As Bitcoin approaches the $100,000 mark, analysts are warning that the 'market is overheating': Trump 2.0 still has concerns
The Wall Street Journal warns that investors' interest in risk assets (including Bitcoin and stocks) is nearing bubble levels seen in 2021. The hype at that time indeed brought investors a brief but massive profit, but it also laid the groundwork for the punitive bear market of 2022. Just like back then, valuations in certain sectors of the U.S. stock market are now clearly elevated, such as the automotive-focused e-commerce company Carvana, whose stock price has surged 370% this year.
Chipoloni stated that while it's still unclear whether the exuberant investor sentiment has reached a dangerous level, the enthusiasm and restless sentiment in the market are indeed very strong compared to a month ago. Citigroup's Scott Chronert also pointed out that Citigroup's preferred gauge of U.S. stock market sentiment—the Levkovitch Index—has surged sharply in recent weeks. Although this index is still far below the highs of 2021, Citigroup has adopted a more cautious outlook on the market's next steps.
Beam Capital Management fund manager Mohannad Aama indicated that the biggest issue now is the yield, as the Federal Reserve is easing policies while yields continue to rise, which is indeed a dilemma. Especially since stocks and Bitcoin have not succumbed to the pressures of rising borrowing costs, instead continuing to ride the 'Trump trade' wave, with the pricing of both stocks and Bitcoin tending towards perfection. However, Aama also warned that if corporate earnings fail to meet investor expectations, or if Trump does not fulfill the promise of establishing a 'national Bitcoin reserve,' both markets could face difficulties.
Those who did not see bullish trends during bear markets have no right to be bearish during bull markets. So, the conclusion is to continue rising 🤣🤣🤣
The biggest potential stock in this bull market, the Musk concept coin, #Marvin
Also, the dog that doesn't bark, still Musk's favorite dog, with a very high appearance rate, currently collaborating with Floki market maker CLS, plus the ongoing community building, the next Shib is definitely not impossible!
