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A bubble forms when a large number of investors pour money into investments that lack real inherent value. One example is Bitcoin, or in the year 2000, companie
by rthnbgrredf 2y ago
A bubble forms when a large number of investors pour money into investments that lack real inherent value. One example is Bitcoin, or in the year 2000, companies like Pets.com that had no substantial business but were valued like the most valuable companies in the world. This scenario does not apply to companies like Nvidia, Microsoft, and Amazon, which have huge, successful businesses. It is very likely that these companies will still exist in 10 years and remain highly profitable. However, their valuations could experience sharp ups and downs, similar to Tesla. Therefore, I would prepare for a volatile ride, but I would not sell an S&P 500 ETF out of fear of impending hype.
- EVa5I7bHFq9mnYK 2y agoJust to remind you that Bitcoin is already 15.5 years old and shows no signs of subsiding. It has real inherent value as a trustless and permissionless means of value transfer, and as a fixed-supply store of value.