RE:AnalystsCashmeousside wrote: Probably the most ridiculous thought being perpetuated right now is that prices were too high because it was all based on speculation and now prices will be based on what companies are actually worth so they won’t go higher. Whoever believes this is overlooking the role of human psychology. The emotional, speculative, greed-driven buying will not end. People aren’t suddenly going to transform from emotional beings to logical beings overnight. It’s not like retail investors are over and now only unemotional cyborg analysts with MBAs will take their places. Speculation is the bread and butter of these stocks for the next 2-3 years minimum. This is going to translate into even greater heights for the stock price. There will also be more dips, which will kill off some of the smaller, less worthy companies eventually. But the greatest gains are to be had over the next few years while the sector is still being born. The term “overvalued” has no meaning yet because nobody will know the true value of these companies for some time. Stay on the rollercoaster, there’s another, even bigger upward climb coming.
No arguments here. Good post!