The US stock market and the crypto world may seem like two different markets, but their underlying logic is actually interconnected.



They are both processes of value discovery and re-pricing. In the stock market, a company's valuation is reassessed from being undervalued to its true worth, driven by earnings data, strategic adjustments, and changes in market expectations. The same applies to the crypto world—moving from obscure coins to popular tracks, driven by technological advancements, application implementation, and capital inflows.

Behaviorally, they are also similar. Retail investors chase gains and sell off, institutions strategize, and capital flows drive price volatility—this works in Nasdaq and is equally applicable in the crypto market. Cycles, sentiment, and capital games are universal rules of the game.

The only difference is: the stock market has better regulation, higher transparency, and relatively milder volatility; the crypto market is an emerging market, rules are still being explored, information gaps are larger, and price swings are more intense. But essentially? Both are about voting with money.
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 7
  • Repost
  • Share
Comment
0/400
GasFeeNightmarevip
· 8h ago
The crypto world is just the stock market with a different disguise; it's all about getting taken for a ride.
View OriginalReply0
SandwichTradervip
· 8h ago
That's right, it's just a game of capital. The high volatility in the crypto market is because no one is regulating it, which actually tests your mentality more.
View OriginalReply0
TestnetNomadvip
· 8h ago
The stock market and the crypto circle are basically the same game, just that players in the crypto circle are a bit more reckless. --- Poor regulation, information asymmetry, and wild volatility... makes the crypto circle more exciting than the stock market. --- It's all about capital battles; retail investors can't escape the fate of chasing highs and selling lows on both sides. --- That's true, but the risk level in the crypto circle is not on the same scale, okay? --- Essentially, it's all about voting with money; retail investors are always on the losing side no matter how they vote. --- Understanding the underlying logic is quite important, but knowing it and actually doing it are two different things. --- The crypto circle is just an amplified version of the stock market, with more leverage, information gaps, and manipulation by big players. --- The difference is actually quite significant; don't fall for this logical trap.
View OriginalReply0
FlashLoanLarryvip
· 8h ago
Well, the logic makes sense, but the risk factor of "money voting" in the crypto circle is much higher haha. It sounds like all the tricks are the same, but in the crypto world, it's really a battle of information—whoever knows first makes the most profit. But to be honest, retail investors are always the chives on both sides.
View OriginalReply0
SillyWhalevip
· 8h ago
Exactly right, but the volatility in the crypto market is insanely high, and you can get liquidated accidentally.
View OriginalReply0
ForkThisDAOvip
· 8h ago
Well said. The regulation in the crypto circle still needs to catch up, otherwise information asymmetry will always be a nightmare for retail investors. --- It's all a game of chance; stock markets have been played longer, but the essence of the crypto world isn't different. --- That logic makes sense, but the problem is that there are more market manipulators in the crypto market, haha. --- Value discovery? Most of the crypto world is just pure speculation, don't deceive yourself. --- So retail investors just need to bring their experience of losing money in the stock market; they'll lose the same way. --- The core difference is one word: transparency, which determines everything.
View OriginalReply0
DegenGamblervip
· 8h ago
It's all nonsense. There's no such thing as rationality in the crypto world; it's purely gambling.
View OriginalReply0
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
English
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)