Shades Of 2000 And 2008

Recall that the mortgage bubble in 2008 led to a lot of home construction in exurbs like Palmdale in Southern California, places that became less economical as gas prices spiked. 

Shades Of March/April 2000 

Meanwhile, TD Ameritrade's Oliver Renick saw parallels to the burst of the dot-com bubble in the spring of 2000. 

Readers may recall that we've analogized the current crypto bubble to the dot-com bubble before. In a post on Linked In of all places (really, Oliver?), Renick suggested that if bitcoin doesn't stop crabbing and start rallying on inflation news now, it could sell off, tanking the whole crypto sector. 

Bitcoin has utility in its role as a censorship-resistant means of money transfer, but many cryptos can accomplish this goal. It's the gold story that's been the secret to its success. "Digital gold" is the easiest catchphrase to remember, repeat, and fits with the financial narrative du jour of the money-printing generation. But most importantly, it’s been the most successful story because it’s been impossible to disprove – up until now.

This is the moment everyone’s been waiting for. The Fed literally doesn’t give a damn about inflation, policymakers are dumping everything into the economy they can possibly come up with, and the most reliable stocks of the bull market are breaking down. We just had the biggest bond selloff in history a few months ago and the dollar is in a month-long freefall. Bitcoiners have never been more convinced that destiny is manifest, and many believe crypto canon calls for an extension of gains after last year’s block “halving.” Gold is finally rallying, but bitcoin’s hit a wall.

If it sells off here, the entire story falls apart.

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Disclaimer: The Portfolio Armor system is a potentially useful tool but like all tools, it is not designed to replace the services of a licensed financial advisor or your own independent ...

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