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Post-George Floyd, A Wave Of “Anti-Racist” Teaching Sweeps K-12 Schools Targeting “Whiteness”

Post-George Floyd, A Wave Of "Anti-Racist" Teaching Sweeps K-12 Schools Targeting "Whiteness"

Tyler Durden

Wed, 12/02/2020 – 19:40

By John Murawski of RealClearInvestigations

The notices to parents began arriving fast and furious..

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Post-George Floyd, A Wave Of "Anti-Racist" Teaching Sweeps K-12 Schools Targeting "Whiteness" Tyler Durden Wed, 12/02/2020 - 19:40

By John Murawski of RealClearInvestigations

The notices to parents began arriving fast and furious in the weeks after the death of George Floyd in late May.

Megyn Kelly: The former Fox News anchor, who now has her own podcast, says she’s pulling her three kids from their New York City schools. “It’s out of control, on so many levels. They have gone off the deep end.”

In dramatic, urgent language, K-12 schools across the country – both public and private – professed solidarity with Black Lives Matter and vowed to dismantle white supremacy, as they scrambled to introduce anti-racist courses and remake themselves into racism-free zones.

The president of the Lower Merion School Board on Philadelphia’s affluent Main Line declared to families: “We need to eradicate white supremacy and heteropatriarchy in all of our institutions.”

In Maine, a coastal public school district where 3.7% of the 2,100 students are African American or Hispanic, the superintendent declared war on “the intentional barriers white people have built to harm Black people.” The top administrator added: “We grieve for all of the Black lives taken by white supremacy.”

Educators at the prestigious Brentwood College School in Los Angeles, have made more changes to the curriculum this year than any other in the private school’s nearly five decade history. Teachers are introducing critical race theory, which views U.S. history through the prism of racial conflict, and assigning readings from Ibram X. Kendi, the academic and author who contends race-neutral policies are the bulwark of the “White ethnostate.”

As part of the makeover, Brentwood School leaders have rolled out a fresh theme this year for fifth graders: “Identity and Power.”

“While some view these recent shifts as indoctrination, we see them as opportunities for engagement,” Brentwood’s head of school, Mike Riera, wrote to families this fall, acknowledging the growing resistance from some parents. “Will we overstep in some areas? Possibly. Will we understep in others? Possibly.”

The nation's K-12 schools have been incrementally adopting multiculturalism and ethnic studies for decades, but such courses have been the exception rather than the rule. This summer’s Black Lives Matter protests have sparked new level of commitment, a newfound urgency, and a new trend: anti-racist pedagogy.

Fabienne Doucet: “What’s really different now – and this has been decades in coming – is talking explicitly about whiteness,” the advocate says. “Sometimes you need to go too far to get there or else we might not go far enough.”

If administrators deliver on their promises, the sweeping changes underway will introduce new courses, shift hiring priorities, rebalance student demographics, redirect stipends and scholarships, revise conduct standards – in many ways modeling K-12 educational philosophy on the social justice values endorsed by many universities and, increasingly, corporations.

The changes come at an unprecedented time when many schools are struggling to offer basic instruction under covid restrictions.

Fabienne Doucet, a New York University professor of early childhood education and urban education, said this momentum has been building for decades and the culture now appears primed to understand race in America from the moral perspective of the Black Lives Matter movement.

“What’s really different now – and this has been decades in coming – is talking explicitly about whiteness,” Doucet said, citing a term that academics and activists use to critique the cultural, political and economic dominance exercised by Europeans and their descendants.

Doucet, who’s on leave from NYU and working as a program officer at the William T. Grant Foundation in New York, acknowledged that some of the content of anti-racist pedagogy may seem militant to those hearing it for the first time. But, she said, it serves an important purpose: chronicling the nation’s history from all perspectives, even if those perspectives conflict with one another.

“Sometimes you need to go too far to get there or else we might not go far enough,” Doucet said. “I’m less anxious about overshooting than not ever getting there because the stakes are so high.”

The rapid and radical changes in public and private schools have triggered a backlash among some parents who find the anti-racist message to be anti-white and anti-American, and those who say it’s historically inaccurate, inflammatory and divisive.

From the website of No Left Turn in Education, which is seeking to mobilize parents around the country to reverse the woke juggernaut. 

