This post The Three Stages of Investment Booms appeared first on Daily Reckoning.
The boom in cryptocurrencies is following the same script that has played out over, over and over again.
You see, every boom follows a sequence of three stages. Every single boom throughout history has followed this script.
The stock market boom in the roaring ’20s… the tech boom in the 1990s… the housing boom in the 2000s.
And now the booming cryptocurrency market is following this exact same 3-step script.
First, only early enthusiasts are courageous enough to invest in the new trend. That’s stage 1.
Then, institutional investors (the so-called “smart money”) jump in. That’s stage 2.
Finally, the public joins the party, triggering a massive explosion in price. That’s stage 3.
If you know how to use this roadmap, you could make an absolute fortune. And to help you understand how this 1-2-3 sequence works, let me show you what happened during the 1990s boom in tech stocks.
In the mid-1990s, most people didn’t even know what the internet was. In 1994, the morning show NBC’s Today had a segment where one of the anchors asked, “What is the internet, anyway?”
While most people were dismissing the technology as a fad, early adopters like myself were heavily investing in it. In 1995, I correctly predicted every company would need a website. So I started my first internet company to help big corporations get online.
That’s how I ended up building the first websites for American Express, HBO, Sony and Disney, among others.
That was stage 1 of the boom.
Only when Netscape went public in late 1995 did people outside Silicon Valley start taking the internet seriously. That’s when institutional investors started joining the party, with pension funds and venture capitalists making a fortune when companies like Yahoo and Amazon went public.
The additional flow of money from the “smart money” helped pushed tech stocks even higher. That was stage 2 of the boom.
But the public was still not participating.
In June 1998, for example, mainstream economist Paul Krugman predicted the internet’s impact on the economy would be no greater than the fax machine. It wasn’t until 1999 that the masses finally started to invest heavily in tech stocks.
With more people jumping into the market, tech stocks jumped even higher, attracting more and more people wanting to get a piece of the action.
And that was the third and most explosive stage of the boom, with the Nasdaq soaring more than 85% in 1999 alone.
I’m telling you this because my research shows that cryptocurrencies are following this exact same script…
First, early enthusiasts, then, institutional investors, and finally the public. Where are cryptocurrencies right now?
In stage two of the boom.
The public is still not invested. That’s why right now is so special. If you get in before the masses, you could see astronomical gains.
And to help my readers take advantage of this generational opportunity, I’ve organized a very special team.
Using my network, I’ve located a small group of experts and hired them to also take a look inside …read more
Source:: Daily Reckoning feed
The post The Three Stages of Investment Booms appeared first on Junior Mining Analyst.