US stocks hit “Black Monday”, a drop far more than cryptocurrencies

nBankruptcy commentary: In the past few weeks, due to continued decline in cryptocurrency market, many major media have claimed that the market bubble has burst. The media, while emphasizing cryptocurrency fluctuations, often said it would be safer to invest in traditional stock financial markets, but on Monday, the Dow Jones Industrial Average was down 1175 points, losing value one day more than the entire cryptocurrency market in the past Six weeks more damage. Therefore, while investors should be aware of the risks of encrypting monetary investments, this does not mean that traditional investment vehicles are absolutely safe.n
nTranslation: Inan
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2018 “Black Monday”n
February 5 is undoubtedly the “Black Monday” in 2018, losing billions of dollars on that day for global stocks and the entire digital currency ecosystem. The Dow Jones Industrial Average and most of the world’s stock plunged at 2:40 p.m. EDT on February 5, more than the 2008 economic crisis. The stock market decline of the day not only reminded us of the situation in 2008, but also closely resembled “Black Monday” in 1929, 1987 and 2000. Although the mainstream media did not immediately siphon the stock market, it is important to note that the loss of the Dow Jones index during this one trading day surpassed that of the entire cryptocurrency market since 2018.n

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It has been reported that a fall in the stock market led to the flow of funds to encrypted currency investmentsn
Financial Insider, Business Insider, released a report saying “funds poured into the cryptocurrency market during the slump in the stock market.” The Dow Jones index plummeted at 2:40 p.m. EST, according to Coinmarketcap. The total market value of cryptocurrencies rose 7% in an hour.n
The report wrote: “Last week, cryptocurrencies were hit hard with the stock market.”n
n”But the stock market’s continued rally on Monday seems to have turned some investors into digital currency to find a safe haven.”n
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The BTC / USD market was already down 20% in 24 hours. The transaction price dropped to $ 5,900 and the market value dropped by $ 18.0 billion. However, after Black Monday, the BTC market rebounded sharply and the transaction price rose above $ 7,200. The Dow Jones index hit another hit on Tuesday, opening 500 points but then rebounded to recover most of the loss in early trading. However, the Dow, the S u0026 P 500, the Nasdaq and a host of traditional investments remain disturbing. The Dow Jones index started a slight rebound, but other mainstream investment vehicles were still in decline. And, European stock markets also began to decline rapidly following the pace of the U.S. and Asian markets.n
In the past week, mainstream news outlets all claimed that “Bitcoin is dead” and that the market will never regain its past glory. At least seven articles a day say Bitcoin was “finished” from January of this year. The media’s dream of declaring the currency encrypted without any hesitation has come to an end and many columnists have urged people to sell their cryptocurrencies.n
On Tuesday, February 6, although the mainstream media held a negative view on the stock market, few reported that the stock market was going to “collapse” or “the stock market bubble has burst.” The mainstream media can not easily say that the traditional market is “dying”, but has no scruples when it distributes negative news in the cryptocurrency space.n
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Stock markets may be more dangerous than cryptocurrenciesn
In fact, stocks, bonds and currencies issued by the country are subject to significant volatility. In some countries, the monetary value is very low. Even when local residents pay for cash, they even have to give a few bags of money. Moreover, the stock market can cause major disruption to retail investors and is even more dangerous than the digital currency ecosystem the government warns about. The collapse of the stock market may lead to the collapse of the entire real estate market, a large number of banks closed.n
US regulators mentioned at a parliamentary hearing this week that cryptocurrencies could bring “danger” to retail investors, though they did not mention that a regulated central market could be even more dangerous.n

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