₦airaland Forum

skywalker240:
Learn a vocation or skill, school is not everything.

True

Will you be wealthy if you just made a more money??

Well

80% of NFL players are in financial distress just 2 years after retirement

60% of NBA players are broke within 5 years of leaving the league

70% of lottery winners go broke within a couple of years

It’s never just what you make, it’s what you keep and how you keep it

Your personal finance is your responsibility.
Listen to this episode of wealth hackers daily podcast on wealth hacks
Subscriber and join us on Twitter or telegram as we discuss key issue about the financial markets and financial well-being L.

MasonKendall:
na which wallet you dey use?

Trove Wallet

Valwezzy:
Mama, Hope you won't come here to tell us "I told you so" when XRP finally moons?

No, I sold off at 750, now the price is 457

Strippy

Many people here don't know basic rules and regulations of trading crypto they are just looking to get rich quick


Even those with "predictions"

They'll just "predict" that xyz coin would get to 123 price

It would get there and they'll feel like geniuses

Rubbish

Only God knows how many people have "predicted" that BTC would get to 100k

When it finally reaches, they'll say "sheyb I said it"

Anybody can actually come and openly "predict" anything.

Predict or not, BTC would definitely hit 100k at one stage or another

I am buying more of xrp from the profit I made yesterday, I have a feeling xrp will moon

Market update: After all the FUD, China bought shit loads of Bitcoin and Elon turns back to positive.

And you were scared to hold and many have sold the dip in fear.. Right?

Same thing every damn time. That's why we buy when everyone is too scared.Hope you followed our buy signals!

For now, keep an eye on 42k next. If we can get above 43K this week that'd be super bullish on low timeframes.

Also, it looks like a reversal bottom, however we can be sure once Bitcoin breaks above 42k resistance!

#BTC net transfer vol from exchanges just flipped negative again.

emmanuelewumi:
What are the characteristics of bubble assets?

Let us share our thoughts

BY KIMBERLY AMADEO REVIEWED BY
ERIC ESTEVEZ
Updated November 30, 2020
An asset bubble is when assets such as housing, stocks, or ​gold dramatically rise in price over a short period that is not supported by the value of the product. The hallmark of a bubble is irrational exuberance—a phenomenon when everyone is buying up a particular asset. When investors flock to an asset class, such as real estate, its demand and price increases.1

During a bubble, investors continue to bid-up the price of an asset beyond any real, sustainable value. Eventually, the bubble "bursts" when prices crash, demand falls, and the outcome is often reduced business and household spending and a potential decline in the economy. Understanding the causes and historical trends of asset bubbles can keep you from contributing and falling victim to a future one.

Irrational exuberance is a common sign of an ongoing asset bubble.

Causes of an Asset Bubble
Three chief conditions contribute to irrational exuberance and subsequent asset inflation:

Low-interest rates: They make it easy to borrow money cheaply, which boosts investment spending.1 However, investors cannot receive a good return on their investments at these rates, so they move their money into higher-yield, higher-risk asset classes, spiking asset prices.2   
Demand-pull inflation: This occurs when buyers' demand for an asset exceeds the available supply of that asset. As asset prices rise, everyone wants to get in on the profits.3
Asset shortage: This is when investors think that there is not enough of a given asset to go around. Such shortages make asset bubbles more likely because the imbalance between supply and demand leads prices to appreciate beyond the asset's value.4
2005 Housing Bubble
The asset bubble that occurred in real estate in 2005 was fueled by credit default swaps that were used to insure derivatives such as mortgage-backed securities and collateralized debt obligations (CDOs). Hedge fund managers created a huge demand for these supposedly risk-free securities, which in turn boosted demand for the mortgages that backed them. To meet this demand for mortgages, banks and mortgage brokers offered home loans to just about anyone. That drove up demand for housing and increased home prices.5

When the homebuilders finally caught up with demand, housing prices started to fall in 2006.6 That burst the asset bubble and created the subprime mortgage crisis in 2007, which in turn led to the global financial crisis in 2008. 7 8

