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Market watch ( Some Stock market FUD inside)

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@urun
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2 min read

Yo, some thought about the market in general.

Yesterday China release a new wave of FUD. They want to exclude stock from the US market because of Security risks.

The stock is DIDI.

China wants DIDI to go back to private or switch market place to Hong Kong stocks exchange.

Why that's huge?

Simple because the Chinese government interacts with the market in a huge way.

That screw up all investors on Chinese papers. Simple because it can happen with other companies too. Electric vehicle companies, trading ones like Alibaba and co.

IMO this FUD has a huge long-term impact because that's a fear catalyst. And fear ends up in a panic.

Supply Chain problems make everything even worse.

But that's the price of outsourcing from the last decades. Now the boomerang comes back.

So what can happen?

IMO and that's not financial advice, it can be the start of a real-world bear market and trade war, because holy shit, who wants now to invest in something? Everything depends on the Asian market. Most parts come from there.

Also, the market is huge.

The fear here spread fast, like a wildfire.


It is IMO impossible to predict what happens, but the point governments interact on the stock market is something that we saw in that way before. uncertainty is bad for long-term prices.

How can this affect crypto (mainly Bitcoin and ETH)?

Here again the Boomerang. Institutions buy into crypto and these guys are the first that dump on retails if they fear. So whales could panic too.

It can be also the other way.

" That's the End" Crypto is the solution".

I really like the second one, but IMO that's really unlikely because institutions also have their friends in politics. So why they should do it? It's all about the money.

Or like Chess, it's about winning.


"It can also have no impact on crypto. "

I would say, it can be, but doesn't have to be.

Real-world markets will be affected because of that for sure.

What's your opinion about this? I think even if china says " oh we don't do it, that was a misunderstanding", the long-term impact will be there. Those actions spend to much uncertainty.

To the end

  • What do you think about this?

Like always, Fud is Fun with D