It's kind of scary. You go to Reddit and it's full of people dumping their life savings into crypto, genuinely believing it'll bail them out.

For some reason people genuinely seem to believe that crypto will only go up, when the reality is that we have no clue.

When every average Joe thinks crypto will make them rich, it's time to dump your bags.

I dumped my BTC (2011ish early adopter) once my mom began to talk about a Bitcoin investor who played the crypto markets and made so much money at my age. My mom does not know how to format a Word file.

I just hope my parents and relatives aren't secretly stashing away their life long savings in crypto because of all the hullabaloo.

> once my mom began to talk about a Bitcoin investor

There’s an ad running on Indian TV literally of this script..Two moms are talking, while one brags about her son being in USA, buying cars etc the other’s son is seemingly trading crypto on a mobile app. The other mom then retorts “all that is fine, but have you invested in crypto?”.

It’s crazy, they are drumming up FOMO.

If you are curious and know Hindi: https://youtu.be/KKItA9fDCk4

The video could have been better without the stupid memes and just the ad, which is shocking in itself.

This .... exactly this, You did a good thing by getting out of it. When a normie on the street starts talking about crypto, it means crypto has jumped the shark and it is a pure bubble driven mainly by people's greed.

This isn't any more sound as an investment strategy than a dude is hip because they listened to band X before it was cool.

You don't own a stake in band x

https://www.investopedia.com/terms/h/herdinstinct.asp

As long as the economy stays okish, crypto might fall 50% but it will get up a bit again as well. Wait for an economic crisis to see it tank to for real. When msft drops 80%, btc will be under 5k again. It will happen. People seem to have some weird faith this time is different because covid postponed things. For now you can make a lot of money with btc weekly: it drops hard 1 or 2 times a week and then goes back up 3-4k. But when 'the normal' economy bottoms out, it will drop and the 'hodlers' will be out of trillions. If you keep that in mind: happy trading but hodlers are crazy imho.

It’s voluntary wealth redistribution. You see it every cycle. It’s fine. It’s probably core to why market economies outperform.