Recently, a data point in the US stock market has attracted a lot of attention—the Buffett Indicator (the ratio of the total market capitalization of the US stock market to GDP) has hit a new high.



Specifically, this indicator is now hovering between 223% and 224%, with some data sources even showing close to 230%. What does this mean? It has far exceeded the 150% during the internet bubble in 2000 and also surpassed the high point of the rebound after the pandemic in 2021.

Historical comparisons are interesting: in the long term, the equilibrium level of this indicator is around 80%-100%, and 100%-120% is usually considered a reasonable valuation range for the market. Now, it has doubled or more, clearly indicating that market enthusiasm is quite substantial.

Warren Buffett himself places great importance on this indicator. He once said it is "the simplest and best measure of market valuation." The current data level somewhat reflects changes in global liquidity and risk appetite. For those paying attention to macro trends and asset allocation, this signal is still worth pondering.
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degenwhisperervip
· 22h ago
Really? 230%? Bro, isn't that going to explode? --- Wait, has it surpassed the internet bubble? This is a bit crazy. --- Even Buffett can't understand the current market, what are we still talking about haha. --- The false prosperity built on liquidity, just like that. --- I should have run when it hit 220%, now it's too late to say anything. --- So now it's either all in or all out? Tough question. --- No matter how high the indicators are, they can't stop FOMO's footsteps, brother. --- This data looks ridiculous, is such a high risk appetite really good? --- Doubling? Oh my god, the bubble warning lights are already flashing red. --- No matter how good the macro outlook is, it can't withstand a fundamental collapse.
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consensus_whisperervip
· 01-12 00:57
Wow, 223%? The level of absurdity is almost on par with the internet bubble... Better get ready with some bullets for the dip.
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OnchainFortuneTellervip
· 01-11 07:51
Wait, 230%? What the hell is this if not a bubble --- I'm done, another signal of a super cycle top, really pulling and smashing at the same time --- Buffett might not even understand this time, liquidity is gone just like that --- I thought only the crypto world was this crazy, the US stock market isn't doing much better either😅 --- Doubled, everyone, should we cash out now or keep going all in --- 2000 saw a 150% crash, now 230%... well, no need to say more, those who understand, understand --- Haha, this is what’s called a "macro signal," I only trust my instincts and trends --- Risk appetite is off the charts, funds are looking for an exit, the safest place in the crypto world😏 --- So, this thing has little reference value, don’t be fooled by the data --- This indicator is an old relic, the world has changed long ago, what’s the point of using history to fit today’s charts
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TokenDustCollectorvip
· 01-11 07:44
Bro, 230%? How crazy do you have to be to achieve that? --- Damn, even crazier than the internet bubble. Is this really different this time? --- What does Buffett think now? The old man must be unable to sleep, haha. --- Doubling the valuation... feels like someone is taking over and someone is running away. --- It's just an illusion created by liquidity; it will have to be paid back sooner or later. --- So now, is it all in or all-in shorting? Really conflicted. --- History might repeat itself; it all depends on who will be the last to take the bailout. --- 223%... that number sounds outrageous, feels like the risk is exploding. --- Anyway, risk appetite is something that can collapse suddenly.
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AirdropHunter007vip
· 01-11 07:35
Whoa, 223%? Isn't this playing with fire? --- Wait, even more outrageous than the internet bubble? How will it break then? --- The best indicator Buffett mentioned, I really can't understand these numbers... --- Doubling is truly outrageous, feels like risks are accumulating --- Just waiting to see when it reverses, then there will be something to tinker with --- This false prosperity built on liquidity? Debt will have to be repaid sooner or later --- The US stock market is really overheated now, my wallet feels threatened --- 80 to 100 is normal, but these numbers... definitely a bubble --- No wonder all kinds of airdrop projects have been so crazy recently, all just gambling on a shot --- If it adjusts, many people will probably die, right?
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