Posted on 06/12/2022 8:24:02 PM PDT by C210N
I still dont know what it is, therefore I will never invest in it.
(Easy come, easy go)
Bobby Sherman
Indeed
D’oh!
(nice post)
(September)
I’m usually wary of September / October with financial markets.
The shock waves already seen this year have certainly grabbed my attention.
Buying because the prices are at a record high is stupid.
Fiat 2023 dollars should be perfect for keeping warm. Furthermore, for the room walls of a kid studying finances, it would be magnificent wallpaper.
Inflation Calculator
If in
1983
I purchased an item for $
16.00
then in
2022
that same item would cost:
$46.96
Cumulative rate of inflation:
193.5%
https://www.usinflationcalculator.com/
BTC futures just went into the $23K range. When they hit 20K, that company that bought tens of millions of dollars of Bitcoins will have the mother of all margin calls and will probably be forced to sell, plunging the price below 20K.
“Paper silver drives the price today. “
Gold and silver bugs love to point to all the short positions in silver and gold and exclaim those are pressing the prices down. That is because they are ignorant of how things work in the real world. Miners of gold and silver use an investment bank like JP Morgan to go short in the futures market to lock in prices, of delivery of actual metal against those short positions upon expiration. So they are ALWAYS massively short. Those custodial accounts show up on JP Morgan’s books, and that make the gold bug types go coo-coo and exclaim that JP Morgan is heavily shorting gold and silver, keeping the price low.
If those massive short positions were really JP Morgans, the P/L of those positions would show up in their SEC quarterly reports when they would have to mark to market and report any profits or losses. When silver had that run to $50 years ago, and all the silver bugs were yapping about short squeezing JP Morgan, that never happened. I checked myself. If a miner (commercial) is short silver at $25 and the price shoots up to $50, the miner will only lose potential profits, not real losses since they will be delivering 1000 oz of real metal at expiration. Totally different scenario than for a spec trader.
Terrible return on that investment…
“Terrible return on that investment…”
In 1983 I bought 2x 100oz silver bars at $16 per ounce. When silver went down to $5 an ounce, I used one as a door stop for fun
Silver has a run up to 42 dollars an ounce about 9 years ago. I should have sold them.
—”crypto is returning to its intrinsic value.”
A perfect response!
And as most know, “there is no there there”
What was the percentage increase on the DOW from 1983 to current? 1,268 - 31,xxx
What was the increase on a commodity such as oil from 1983 to current?
What was the increase on home prices from 1983 to current?
“Cumulative rate of inflation: 193.5%”
The increase on median hourly wages from 1983 to current was 292%. 1983 $8, 2022 $27.33.
You are not supposed to just stick dollars in a shoe box and do a Rip Van Winkle.
—” I read about a struggling musician who made $140,000 selling off some of his tunes as NFTs. I am glad he got while the getting wuz good.”
Those transactions are typically settled in crypto!
Buy the rumor, sell the news!
—”When I was still quite young in 1980, my father urged me to sell the coins when silver reached $50 per ounce.”
Years ago I noticed some coffee cans on the top of my parent’s refrigerator? They were full of silver coins!!!
Yer brother told her many years before to save the silver coins.
I ask my mother age 90 about the silver coins on the fridge?
She knew the price had spiked... so every time the grandkids came by she gave them a hand full to purchase a popsicle!!!
Not my kids, sister’s kids that lived down the street.
That was the general idea. You would purchase $20 of bitcoin for example and spend the next month or two paying a few pennies a pop to read newspaper or magazine articles.
Everybody was to be happy under this arrangement. Content creators would get their revenue and consumers would be able to read articles "a la carte" without having to have monthly subscriptions for every publication (which nobody can afford).
Those micropayments add up too. If a content provider charged .04 per article (four cents) and got a hundred thousand views on it, that would be $4,000. Multiply that by 20 or so articles a month and you are starting to talk real money. Especially if you can attract millions of readers.
Somehow bitcoin went in a totally different direction and became an investment vehicle for some reason.
Everyone cashing out to buy beans, bullets and band-aids.
Large mammals break down quick when buried in a pile of sawdust. Horses, cows, goats etc etc.
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