Parents are forming Instagram sites, and at least one group calling itself No Left Turn in Education is seeking to mobilize parents around the country to reverse the woke juggernaut. The parents swap examples from their schools, but many are keeping incognito for fear of being accused of racism or other repercussions; indeed, several parents interviewed for this article didn’t want their names to be used.

Their concern is that the edgy, new educational materials indoctrinate pupils with identity politics and leftist ideology, and leave no room for discussion.  

“They are using very positive words like diversity, equity and inclusivity to mislead you, but the message behind these words is horrifying,” said Elana Yaron Fishbein, a suburban Philadelphia mom who created the No Left Turn in Education organization. "They are grouping and stereotyping human beings by skin color, and they are attributing characteristics to your personality based on skin color.”

Some parents say that immersing students in the concepts of white privilege, structural racism and whiteness should be balanced out with “viewpoint diversity.” They want their kids not only to be exposed to multiple perspectives but also to be able to freely critique anti-racist materials, and to form their own opinions

Elana Yaron Fishbein of No Left Turn in Education: "They are grouping and stereotyping human beings by skin color, and they are attributing characteristics to your personality based on skin color.”

Jerome Eisenberg, a Los Angeles developer of apartments whose middle-school daughter attends the Brentwood School, said it’s irresponsible to introduce American history to uninformed students from the single perspective of race. 

“It’s just wrong to present this [material] as true to children who have no other background in U.S. history,” Eisenberg said. “It causes me consternation that bright line American heroes like Jefferson and Lincoln are cast as bad guys.”

Among the protesting parents: Megyn Kelly, the former Fox News anchor who now has her own podcast. On a recent episode, she said she was so put off by what she saw as a radical turn in K-12 education that she’s pulling her three kids from their schools in New York City.

“It’s out of control, on so many levels,” Kelly said. “They have gone off the deep end.”

She read from an article that she said was circulated among the school diversity group, which included Kelly and other parents, and was recommended by the group to be circulated to all the faculty.

“I’m tired of White people reveling in their state-sanctioned depravity, snuffing out Black life with no consequences,” Kelly read, quoting a June piece by Nahliah Webber, the executive director of the Orleans Public Education Network. “They gleefully soak in their White-washed history that downplays the holocaust of Indigenous, Native peoples and Africans in the Americas. They happily believe their all-White spaces exist as a matter of personal effort and willingly use violence against Black bodies to keep those spaces white.”

Advocates of anti-racist pedagogy say that the insistence on viewpoint diversity rings hollow to activists who have been trying to diversify the curriculum for decades.

“How is it that when you’re talking about a Eurocentric curriculum, there isn’t this request that the story of Christopher Columbus be presented through multiple lenses?” said Julia Jordan-Zachery, the chair of the Africana Studies Department at the University of North Carolina, Charlotte. “It begs the question of why do we now insist on viewpoint diversity?”

Nahliah Webber, Orleans Public Education Network: “I’m tired of White people reveling in their state-sanctioned depravity, snuffing out Black life with no consequences. They gleefully soak in their White-washed history that downplays the holocaust of Indigenous, Native peoples and Africans in the Americas."
opennola.org/about/
 

Educators are overwhelmingly progressive on social justice issues. This summer the EdWeek Research Center found that 81% of the nation’s teachers, principals and district leaders support the Black Lives Matter movement, compared to 67% of the general population as surveyed separately by the Pew Research Center.  The American Federation of Teachers, the nation’s second-largest teachers’ labor union, was among the numerous professional educator organizations that issued a statement in support of Black Lives Matter in response to “the crisis of anti-Blackness.”

The K-12 changes are already taking shape. Some institutions, such as Hopkins School in Connecticut and Princeton Day School in New Jersey, are segregating faculty and staff into “affinity groups” – such as Latinx or “White Consciousness” – while holding discussions about racism and white privilege. Others, such as Montgomery County Public Schools in Maryland, are spending nearly half-a-million dollars for “anti-racist system audits” conducted by outside consultants.

The $46,300-a-year Hopkins School, the third oldest independent school in the United States, is revamping its courses “to incorporate a social justice lens, de-center Anglo-European voices,” focus instruction on race and identity, fund student activism and projects, and add a stand-alone course on social justice.

