Michael Burry

Speculative markets (crypto and meme stocks) are heading for a historic crash that will inflict huge losses on retail investors.

“All hype/speculation is doing is drawing in retail before the mother of all crashes”

Said on

17 June 2021 · Post on Twitter (later deleted), in a thread warning about crypto and meme-stock speculation

Source

Michael Burry's 'Mother of all Crashes' Warning is Still in Play — 3 Stocks he's Bullish On · The Wealth Advisor

Should come true

No date given

How sure they sounded

stated as fact

Categories

MarketsCrypto

Importance

3 of 5 · A crash in crypto and meme stocks would wipe out large amounts of retail wealth across the US and beyond.

Outcome

Accurate Happened 9 November 2022.

No window was given; the inferred window is about two years (to mid-2023). In 2022 the speculative assets he named collapsed: bitcoin fell about 64% from its November 2021 peak, and the crypto market lost over $2 trillion through the Terra, lender and FTX failures, causing heavy retail losses. "Mother of all crashes" is hyperbole, but the crash in speculative markets he described did happen.

Evidence:

• https://coinmarketcap.com/academy/vi/article/bitcoin-in-2022-a-year-to-forget
• https://forklog.com/en/2022-in-figures-bitcoin-crash-ftx-collapse-and-the-rise-of-l2-solutions/