Whilst some news is thrilling, exciting, and even funny, some trigger anger, fear, and frustrations.
Millennials and Cryptocurrency
Millennials and cryptocurrencies are a perfect match. Millennials are known to embrace everything digital, and cryptocurrencies sound like something that they would jump into.
The nature of cryptocurrencies is similar to the nature of Millennials. The crypto market is open round the clock and runs all year round. For crypto trades, you do not have to wait for official business hours to invest. This shows that the asset class of cryptocurrencies is perfect for the lifestyle of Millennials.
Millennials are also known for being over-ambitious and most likely to invest in investment vehicles that will give them high returns and quick profits. Cryptocurrencies, unlike stocks, provide just that, quick returns in a short time. For example, a millennial who invested $1000 on Bitcoin towards the end of 2020 would have earned massive returns a few months later.
Crypto Volatility Influencing U.S. Stock Market
It has also come as a surprise that crypto volatility is also affecting the U.S. stock market. Jim Cramer, a CNBC reporter, pointed out this factor by evaluating the trend of Wall Street stocks at the end of Wednesday when Bitcoin was at its lowest. Afterward, when Bitcoin started to recover a little, the stocks also gained.
According to Jim Cramer, this is an ‘insane’ trend because the two markets are totally independent. However, we could attribute it to the fact that leading Wall Street firms are venturing into crypto, which may be affecting their stock prices in case of rapid crypto movements.
Crypto Price Manipulation
Let’s end with the greatest frustration (at least that’s what I would call it) of the past week, which is Elon Musk. The billionaire’s announcement that the electric car manufacturer would no longer accept Bitcoin payments was a huge blow to the crypto space. Some even accused him of toying with people’s life savings, and I can’t disagree.
Musk’s tweet, just one tweet, moved Bitcoin from above $50,000 all the way to below $35,000. Bitcoin pulled all the other cryptos down with it, and the market lost $500 billion worth of crypto. Honestly, I cried when I saw those numbers on Wednesday. However, the future seems bright again now that Bitcoin is back to the ‘green zone.’