Speculative buying in Bitcoin and the stock market is seemingly being driven by Reddit forums dedicated to such activities. According to a report from CNBC, the subreddit forum r/wallstreetbets has been driving substantial market jumps. The feed claims to offer insight into the market, promising to help investors earn substantial returns. Bitcoin’s 8 Years Annualized Returns Beats Stock Market 10 times Charlie Bilello, founder and CEO of Compound Capital Advisors, shared data from YCharts that showed how Bitcoin brought massive returns to investors when compared to other asset classes, like stocks, bonds, gold and the US dollar. Market capitalization (often shortened to market cap) is the approximate total value of a cryptocurrency, typically shown in US dollars. The market cap of a cryptocurrency is calculated by multiplying the number of coins or tokens in existence by its current price.
Stock market bitcoin redditShould You Invest in Stocks or Bitcoin?
Federal Reserve Bank of St. Library of Congress. Securities and Exchange Commission. Guide to Bitcoin. How Bitcoin Works. Investing in Bitcoin. How to Mine Bitcoin. Other Cryptocurrencies. Full Bio Follow Linkedin. Follow Twitter. Miranda Marquit has been writing about money for The Balance since Read The Balance's editorial policies. Reviewed by. Peggy James is a CPA with 8 years of experience in corporate accounting and finance who currently works at a private university, and prior to her accounting career, she spent 18 years in newspaper advertising.
She is also a freelance writer and business consultant. Article Reviewed on October 11, Key Takeaways Bitcoin has been more volatile than stocks There is the potential for dramatic growth with Bitcoin—but also for dramatic loss Because of its uncertainty, it might make sense to limit the amount of Bitcoin in an investment portfolio.
Article Table of Contents Skip to section Expand. Bitcoin Risk vs. Stock Risk. Bitcoin History vs. Stock History. Who Is a Good Fit for Bitcoin? Manipulation, shouts that guardian of the old system, Bloomberg, whenever it mentions bitcoin or ethereum. While its younger cousin, the Motley Fool, says with glee today and as if in a chorus to forget about bitcoin and go stocks.
Yet can anyone realistically deny that the stock market is the most manipulated market on earth, and not just in regards to price setting, but also in regards to the fundamental matters of just how many stocks are out there.
Practically no one has the actual stocks, except for brokers which usually are banks, like Goldman Sachs. Who is to say how many of these stocks Sachs is double selling, triple selling, or even selling to 10 people the same stock unit? The auditors of course, like the Triple A agencies. The 18th century Congressmen maybe, who are probably old enough to not remember what they had for dinner, while the younger ones are busy caring about what color you wear.
And, even if they were all angels, there can still be a charming devil to fool them all. Because ethereum in particular but also bitcoin is still very new, it takes time to even begin appreciating the fundamental differences between the old paper system and the new crypto system.
So far in many ways the debate has generally been at a very high level and because of some of the early rhetorics, at a social level as well. The old media for example has done a very good job at smearing the new invention by covering only negative events with some commentators seething at their mouth in anger at the gal of smart young men doing things in modern ways.
Sneering remains the dominant attitude at the very grey halls, although no where near all of them because they are ultimately human systems, and there are plenty of smart humans who can see. The difference so being a very fundamental one. Subjectivity in the old system, objectivity in the new one. The sneering is too strong however, for now, for respectable companies or entrepreneurs to see that when it comes to going public, and honestly so, the blockchain is better.