Buffalo Public Schools, where whites account for 22% of enrolled students, this fall adopted Black Lives Matter-themed lessons plans that ask students in grades 2-4 if there are any similarities between the coronavirus epidemic today and the supposedly intentional spread of smallpox to the Native Americans, described as an 18th-century form of “biological warfare.” Middle and high schoolers are taught to think of Western justice as “punitive” and the justice meted out in traditional societies as “restorative/empathetic.” One of the included documents for instructors states: “All white people play a part in perpetuating systemic racism.”

While some urban public school districts, including those in Chicago, New York City and Washington D.C., have been integrating social justice and anti-racism into their core curricula for years, at many schools administrators and teachers are new to the game and playing catch-up. To fill the need, professional educator organizations and advocacy groups are posting K-12 teaching materials online for teachers to use in their classrooms.

The National Education Association, the nation’s largest labor union, has posted an entire page of BLM teaching resources, while Black Lives Matter is also disseminating educational materials.

From the National Black Lives Matter at School Week of Action Starter Kit

Anti-racist materials present a mix of themes – an emphasis on liberation and resistance movements, critiques of whiteness and systemic racism that come from critical race theory, and an introduction to other social justice causes. At times, the readings and lessons can take an unapologetic, even confrontational, stance toward America’s past and present. But unlike Black History Month, there are few if any mentions of African Americans who defied the color barrier as athletes, artists, inventors, scientists or soldiers.

The NEA teaching themes include Justice for George [Floyd] Day, Transgender Day of Remembrance, Globalism and Collective Value, Queer Organizing Behind the Scenes, Unapologetically Black Day and Student Activist Day. A link to social justice math used in Seattle Public Schools teaches data analysis and mathematical modeling through examples of police brutality and excessive use of force.

“Racism is perpetuated by silence – and silence is complicity,” one NEA teacher instruction reads. “Being ‘colorblind’ often serves as a pretense to downplay the significance of race, deny the existence of racism, and erase the experience of students of color.”

The BLM materials starting at the early childhood level are rooted in such guiding principles as empathy, loving engagement and diversity, as well as trans affirming, queer affirming and disrupting the Western nuclear family societal norm to celebrate extended families, nontraditional families and villages that “collective care for one another.” Elementary school activities introduce kids to community activism, the visual symbols of the LGBT movement, advocating for people with physical disabilities, and a creating a communal activism mural.

An elementary school-level proposed activity called “Match the Action” teaches children to identify different forms of resistance: boycotts, protests, rallies, marches, sit-ins, walkouts, petitions, etc. A proposed activity for middle schoolers reads: "Think about the names of people who are no longer with us who you wish you could talk to. Activists, leaders, elders, people who have been murdered by police.”

Fatima Morrell: An “emancipation pedagogy” that empowers black pupils by “problematizing the Eurocentric perspective.”

Fatima Morrell, an associate superintendent at Buffalo Public Schools, describes her district’s approach to education as an “emancipation pedagogy” that empowers black pupils by “problematizing the Eurocentric perspective” and by authentically representing the African American experience, which allows black students see themselves reflected in the curriculum and realize their human potential.

Buffalo’s schools have been incorporating these concepts for the past five years, she said, but the introduction of Black Lives Matter-themed lessons this fall alarmed some parents. Morrell said she talked to concerned parents by phone, and Buffalo school officials held a virtual town hall via Zoom in September; school district officials plan to hold three more town halls to address concerns and explain changes to the curriculum, she said.

Morrell, who oversees the district’s Office of Culturally & Linguistically Responsive Initiatives, said many parents wrongly assumed that Buffalo schools were advocating for defunding the police. Some of the parental anger, she said, came from a “historically dark place.”

“When you teach from a black or brown voice about the legacy of enslavement, it has a very different tone and tenor,” Morrell explained during the Zoom virtual town hall. “One of the misconceptions is that this is about white hate, and it couldn’t be farther from the truth.”

Buffalo students learn about the BLM movement, and focus on such themes as “I Love My Hair,” “Unapologetically Black,” “Understanding My Family’s History,” “What Is Community?” and “Mass Incarceration.” They learn about the late civil rights giant John Lewis and the concept of making a positive difference through protest and activism. And they complete a Jim Crow-era literacy test administered to black voters in Alabama.  

