Last time this happened 1994
A terrible year for a gross investor. Goes down up to 80%. Stocks over valued. Similar to today. What was the price action back then. last big buying opportunity before they go insane in the years ahead. Crypto update...
LA times shows. The best US economic in 10 years worst stock and bond marketing in 60 year's. Remind to of today? NASDAQ got anialated. SMP 100 down. Bond market down. Wall streets installs FEAR for an encore. Bearish time for financial markets. Investor concern. Easy to blame FED reserve for lousy market. FED engineering surge in interest rate. Bond yields. 1994 SMP 100, 500 bluechip stocks not including dividends. Fell. Second quarter was horrible. ONly 1.4% drop? No it was much more in second quarter. End of year showed a comeback.
1995 massive bull market. FED raised interest rates Bond price get destroyed, drop down in value. S & P tripplling of the low's end of 90's
FED reserve jaw boning us to bring prices down to tamp down rampant create spending. to get inflation undercontrol.
Just as it is in the crypto markets of today.
No one owes more money than the Federal government. Fed raise interest rates, de rail business cycle and crush economy. UNcle SAM's not gonna pull that trigger. FED reserve has to back down. The can't take interest rates up to the point where it's going to kill the business cycle. Nor stock price's. Same they can't suck the prices out of the crypto market.
A ground work for a massive buying opportunity. In both crypto assets and equity assets.
Being a stock broker in the mid 90's was not pleasant. I.E Cisco stocks. Split equivalent. Dollar 1.86 to down to 0.86. A whole dollar drop. To live through a drop like this, a horror show.
Peace, love and joy.
Namaste.
