A coming S&P 500 drop and its knock-on hit to crypto, gold, and silver
A stock market crash is coming, and it would hit crypto and metals even harder than stocks — bad news for anyone fully invested, good for people holding cash.
- The S&P 500 is set for a drop of about 25%, smaller than the 50% falls of the dot-com and 2008 crashes because there is far more money in the system now.
- Crypto, gold, and silver move three to four times harder than stocks, so a 25% stock drop could cut them in half.
- The reason is liquidity: when cash gets tight, the riskier assets get sold first and fall fastest.
- A fall that sharp would push Trump to flood money into people's hands, which would then lift markets back up.
- The sell-off would be fast — two to three months — leaving only a few weeks to buy cheap before the money printing starts.
Outlook: Expect a sharp but short drop, followed by heavy government spending and money printing that pumps markets back up.