2008 Oil Asset Bubble
The asset bubble that occurred between 2007 and 2008 affected oil prices. Global production of oil fell from 2005 to 2007, in part because of a decline in depleted oil fields in Saudi Arabia. At the same time, demand for oil grew. China was one of the biggest consumers, using 870,000 barrels of oil a day in 2007. The below-average oil supply led to dramatic price increases between late 2007 and the first half of 2008. By July 2008, oil prices had reached a record of $145 per barrel.9

2011 Gold Asset Bubble
Gold prices started rising in 2008. Investors bought it as a hedge against the global financial crisis, not for its value in producing jewelry or dental fillings. Many thought the global economy would recover quickly. When it didn't, gold speculation continued, and prices rose for three more years. The commodity reached a record high of $1,917.90 an ounce in August 2011.10 However, they fell to below $1,600 in 2012.11

2012 Treasury Notes Bubble
To boost the economy following the global financial crisis, the Federal Reserve started a new round of an economic stimulus program known as quantitative easing, buying $85 billion a month in treasuries in September 2012, reducing interest rates.12 Yield rates followed suit; on June 1, 2012, yields on 10-year Treasury notes closed at 1.47%.13

That same day, investors sold off stocks amidst fears of high unemployment and the worsening of the eurozone debt crisis, driving the Dow down 275 points.14 They turned to safe-haven Treasury notes instead.

However, by 2013, interest rates started to rise as the Fed hinted it would begin winding down its purchases of treasury notes in September.15 16 Treasury yields rose about 75% between May and July. The Federal Reserve postponed its intended course of action when the government shut down in October. Therefore, the yield on the 10-year Treasury remained at around 2.5%–2.8%.17 

2013 Stock Market Bubble
The stock market took off in 2013. The Dow Jones Industrial Average experienced a gain of 26.50%—its largest in 18 years. The S&P had its best year since 1997, posting gains of 32.39%. Rising corporate profits, a product of cost-cutting and productivity increases, drove up stock prices. However, companies stockpiled the earnings rather than reinvested them.18

Demand for many consumer products was also weak because unemployment was still high (above 7%), and wages were low.19 In May, the Federal Reserve hinted that it would taper quantitative easing, which put a brief damper on the market. However, more pronounced economic weakening occurred in early 2014; stocks fell sharply in January. The high value of the U.S. dollar relative to regional currencies played a role in lower returns for U.S. investors. Although the stock market rallied in February, GDP growth for the first quarter stood at an annualized rate of -0.29%.20

2014 and 2015 U.S. Dollar Bubble
In late October 2014, when the Federal Reserve announced that quantitative easing would end, Forex traders stampeded into the dollar, causing it to soar.21 22

At the same time, the European Central Bank stated it would start quantitative easing, so U.S. GDP improved to an annualized rate of 4.6%. All this reflected American economic strength combined with weakness in the European Union and emerging markets, especially China.20

However, the strong dollar hurt exports, which reduced U.S. GDP in 2014 and 2015.23 It also aggravated a drop in oil prices, which fell to a six-year low in the third quarter of 2015.24

2017 Bitcoin Asset Bubble
Bitcoin is a digital currency—a computer-based form of monetary exchange. No government or central bank will control, manufacture, or regulate it. In September 2015, the U.S. Commodity Futures Trading Commission designated Bitcoin as a commodity.25 Its stratospheric rise in 2017 was in part because Japan's Financial Services Agency recognized it as a legitimate payment method in April.26 Japanese traders comprise 60% of the entire market.27

In 2017, the price of Bitcoin rose over 1300% from its opening price at the start of January to its closing price at the end of December. In addition, its total market value was $16 billion at the beginning of the year and $229 billion by the year's end. On November 29, 2017, the price of a single Bitcoin reached a record high of over $11,500. Hours later, it fell to around $9,600.28 

