Memes are adding more fuel to the financial markets fire.
Look, we all love a good meme right. I know I do. But, what happens when a meme infiltrates normie reality. We sort of have seen it for the past four years, but what does it look like in the financial markets? Lets talk three quick examples
In case you weren’t aware, there is a whole meme subreddit dedicated to the stock market. Well, they decided to meme GameStop, which already was approaching collapse, into superstardom. People in the actual market are pissed. Everyone is confused. Chaos reigns.
What I find interesting about this (and sort of a similar story for my next two examples), if your market cap is in the toilet, there is enough people with enough….moderate wealth(?) to be able to fling up a stock price as a joke alone.
I feel like there is a bigger point about the nature of wealth in the world right now, but lets move on to the next example.
This one isn’t even like meme lords flexing power per-se, this is like hypetrains going meme. Tesla has great technology, and talking heads debate the possibility of this being a true picture of value. But, there is an actual reason why there is that much value. Its cause the figure head is Ol Incel Memes himself.
Fuckin, you know this valuation is about how much the internet loves Elon’s bullshit. You put ANYONE else as the head of that company (and they almost did) and that thing ain’t got not $700B valuation. And the more bullshit he says, the more it seems to go up. At least with Gamestop, you kinda know the endgame. A company that has completely shit fundamentals cant live forever (maybe?) on booming stock price alone. This…I have no idea where telsa goes from here, but I expect it to be stupid.
K, one more. And we got a fun comparison here.
Bitcoin’s recent rise is the same as the other two. I dont believe for a second that anyone in power will ever let Bitcoin become the dominate currency of the world, or, even dumber, when the world collapses people will only use bitcoin. News flash, if the world collapses, first server farm that is turning off is the bitcoin miners.
But it continues climbing and the hodl gang is still out there. They out there to the point where my backwoods relatives have been calling me asking if they should take down mortgages on their house and put it into bitcoin. Fuckin old cajuns from the backwoods are starting to hear about it just from internet hype.
I have a theory on what all this means, and it goes in line with what i have talked about before. The function of assets as a store of value is fucked. There is SO MUCH excess money out there, taken out of the value of the workforce, it has to go somewhere. We have a record amount of loose cash just sitting around, and no where to invest it.
I think this is just another symptom of the bigger disease. The fact that you can meme value into existence shows how useless valuations have become. Something can be worth nothing today and then all of a sudden has value because of a shitty jpeg on the internet.
Its all part of the same problem. Basic items (cars, tv, services) just dont have the same value as shit that you dont have to pay for the same traditional way (stocks, crypto, homes). Anything that could technically hold value is holding an infinite amount of value cause nothing is forcing it to be reasonable.
And who suffers for all this, of course its poor people. People who don’t have enough real world money to level off this funhouse of stupidity.
What happens when it goes down? I don’t fucking know. For now though, the memsider traders are definitely here to stay. And its only going to get stupider. Here’s hope your shit doesn’t become the next joke.