Thursday, March 4, 2021

Tag: Bubbles

Bubbles, Booms, Busts, and Bummers


by Gary Christianson, Miles Franklin:

For the week ending September 11, 2020:

  • Gold rose $13 to $1939.
  • Silver rose $0.14 to $26.86.
  • Tesla stock fell $45 to $372, down 26% since early last week.

Bubbles are a fact of life. They occur, like hurricanes, when conditions are right. Like hurricanes, they can be deadly. In the financial world, for a bubble to expand, we need a great story, an excess of credit, mass appeal, and suspension of critical thinking while individuals embrace greed and fear.

Bitcoin, Bubbles, Gold, and Silver

by Darryl Robert Schoon, Gold Seek:

In January 2009, when bitcoin was released, its value was “basically nothing” ~wikipedia.  Eight years later in January 2017, bitcoin was at $986 and in December reached $19,783, an astounding one-year rise of 1,900 %, outperforming the 1,500 % historic increase in the Dow from 1982 – 2000. In 2018, bitcoin lost 66 % of its value.

Bitcoin’s spectacular rise and fall was the largest speculative bubble in history; an ignominious distinction for cryptocurrencies, a new form of money many hoped would replace fiat currencies, historically subject to government overissuence, hyperinflation and economic and political collapse,

Gold, Bubbles, S&P 500, and Currency Wars


by Gary Christenson, Deviant Investor:

From John Rubino: “We’ll Look Back At This And Cringe

“Millions of people out there still bear the psychic scars of buying gold at $800/oz in 1980 or a tech stock at 1,000 times earnings in 1999 or a Miami condo for $1,000 per square foot in 2006.

Today’s bubble will leave some similar marks. But where those previous bubbles were narrowly focused on a single asset class, this one is so broad-based that the hangover is likely to be epic in both scope and cumulative embarrassment.”


From Timothy Alexander Guzman: “A Currency War Will Escalate

One quote that always crosses my mind regarding the decline of the U.S. dollar and the state of geopolitics associated with it, is by Gerald Celente, founder of the Trends Research Institute who said that “When all else fails, they take you to war.”

As the U.S. dollar continues to lose its status as the world’s premiere reserve currency, the reality of a world war seems inevitable, especially when major countries such as China, Russia and Iran are making strategic moves to bypass the U.S. dollar in favor of other currencies such as China’s ‘Petro-Yuan’. China has made the decision to price oil in their own currency the “Yuan” by a new gold-backed futures contract which will change the dynamics of the world’s economy. China is preparing to launch the petro-Yuan later this year that will eventually threaten the U.S. dollar as the world’s reserve currency.”

The Gold Market – 30 Year Log Scale Graph:

From Christopher Aaron: Gold Price Forecast – First Breakout Signal Since 2008

This is interesting analysis from Christopher Aaron!

“In sum, the leading signals of gold rising versus the broad commodity index at a major price low, the downtrend break, and the trend line retest were all sequential indicators of a significant advance in prices setting up for the future.”


From James Cook, President of Investment Rarities, Inc. – October 2017 newsletter:

“We’ve been buying back a lot of silver lately which is another sign of a bottom.”

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