New Stock Market Asset Bubble
Despite market volatility following recovery from the global financial crisis, historically low-interest rates, increased consumer spending and higher business profits, a shift from investment in real estate to stocks, and low inflation and savings rates have contributed to soaring stock prices since 2017.29

The Dow rose above 21,000 in mid-2017. While it declined in early, mid-, and again in late 2018 amid trade tensions between the U.S. and China, the market rallied each time. The Dow is over 28,900 as of January 2020.14 The surge has increased worry among economists of a potential stock market bubble that could be headed for a burst. The burst is expected to come either as a market correction amounting to a decline of around 20%, or a larger crash. But the upswings and downswings make it hard to predict which form it will take—and when.

When a stock market asset bubble bursts in the form of a market crash, the outcome is often an economic depression.

Emerging Student Loan Bubble
Students have been racking up debt over the last 15 years. The typical student took out a loan of between $20,000 and $24,999 in 2018 compared with only $17,172 in 2005. High debt has been accompanied by a high delinquency rate. In 2018, 10% of adults with a bachelor's degree were behind on payments; the rate was 37% for students with associate's degrees.30

Some economists fear the burst of this asset bubble above all because it could have devastating consequences for the next generation. Students with sizable outstanding debt and limited government support may have to delay marriage, growing a family, buying property, or switching to a different career.29

Protecting Yourself from Asset Bubbles
While an asset bubble can have a few primary causes, such as low-interest rates, demand-pull inflation, and asset shortage, one of the key signs to watch out for is irrational exuberance. If you think the value of an asset doesn't justify the hysteria, avoid buying it purely because it seems profitable. Often, the price will keep increasing for years. The problem is that it is tough to time asset bubbles and their subsequent burst.

Instead, opt for a well-diversified portfolio of investments. Diversification means a balanced mix of stocks, bonds, commodities, and even equity in your home. Revisit your asset allocation occasionally to make sure that it is still balanced. If there is an asset bubble in gold or even housing, it will drive up the percentage you have in that asset class. That's the time to sell. Work with a qualified financial planner, and you won't get caught up in irrational exuberance and fall prey to asset bubbles.31

emmanuelewumi:
Bubble assets are usually volatile.

The prices increase as a result of greed and optimism, not because of the earning ability and growth of the earnings of such assets.

They need to get more greater fools to join the train

Income or earnings of such assets does not justify the prices of the assets.

More than 98% of people who hold such assets hope to make money from the capital appreciation of the assets

They create money out thin air for the piooner or early buyers of such assets.

On the long run more than 98% of the buyers of such assets will lose money.

Buyers of bubble assets have no regards for risk management, a good number invest substantial percentage of their networth on such assets.

It is common among those who want easy money and people who believe in miracles.

Sh!t coin is a very good example

Lazyyouth4u:
I remember when I mentioned here how foolish it is to give money to some small boys to invest and some idiots here were insulting me. How can you look at a 21 year old boy and give him your money to go and invest? That is even worse than stupidity.

Na the idiots wey dey give their life savings to some of those fintechs with inexperienced small boys claiming to be expert investors that can make above market returns I dey pity. Premium tears loading......

Mention the fintechs no be say tomorrow come you go say " I said it here"

If #TLM breaks out the Trend Line and horizontal resistance zone, I’ll buy it after confirmation �

Mumben:
to b very honest with you, d only thing I know is that d coin kept going up when btcee was dipping. I guess I need to do more research

Do what's suits you

Cowbell521:
Madam, NO... No do am. Buy and keep be the best U fit do.. Trading heartbreak fit break person..... Best na to invest and leave am for months/years

For example, na just buy and keep I dey do b4 but D when I discovered this thread 4 months ago, I don lose over $10k..... And na because I dey day trade/ week trade...... My advice be say make you wait make this whole bear market end then invest.

