According to U.Today, American financial writer Robert Kiyosaki warned millions of fans on social media that there is an "everything bubble" in the U.S. stock market, bonds and real estate, and predicted that this bubble is "about to burst." He suggested that fans hedge against this possible collapse by buying precious metals (gold and silver) and Bitcoin, the largest cryptocurrency by market value.
Although many investors worry about the formation of a stock market bubble, historical data shows that their concerns are not based in reality. However, some companies have reached ridiculous valuations during the 'peer to peer' bubble phase, and this frenzy eventually turned into a severe bear market.
In 2022, Bitcoin prices plummeted along with U.S. stocks as the Federal Reserve rushed to raise interest rates to curb runaway inflation. However, Jurrien Timmer, head of global macro at Boston, recently pointed out that Bitcoin is now negatively correlated with the S&P 500.
