Due to the many factors that go into making the world economy, the slightest twist or turn in one sector can set off a ripple effect that can have varying consequences. Because of this, those who understand economics are always sounding the alarm when they see potential problems in the U.S. and abroad. This has been the case with Shervin Pishevar, who recently used a 21-hour tweet storm on Twitter to express his concerns about the stock market, tech sector, and virtual currencies.
For starters, Shervin Pishevar is urging investors to be prepared for a steep drop in the U.S. stock market. Predicting a drop of up to 6,000 points, he believes this will be due to increased volatility within the bond market, which will negatively impact numerous stocks that play a major role in world economics.
Along with his stock market prediction, Shervin Pishevar also believes Bitcoin will be due for a decline as well. Although he does feel the virtual currency will stay popular, he believes a combination of underemployment, inflation happening across the globe, and stock market declines will all come together to drop Bitcoin prices to as low as $2,000. However, even if this happens and gold gains strength in world markets, Shervin Pishevar does see Bitcoin rebounding to prices of $5,000 or more in the years to come.
And when it comes to the high-tech sector, Shervin Pishevar urges investors and others to prepare for big changes ahead. According to his viewpoint, China, Africa, and other nations have made great strides in technology, and have actually surpassed the United States in many areas. As a result, the majority of Silicon Valley companies in competition with other global companies are having a harder time keeping pace with their competitors. Due to these factors, he feels as if Silicon Valley will have its glory days behind it, and should prepare to be simply a group of many in constant competition with one another.
While it’s hard to make economic predictions, business experts such as Shervin Pishevar often have a knack for knowing exactly what will come next.