Look for business to dey do. So even if Bitcoin fail you, money go dey come from business. Na the wisdom wey Yoruba people wey dey hie no get I dey give you so

This is a bad advise, this is the time she is suppose to invest, because it will test her patience and emotions which is a Hallmark of a good trader, when she puts $50 and it turns to $25 or even $5, will she shout, scream, get angry, cry or call it a scam or would she rather remain calm and understand it's a business man risk to lose money?

yazga:
Yes, you can. Abies2d is a full time mom, she is a scalper,
Trader,
Sh!t coin ambassador
Moonshoot specialist and an investor. She started with $100, I read her journey into the crypto world on Telegram.

She should also share how she also lost money, it's not always roses as we paint it here. Sailor1
Jedisco
Openheaven2019, myself inclusive & other have lost money to this market. Let's also share our rough time in this market.

emmyniftyyem:
Hope to refer to this some day soon.

You will

Mumben:
Wow, I am motivated by ur experience, I shall give it a try. I am actually eyeing matic for now. Waiting for a dip to hop in

Good, may I ask you what you know about the coin
The market cap
Circulating supply
Use case
Those behind the project

[quote author=elmoduddah post=102053714]

Sometimes your mood gets messed up by the market and you might not handle things properly at home.

This amplifies the mastering of emotions

This is having a plan or strategy

Like they have said, for your peace of mind, set a daily target of 5-10%

.

This is exiting the market

Once you hit it, leave the market.

daily target of 5% using $100 will give you a total of $432 (your capital inclusive).

it should be 135

A profit of $330 is N160,000. Cool money from just that small capital. Not easy but you can do it. Read, research, ask questions.

That’s my current trading style, so i can focus on my main business and have time for my family

Mumben:
To all d crypto traders in d house, please I have a serious question. Can one trade crypto as a full time job? Like how much capital will one require to be able to generate reasonable amount of profit weekly or monthly? Please help a confused Mum. I am currently unemployed so my reason for asking.

I am laughing because I am very sure they told you people are making millions in this market hence the need to be a full time trader.

The capital to start with is pocket dependent. $100 depends on the coin you invest in some coin can do 1345%, yeah, are you suprised? This is crypto the profit are abnormal and the losses are equally abnormal.

Read from page one to this current page, you will see valuable information which would guide you.

There is no need to re-invent the wheels when it comes to investment; simply do what wealthy people have successfully done over the years.

Determine your risk appetite and go for what works for you:
Low Risk = Treasury Bills, Mutual Funds, Fixed Income, Bonds...

Medium Risk = Real Estate Ownership, REITs...

High Risk = Stocks, Establish a business...

Super dangerous Risk= crypto...

One of my mentors always says: If you're too careful, you'll be careless!

Good afternoon

What's the solution

hectorswag:
Facts! Life is too transient to spend it wasting away like that

True

Carbonated:
Oh okay thank you, Pls can you enlighten me on It?

try youtube

Carbonated:
Pls house, Which one should I choose??

Don't use the voucher

By the time you realize that this is just a normal correction and not the end of the bullrun, it will probably be too late to « buy the dip ».

OscarJaden:
They won't let someone hear word because of 2004 Corolla

You don't even have a wheelbarrow

_Good day Intellectuals. This piece will be helpful_

In view of the recent gas explosions in Abeokuta & environs. It is wise that we take note of our gas cylinder expiry date...

*GAS CYLINDER SAFETY:*

_HOW TO KNOW YOUR GAS CYLINDER EXPIRY DATE._

Expired cylinder can explode any time once the expiration date elapses and that makes it a time bomb. Each gas cylinder’s Expiring date is coded on the side of the cylinder in alphabetical order. A,B,C,D in quarters.

A is for March, 1st Qtr

B is for June, 2nd Qtr

C is for Sept, 3rd Qtr

D is for Dec, 4th Qtr

There are some two digit numbers that follows. Example: D06. So if you have D06 on your cylinder, it means that it has expired Dec 2006, and if it is A22, it is going to expire in March 2022.

*You can save a life today by sharing this vital information. Don’t just read and shout please. Rush and check yours. Safety first and always.*