Bitcoin just lost more than stocks did in the 1929 market crash. It won't be the last time.

[Yo_Mama_Been_Loggin]

October has lived up to its reputation as the month when crashes occur. Except the crash this time was in bitcoin rather than the stock market.

At one point this past Sunday, bitcoin was 15.4% below its all-time high set just a couple of days earlier. That certainly qualifies as a crash; it’s larger than the 1929 crash, when the Dow Jones Industrials Average fell 12.8%.

Many crypto enthusiasts are shocked by this drop, going to great lengths to dismiss it as a one-time event caused by idiosyncratic factors. But they are on a fool’s errand: Crashes are an inevitable feature of not just the stock market but the crypto marketplace as well.

That’s the implication of a theory developed several decades ago that was published in a 2002 letter to the scientific journal Nature — hardly where you’d expect to read about a theoretical breakthrough about market crashes. Entitled “A theory of power-law distributions in financial market fluctuations,” the researchers found that the frequency and magnitude of market crashes “are similar for different types and sizes of markets, for different market trends and even for different countries — suggesting that a generic theoretical basis may underlie these phenomena.”

https://www.msn.com/en-us/money/savingandinvesting/bitcoin-just-lost-more-than-stocks-did-in-the-1929-market-crash-it-won-t-be-the-last-time/ar-AA1OvZvZ

A fool and his money ......

[Emile]

1. Pyramid scam.

[LudwigPastorius]

2. Bitcoin crashed all the way down to where it was two weeks ago.

A single bitcoin is still up $40,780 (60%) over this same time last year.

A real "crypto enthusiast" would be well aware of how volatile it is.

[awesomerwb1]

5. We are

[JCMach1]

17. After touching an ATH where my stake sold

Like all markets you have to understand it.

Note, i will also buy back in again once it reaches a bottom. Rinse, repeat. That's how it works.

[Lovie777]

3. Isn't crypto alignment with bitcoin?....................

[awesomerwb1]

4. The energy against Bitcoin in this place is hilarious

[BannonsLiver]

6. I can't imagine why that is.

[awesomerwb1]

7. Ignorance.

[BannonsLiver]

8. Yes, I'm sure that's it.

[awesomerwb1]

9. Thanks for agreeing

[BannonsLiver]

10. Oh, I wasn't agreeing.

[awesomerwb1]

11. Oh, I know you were. Thanks and bye

[BannonsLiver]

13. Bless your heart.

[awesomerwb1]

14. Back at you sweetie

[BannonsLiver]

15. No, you hang up first! I ❤️ you the mostest!

[awesomerwb1]

19. You're missing your nappy nap!

[BannonsLiver]

20. Why would I want to nap when I can yap with a real life crypto enthusiast!

[awesomerwb1]

22. That's not what the nurse said

[BannonsLiver]

23. So is the implication that anyone not enthusiastic about crypto is old and out of touch?

That’s not very progressive of you.

[awesomerwb1]

24. lol You can make whatever assumptions/implications you want sweetie

Bless your heart.

[BannonsLiver]

25. It was pretty clear. No need to assume, sweetie.

[progressoid]

16. The actual energy consumed by bitcoin is alarming.

[awesomerwb1]

21. Nothing compared to AI

"Civilization" will need a couple hundred new nuclear reactors worldwide in the not so distant future

[Torchlight]

26. An odd non sequitur.

[progressoid]

29. Yeah,

Considering that only a handful are even being proposed in the US, and what, 2 under construction?

With AI & bitcoin usage added to the current grid, something has to give.

[JCMach1]

18. The energy against most new tech.

DU has become more and more Luddite over the years.

[BannonsLiver]

28. That's fair

Also fair: Crypto conjures up images of edgelords, soulless tech goblins and the kind of people who get off seeing baby seals clubbed to death (lack of empathy, nihilism etc.). I think you’ll find that’s why crypto is not championed here.

[hunter]

30. My "Luddite" tech is sophisticated, robust, inexpensive...

... and very effective.

I'm more likely to recognize the malevolent applications of any new technology than the beneficial uses. Unsurprisingly, to me at least, it's the malevolent and environmentally destructive applications that are most heavily promoted, all dressed up in pretty packages.

[Fiendish Thingy]

12. The Dow fell way more 12% in 1929

The Dow dropped 50% in the 2008 GFC.

A 15% drop is considered a market correction, not a crash.

[vapor2]

27. not real money

[Greg_In_SF]

31. I'll stick with

my bonds and equities!

[CanonRay]

32. No es mi problema

[WarGamer]

33. barely a correction for BTC

It sipped around 50% a few years ago