Economic turmoil looms: Historic declines, Bitcoin crashes, and QT fears intensify markets.

Sharing is Caring!

Amidst the fanfare of Bitcoin projections and market optimism, a stark reality unfolds. The brilliance of hooking investors in and then pulling the rug is now evident, as an analyst downgrades Nvidia, attributing it to the implosion of the Artificial Intelligence hype cycle.

The current economic landscape exacerbates the crisis, with millennials grappling with two recessions before 40, staggering student debt, and soaring living costs, creating an affordability nightmare. Microstrategy CEO Michael Saylor’s decision to sell $216 million in stock adds to the ominous signs, reminiscent of past market manipulations, such as the Y2K era.

Bitcoin, once a speculative high, now experiences a turbulent ride, crashing after reaching a new high to start the year. The conundrum extends beyond cryptocurrencies, encompassing entities like Go Daddy, Nvidia, and the Dow Industrials, reflecting a broader market con job.

Adding to the unease, historical data indicates that after the last rate cuts four years ago, the market hit a limit down. Stocks and bonds registering their most significant decline to start a year since at least 2002 accentuates the gravity of the situation. As overbought conditions persist and sentiments remain bleak, the economic landscape faces unprecedented challenges, leaving investors and markets on edge.

See also  Long-term Bitcoin holders sold; highest supply volumes since 2018 bottom. Over $1.1 billion liquidated from cryptocurrency market in 24 hours.

Analyst sees 15% downside risk for Nvidia stock as AI hits ‘trough of disillusionment’

https://twitter.com/1200616796295847936/status/1742518922606153785

See also  Core CPI, PPI, and PCE are all back on the rise. Inflation won't die until the stock market crashes. Gold is warning.