It's a Gift

It might seem like there is a lot of gloom and doom around, but just remember that around this time five years ago, there was a bit of doom and gloom in the markets also. It was mid-March, and Bitcoin bottomed out at around $5000 dollars, and everyone was saying it is finally dead - and my friends we laughing at the scam I was involved with. For them, all crypto is was Bitcoin. Of course as we know, by the end of the year Bitcoin was back at 19, and then by April 2021, it was at 60,000. That is 1200% in a year.

Sure, you might be looking for an opportunity to buy, but while there is all this uncertainty hanging overhead, there is one thing you can count on - the greed of the financiers. They aren't planning on losing money, they are planning on making money. And as always in the current economy, the majority of that money is going to be made in the markets, not on goods and services directly. So, no matter how bad things get, know that at some point, it is going to recover.

This obviously is hard if a person is living off of their investment potential, because they are going to keep eating into it and selling at the lows to pay the bills, which means that when it does recover, the cost of selling was very expensive indeed. Of course, if you only way to survive is to sell, then you have to sell right? But, the more that can be held, the better.

I was talking to some clients today whose company is going through headcount cutbacks to save costs. The problem that most seem to have (myself included most of the time) is that they have their spending and saving backwards. Most people and companies spend their money frivolously when times are good, and then look to save when times are bad. They should really reverse that process, because when times are good, it is far easier to save large chunks of capital and invest them, or just hold. And then when times are bad, take that capital and invest it into depressed prices, whether it be market investments, or capital investments to improve capabilities for when times are heading into good again. The company that does this is ahead of the pack when the market turns.

The policies that are coming out of the rear end of Washington, stink. Much like the policies that were applied globally back in 2020 in response to Covid. Similarly, they don't care who or how many they hurt now either, as long as the few get a lot wealthier. This is shaping up to be an even bigger cash grab than Covid, and while the market are dropping like stones, remember on the other end of that sell trade, is a buyer. The same thing happened in 2020. The same thing always happens. While the markets panic and drop their loads, the investors orgasm in glee and shoot their loads.

And at their level, they don't need any of this to live off. They are in it for the game of getting numbers to go up, to have more than others, to feel powerful, to buy influence and have control. None of this makes their lives better, because they already have so much. We hear about all the billionaires, but we don't really understand how much money that really is. They can lose ninety five percent of it, and still have a better financial life than 99.99% of the people on earth. So, they have the resources and possibility to wait.

And in this case, it is about having the resources to buy the time to not have to sell investments, and instead buy investments when prices are down. Those times will change and they will be up again in short order, but most people don't have enough money in the bank to cover three months of expenses, let alone enough to wait four or five years for a turn in the market.

But now, the traditional market cycles are speeding up and becoming more volatile, because they are less detached to the performance of a company, and more attached to the emotions of the market. Rather than crypto getting more like the legacy economy, it seems the legacy economy is becoming more like crypto. Perhaps they will meet in the middle and create some hybrid beast, but the markets will always look to find an equilibrium. At the moment, while the waters are trying to settle, someone is shaking the glass.

My current life sucks a bit because of the job situation, but I am doing my best to not get too down, because I still have a lottery ticket in the crypto markets. It might crash and burn for a bit, but I believe it is going to see new highs, so I just have to find ways to make ends meet until those days arrive, with my stack intact.

A million. Maybe zero. Maybe five million. Maybe ten thousand.

Only time will tell, but the disruption now tells me that the pieces are getting moved around the boards, while the masses are focusing on what they have been taught to focus on. The irrelevant.

Taraz
[ Gen1: Hive ]