Insightful Word
  • Investing
  • Stock
  • Economy
  • Politics
  • Investing
  • Stock
  • Economy
  • Politics
No Result
View All Result
Insightful Word
No Result
View All Result
Home Stock

Consider reducing exposure to US stocks and Bitcoin, this analyst says

admin by admin
December 4, 2024
in Stock
0
Consider reducing exposure to US stocks and Bitcoin, this analyst says
0
SHARES
8
VIEWS
Share on FacebookShare on Twitter

Investing.com — Investors should consider paring down their positions in US equities and Bitcoin, according to a market commentary from US Tiger Securities, Inc.

While the US economy shows stability, the firm warns that elevated valuations and rising risks make these assets less attractive heading into 2025.

The firm said the CAPE (Cyclically Adjusted PE Ratio) ratio for US stocks has surpassed its 2021 highs, nearing levels last seen during the dot-com bubble.

Historically, such valuations are sid to have signaled heightened correction risks. The firm says that for example, in the early 2000s, the S&P 500 fell by over 50% from its peak and took seven years to recover.

While it’s impossible to predict whether 2025 will bring a correction or continued gains, the commentary firm notes that probabilities no longer favor investors.

They explain that the risks are compounded by potential policy uncertainties under the incoming administration, such as aggressive tariff measures, immigration policies, and the impact of the strong dollar on US exports.

Additional geopolitical and macroeconomic concerns, including Japan’s rate hikes and global retaliatory measures, further cloud the outlook.

Bitcoin, which has soared above $90,000, faces similar challenges. US Tiger Securities says that realized profits from Bitcoin sales have hit historic highs, a pattern typically associated with market peaks.

Furthermore, they believe a significant sell-off by long-term holders and heightened FOMO (fear of missing out) sentiment signal potential exhaustion in the current rally.

“Reducing positions now might be prudent,” the firm advises, noting the deteriorating risk-reward profile for both US equities and Bitcoin.

“With market uncertainty rising, the risk-reward profile is less attractive,” says Tiger Securities. “The current sell-off rate is approaching March’s levels, further supporting the notion that Bitcoin may have topped.”

This post appeared first on investing.com

Previous Post

PSQ Holdings shares dip on stock offering following Trump Jr. board addition

Next Post

European stocks climb as French no-confidence vote looms; Indian PSU banks lead gains

admin

admin

Next Post
European stocks climb as French no-confidence vote looms; Indian PSU banks lead gains

European stocks climb as French no-confidence vote looms; Indian PSU banks lead gains

Trending News

Tesla loses market share in Europe as Volkswagen and BMW dominate EV sales

Tesla loses market share in Europe as Volkswagen and BMW dominate EV sales

March 24, 2025
Here’s why the GLD ETF stock has surged to a record high

Here’s why the GLD ETF stock has surged to a record high

April 21, 2025
Asian heatwaves drive spot LNG demand, reshaping global flows

Asian heatwaves drive spot LNG demand, reshaping global flows

July 10, 2025
Subscribe to Insightful Word


    Recent News

    Dow futures soar 250 points today: 5 things to know before Wall Street opens

    Dow futures soar 250 points today: 5 things to know before Wall Street opens

    August 7, 2025
    Affirm stock price is rising: is it a buy before earnings?

    Affirm stock price is rising: is it a buy before earnings?

    August 7, 2025
    Intel stock plunges sharply after Trump calls on CEO to resign: here’s why rebound may take time

    Intel stock plunges sharply after Trump calls on CEO to resign: here’s why rebound may take time

    August 7, 2025
    Goldman Sachs boosts Nvidia price target to $200 ahead of Q2 earnings

    Goldman Sachs boosts Nvidia price target to $200 ahead of Q2 earnings

    August 7, 2025

    Recent News

    Dow futures soar 250 points today: 5 things to know before Wall Street opens

    Dow futures soar 250 points today: 5 things to know before Wall Street opens

    August 7, 2025
    Affirm stock price is rising: is it a buy before earnings?

    Affirm stock price is rising: is it a buy before earnings?

    August 7, 2025

    Latest News

    • Dow futures soar 250 points today: 5 things to know before Wall Street opens
    • Affirm stock price is rising: is it a buy before earnings?
    • Intel stock plunges sharply after Trump calls on CEO to resign: here’s why rebound may take time

    About Insightful Word

    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools
    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools

    Copyright © 2025 Insightfulword.com. All Rights Reserved.

    No Result
    View All Result
    • Investing
    • Stock
    • Economy
    • Politics

    Copyright © 2025 Insightfulword.com. All Rights Reserved.