Just this year alone we have gone from $3,500 up to $10,00 and been holding steady at those levels.
Most investors put their money into stocks, bonds, mutual funds and of course good old savings accounts.
However the Fed has just lowered the interest rate from 2.25% down to 2% to try and head off the downturn in the economy. We knew a recession was coming some time this year as other countries started to slip into it and we saw a slowdown on everything.
That being said the US markets should actually weather this storm rather well and not slip into recession territory.
But if things go from bad to worse the Fed really does not have much in terms of interest rate to play with. With just 2% left the last recession the Fed had nearly 5-7% to play with.
It seems as though money is now starting to shift as the Feds cut rates.
Gold and silver prices have jumped a little and bitcoin seems to actually be doing rather well considering the down trend I was expecting.
This leads me to believe that bitcoin and a few other cryptos might end up being another place investors start turning to as dividend stocks and stocks in general start to get hammered from the slowdown.
What do you think? Do you feel investors will move over to cryptos as an alternative as the world economys start to slow down ?