Paul Mampilly, a former hedge fund manager, is one of the investors who had taken part in the technology stock investments of 1999 that later exploded leading to huge losses on the part of many investors. However, for Paul, he was lucky to have sold his shares before the prices downed. His decisions to sell his shares was after he studied the markets and realized that there was nowhere the markets were going. It was just creating a false impression to attract investors before going down. Paul Mampilly who started investments in 1991, detected that something was amiss with technology stocks and even told friends to be careful, but they did not listen. Paul Mampilly had left the investment opportunity very early, and even after he sold his shares, the prices kept on going up.
Those who were still in the investment did not take his warning signs seriously because they thought he was envious since he had sold his stake at a lower price. Those who held on, however, had the shock of their life after the prices drastically reduced. The profits they had were all gone. They were just left hoping that there would be a change that would see the prices go up again. Some investors held onto their investments until the prices went down completely. With such a thing happening right before him, Paul Mampilly is now wiser and can tell when a bubble is growing. He has already declared Bitcoin and other cryptocurrencies as a bubble that will soon explode.
Any trader who has invested in cryptocurrencies should not be happy that the prices are going up, they should be concerned about the price decreases as prices may go down and never go up again as it happened with the technology stocks.With all the similarities that the cryptocurrencies investment has with the 1999 stocks, Paul Mampilly is advising traders to take away what they have before they lose it completely. A bubble keeps investors drawn emotionally such that they only think of profits and not losses. When prices are going down, investors only see this as an opportunity to buy more. The prices, however, keep going down and they never come up, and investors are left with huge losses in their accounts.
About Paul Mampilly
Paul Mampilly works as a senior editor for banyan Hill publishing. He has a private newsletter he publishes called “Profits Unlimited.” Investors who would like to make the right investments should follow his advice. He has been in the business for many years, and his expertise is unmatched.
— Paul Mampilly (@Paul_M_Guru) October 5, 2017