Trading Ideas
The China Crypto Ban Tanked the Market… But a Recovery Is Coming
News of a China crypto ban positively rocked the markets. Bitcoin experienced a 40% crash in value. And the crypto market as a whole underwent an estimated $1 trillion loss in market cap. Anyone that’s been in the crypto game for a while knows that investors can be a reactionary bunch. And the crypto crash obviously spooked some investors. This is a perfect example of knee-jerk selling. However, it also means that the correction should be corrected pretty quickly.
Here’s the Reuters headline that sparked it all:
China bans financial, payment institutions from cryptocurrency business
This headline was the second of a one-two …read more […]
What is Investment Risk?
Everyone understands the concept of risk, even from childhood. But most of us think of risk in the tangible sense: something that happens right away. Investment risk is different. What is investment risk? It’s a concept that can take years (even decades) to play out. Moreover, investment risk isn’t any one specific thing: it’s actually a collection of factors under the umbrella of “investment risk.”
It’s difficult for many people to understand investment risk until they’ve suffered from it. Hindsight is 20/20! That’s why it’s so important for new investors to get acquainted with risk before they choose where to put …read more […]
