The power of fear is amazing to me.
For the most part, otherwise sane individuals will do all sorts of crazy things once things become a little bit dicey.
Want proof? Look no further than the gold market. How else can you explain the massive move in an otherwise worthless metal over the last decade? And then there's Bitcoin, the digital currency. I'll get to that in a second.
If you are honest, ask yourself what real utility is there for gold? Don't recite what the so-called analysts or experts tell you about gold being the only real currency in the world (it is not). Those folks will tell you that gold is the only thing that will protect you and your family when things go horribly wrong (fear mongering).
Really, what do you think the world is going to be like if things do really go horribly wrong? I highly doubt that gold bar will get you much if chaos truly takes hold.
Presses printing money
How about inflation?
Those who love gold spew all sorts of nonsense about inflation -- again, all of it is fear-based.
The global powers are printing money across the globe. All that money is going to make paper currency worthless. Prices across the board are going to rise in an unrelenting, unstoppable wave of inflation.
Oh, really?
If there is so much cash out there. Where in the world is it? I know I don't have it, do you?
For inflation to truly take hold there needs to be cash dispersed to the masses. That isn't happening. Not even close.
I'm sorry, but aside from being used in jewelry, gold does not have the utility the market is telling you today, even with the recent selling.
Sure there has been a ton of money made owning gold over the last decade, but that has little to do with true value of gold in a market. What it does tell you is that there is a ton of fear out there and that fear can create a massive bubble in any investment.
The hot new currency
Take for example, hmmm . . . let me see . . . Bitcoin.
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