Paul Mampilly Warns Investors against Investing in Bitcoin

Paul Mampilly is a Wall Street guru who has shifted focus from helping the wealthy gain more money to helping the vast majority become financially independent. Mampilly is an author at Banyan Hill Publishing and uses the platform to educate people on investment issue. Paul Mampilly in one of his investment newsletter articles is cautioning investors against investing in Bitcoin and other cryptocurrencies such as Ethereum. Cryptocurrencies late last year were in a bubble. Many people who had invested in Bitcoin made millions of dollars as the value increased by more than 1,172 percent. Bitcoin went as high as being valued at 11,000 dollars. Things did not stop there as the prices escalated further by 50 percent and 17 percent respectively.

The sudden market bubble in Bitcoin Paul Mampilly equates it to the bubble that occurred in the US at the end of 1999. According to Mampilly, several firms’ stock prices increased by huge percentages, for instance, Qualcomm Inc stock price rose by 2619 percent. Other 12 Nasdaq listed companies also enjoyed a 1000 percent increase in the value of their stocks, and seven others experienced a stock rise of 900 percent. Mampilly knew that this was the right time to dispose of all his investment stock and that is what he did. Mampilly began to watch the stock market that continued to make incredible gains of 20, 30 and 50 percent on a daily basis.

Mampilly thought that he had made the wrong investment decision, but things turned in his favor in the following two consecutive years 2000 and 2001. The stocks started depreciating. Paul Mampilly believes the current bubble in the cryptocurrency market will eventually crash. Market bubbles are so good that nobody wants to get out such times , Paul Mampilly says. People continue to hold their stocks waiting for the peak time to sell but as they continue to wait, the market comes to a sudden crash, and all of what they had gain is all erased to nothing. According to Mampilly when there is such a market bubble what people need to do is sell all their stocks and wait until the market becomes stable again.

Source of the article : https://ideamensch.com/paul-mampilly/

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