"Davis Double Play" : Mr. Market & Asset Bubbles
The last two weeks must be a hectic week for Crypto investors as we had seen the collapse of Luna ( A type of stable coin) which wiped out almost $40 Billion of market cap from the Crypto-market. What is Terra Luna? Why did it Crash by 99.9%? <Sources:business2community.com> As I mentioned before, Crypto as a so-called " alternative asset " class is very risky and may not be suitable for all investors, especially for those with low-risk tolerance. Bitcoin as the " King " of Crypto may not collapse like " Luna " since it still has demands on certain "usage " like "currency" for some groups of people, but we may continue to see the huge fluctuations of the price like up and down of more than +/- 50%. For some other coins like "Luna", it will not be that lucky to enjoy such "privilege" and I am sure, "Luna" will not be the last of such coins to collapse, there will still be some to follow Luna...