggered this current downturn. Legislation, another big pwnage causing loss of faith, some failed IPO, scarcity of gear. TBH, if these things were rational, I would have guessed most "bad" news would have pumped bitcoin's value; but I clearly have no clue what's going on, which is why I'm asking. I'm also open to explanations that complex adaptive systems have intermitent booms and busts.