What do you Meme?

More rallies, Meme stocks pop, and Voyager goes down.

July 08, 2022

The cryptocurrency and stock market continue to show strength throughout the week. With Bitcoin breaking $22,000 and the Nasdaq closing up 2.28%.

At the Thursday close per YahooFinance:

  • TSLA: 5.53%

  • QCOM: 5.78%

  • META: 1.43%

  • AMD: 5.24%

  • AAPL: 2.4%

Bitcoin and the stock market have both had some trouble this year but we can see Bitcoin has taken more damage. Both seem to have found a short term bottom in prices.

There is still a very high correlation between the stock market and crypto, so investors must keep an eye on both to understand whats actually causing movements.

WTF...

We can all agree that the past few weeks have been awful for both the stock and crypto markets. However, after the close on Wednesday, GameStop ($GME), announced a 4:1 stock split to their investors (BBG).

After news broke, GME shares were up over 10% in Thursday trading.

Thursday trading was not only good for GameStop. Let's check other meme stocks and how they did:

  • BBBY: 21.70%

  • AMC: 15.19%

  • FUBO: 13.10%

It seems that there is a bit more comfort in the markets as lower cap stocks find some momentum.

Voyager down

Voyager Digital officially filed for bankruptcy on July 6. This comes after having exposure to 3 Arrows Capital, and not too long after halting withdraws on their platform.

Voyager looks oddly similar to the rise and fall of a tech bubble stock in 2000...

While going bankrupt is a part of business, lying to your customers about the safety of their money isn't.

Companies like Voyager have destroyed confidence in cryptocurrencies by claiming to be insured by the FDIC. This goes to show that government regulation and some intervention may allow users to become more comfortable with the safety of their assets.