This is The REAL Bubble! (NOT Cryptocurrency)steemCreated with Sketch.

in #bitcoin6 years ago (edited)

The stock market has a great future guys...

dow jones wtf.png

(lol)

I follow everyone back.

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ENOUGH SAID!! Blowoff top 3,500 followed by EPIC DEBT FUELED CRASH!! We are Going to see three things the longest rally in history in the S&P. The greatest bubble ever in crypto! Followed by the last bubble in gold! Then the global monetary system will reset itself forever

This is what's known as a crack up boom...

Pfffffffff, crypto is just a huge scam, and it's either a bubble or a ponzi scheme!!! While stocks are definitely good, I think it's MUCH MUCH better to keep my money in a bank cuz then I get 1% interest!!!
-average mainstream media viewer.
Also, why is this post powered up?

Did you know 95% of the world's currency is digital anyway? And that a large percentage of that is no longer backed with any physical commodity? Think about that.

Yes crypto huge scam! (lol)

Should I not power up my posts?

you should if you want to, but since steem dollar is currently worth more than steem, it's much better to get the 50% from your post in sbd and then exchange to steem power through a exchange(I personally use blocktrades).

Oh, well thank you for letting me know about that!

sarcasm ? or joke? or do you really mean that of the 1%?

he literally said that that'd be the reaction for every "average mainstream media viewer."
read the comment thoroughly

excuse me , but I didn't interpreted that this way , and I think I'm not alone . but thanx anyway to clarify that for me

Thought you were being serious for a minute, was about to burst a blood vessel.

This is really a scary chart! That's why I say we cannot have inflation because people are not spending but buying stocks ... and one day the trend will reverse and it will hurt, hurt, hurt!

Hahahah, i've never seen the stock market in a graphic like this, it's gettin kinda scary, but it can/might skyrocket so hard that this'll look like a tiny rock next to a boulder.

... most people in crypto are stupid as hell.
what do you think is worth more - apple or some shit like tron, verge etc.?

99% of all cryptos will fail. there is just nothing they provide to the people in the world. I mean think about it, every fucking country in this world could go and make their currency blockchain based.
and if so, why should anyone want to have something like bitcoin?
if you want to invest in crypto, invest in something that provides some sort of advantage --> iota, Neo, steem

when the credit cards became available, people didn't feel the difference between money or credit cards. Cards are more comfortable. Cryptocurrencies are next step into the future money. Fiat money will be replaced wheter we agree or not.

I guess Trump will be the scapegoat after all of these years of abusing the market. Can't wait to see how this will play out. It's not gonna look pretty.

all money on planet is just in our minds. Smoeone proposed some monetary unit and other just agreed with it. So all is relative. Real value has air, water, food, house working tools, weapons.

And the stock market will likely crash soon, too!

I really like the point your making. But, while the visual is stunning, it's a different graph looking at a different type of asset.

The graph looks like this because the US dollar has lost so much value over the past 50 years. A lot of the price increase comes from inflation (i.e., the loss of the dollar's value). Look at the graph on this page: https://www.investopedia.com/articles/investing/052913/inflations-impact-stock-returns.asp

As the value of the dollar goes down, the cost of everything you buy with dollars goes up. Like stocks. They're more expensive, but not necessarily over-valued. It's just that the dollar has lost so much value, you need a LOT more than you used to.

The stock market is not technically a bubble because the value is aligned with the dollar. This chart really just shows how worthless the dollar has become.

I totally agree with your criticism of "mainstream" financial analysts. But Bitcoin has an extremely tiny rate of inflation so it's not a great comparison...sorry bro! But your larger point is well-made!

Your chart is from 1947... how is that relevant to my chart from 1982? You can't just compare two different time frames. On your chart from 1982 onwards the chart is actually really flat... the chart in my picture is anything but flat... so this massive upwards move in the stock market isn't a result of the devaluing dollar then.

Not comparing. Sorry to upset you.

My chart simply shows how inflation devalues the dollar, as part of an article explaining in simplistic terms how inflation makes everything cost more. You can't compare the two charts -- they map different variables. Tilt my chart 90 degrees counter-clockwise and you'll see the parabolic curve. But still not a comparison. My chart illustrates how inflation works, yours illustrates how DJIA stock prices have risen over time.

A graph of my savings account (pure dollars with minimal interest) would show the same type of curve as your chart. But that doesn't mean my savings account is a bubble. It means I've benefited from compound interest. Even though it looks the same, you can't compare it to your graph or the one I linked to.

Any chart that measures an asset in dollars will show a parabolic growth in aggregate -- because of inflation. Yours covers 1970 - today, the one I linked to covers 1947 - today, and they both explain different things.

Again, I didn't mean to offend you. I agree with your conclusion and your chart is dead on -- "mainstream" investors have their heads up their ass if they think cryptos are any more risky than stocks or bonds. That doesn't mean stocks are in a bubble. Stock prices have shot up because the Fed has pumped a crap-load of dollars into the market.

I'm not upset man, it must just be my typing style or whatever I like to get straight to the point. You might very well be right that it is the printing of dollars which has set this off and I actually just looked at the historical chart for Money Supply of the US and it is fairly similar to the DJIA.

I'm not bothered if you are right or I am right here, I just want the facts. I do still believe it is a bubble because you can't just keep pumping dollars into the economy forever. It is going to end badly at some point. Do you expect the DJIA to go up vertically forever? Just asking not trying to offend you or anything.

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