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Mike McGlone highlights a notable divergence in financial markets, observing that U.S. stock-market capitalization relative to GDP has reached its highest level since 1928-29.
He adds that Treasury prices are at their lowest relative to gold in four decades, suggesting that crude oil could act as a catalyst for market reversion similar to what was seen in 2008.
McGlone recently projected that crude oil could reach $120 and gold $5,500 by 2026, raising questions about whether this cycle will differ from previous market peaks in commodities and bitcoin. He has also warned that crude oil in 2026 may face a downturn similar to 2008 and 1929, citing a growing pump-then-dump trend. These forecasts follow ongoing discussions about potential catalysts for market reversion.