Bitcoin and Stocks Trade Down in Tandem

Back doors

Financial data is pretty light as we await earnings season next week. Unfortunately, financial news is not. In the last few days we’ve seen several more major retailers announcement bankruptcies and/or store closures, as the global pandemic continues to hammer brick and mortar.

We also got the weekly unemployment claims from the United States, which are almost exactly as ugly as they’ve been for five weeks straight now.

In total, 1.314 million more American’s filed for unemployment last week. No stock rally on the news though today.

US unemployment files by week.

Even people without any financial background can clearly see the devastating impact that the virus is having on the global economy.

Workarounds

It’s not considered cheating if everyone does it together, right?

Until now, pump and dump plays in the crypto space have generally been confined to small groups on Telegram and Discord, while major viral pump and dumps were more a stock day trader thing. Well, it seems that line has finally been crossed in the weirdest way. …

TikTok takes on crypto.

Yup, you read that right. A brand new TikTok challenge has emerged, with amateur videos providing “non-financial advice” to all buy dogecoin. If we all buy it, it can go to $1, and then we all get lambos.

It seems to be working too. Dogecoin has pretty much doubled in value since the start of this week, especially when you price it in currencies like the U.S. dollar or bitcoin.

Of course, as any honorary Doge memer will tell you, one doge always equals one doge. This formula can be written mathematically as follows. …

1D = 1D

So there’s no possible way these neophyte teen TikTokers can win. They’re just chasing their tails.

Or maybe not….

We all know that in a pump and dump, there usually isn’t any value created. The one who initiates the pump generally pours their own money in to get things rolling in the beginning, but at the end, even the bag holders end up selling.

However, in the Doge case, the currency was a joke to begin with, and I’m pretty sure a lot of these people on TikTok are grade-A jokers. So this is actually a massive onboarding event. Yes, a lot of them will get hurt but many millions will likely learn more about Doge and all the other digital currencies as well.

We’d like to wish a lot of luck to global regulators to try and stop this mess. And of course to thank you for reading this message and sharing with all your family, friends, and colleagues who will love you forever for turning them on to such excellent content.

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