They also learn about the concepts of racist, not racist, and antiracist, as defined by Kendi, who is quoted: “There is no neutrality in the racism struggle. … The claim of ‘not racist’ neutrality is a mask for racism.”

One of the lessons for students in grades seven and eight, based on The New York Times’ 1619 Project, asks: “Why isn’t slavery considered/or included as a cause to the American Revolution? Possible Responses: our founding is pure/righteous, protect the narrative.”

In grades 11 and 12, students are asked to pick an assignment for their final project. One option is to write a rap about police brutality, compose a poem on inequality, draft a prose piece on systemic racism, or “Create a collage on a poster board that connects to any specific example related to the Black/Brown Genocide.”

This pedagogy runs counter to the educational philosophy of Ian Rowe, who has run single-sex charter schools in New York City for the past decade and is the co-founder of Vertex Partnership Academies, which is opening charter schools in the South Bronx in 2022 that will primarily attract black and Hispanic students.

Rowe, who is also a resident fellow at the conservative American Enterprise Institute, said that anti-racist pedagogy glosses over inconvenient facts, like Africans’ role in the global slave trade, and promotes a defeatist philosophy fixated on racial oppression, subjugation and injustice.  

“It taps into white guilt and black people’s sense that someone else is responsible for these problems that I have,” Rowe said. “The way this stuff plays out, if you are a low-income black kid, after a while you really start to believe it. You develop a very skewed version of the country, where you believe everyone is hostile to your efforts and that white supremacy is so strong that you don’t have the ability to control your own destiny.”

Jeff Porter: Urges white families in his Maine school district to open their minds and consider how they contribute to structures of oppression.

Some of today’s most vocal converts to anti-racist pedagogy previously regarded the nation’s racial reckoning from the perspective of their whiteness, before they experienced an epiphany. That’s what happened to Jeff Porter, the superintendent of Maine School Administrative District #51, which serves the towns of Cumberland and North Yarmouth, after he went through mandatory diversity and equity training this past summer with an outside organization called Community Change, Inc.

“I also recognize that some of the terminology may have felt confrontational, such as ‘white majority’ and ‘white supremacy,’” Porter wrote to parents this summer. “When I first went through training on this subject I was very much taken aback by this language as well and felt personally attacked as a racist.”

Porter described himself as a “life-long Mainer” whose family’s farming roots in Aroostook County go back to his great-great-grandfather.

“To think because I am white and have always lived here would mean that I somehow contribute to a ‘white supremecist’ [sic] culture was deeply troubling and insulting,” Porter wrote. “I had never before considered myself in this way.”

But Porter urged the white families in the school district to open their minds and consider how they contribute to structures of oppression.

“However, I now fully understand that this language is an accurate (and necessary) depiction of the long historical reality of race in this country, whether we want to accept it or not,” Porter declared. “The facts speak for themselves: America has a 400-year-old history of discrimination and oppression of African-Americans that must be acknowledged if we are ever to truly live up to the ideals to which our nation was founded.”

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Bitcoin on Wheels: The Story of Bitcoinetas

Meet the Bitcoinetas, a fleet of transformative vehicles on a mission to spread the bitcoin message everywhere they go. From Argentina to South Africa,…

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You may have seen that picture of Michael Saylor in a bitcoin-branded van, with a cheerful guy right next to the car door. This one:

Ariel Aguilar and La Bitcoineta European Edition at BTC Prague.

That car is the Bitcoineta European Edition, and the cheerful guy is Ariel Aguilar. Ariel is part of the European Bitcoineta team, and has previously driven another similar car in Argentina. In fact, there are currently five cars around the world that carry the name Bitcoineta (in some cases preceded with the Spanish definite article “La”).

Argentina: the original La Bitcoineta

The story of Bitcoinetas begins with the birth of 'La Bitcoineta' in Argentina, back in 2017. Inspired by the vibrancy of the South American Bitcoin community, the original Bitcoineta was conceived after an annual Latin American Conference (Labitconf), where the visionaries behind it recognized a unique opportunity to promote Bitcoin education in remote areas. Armed with a bright orange Bitcoin-themed exterior and a mission to bridge the gap in financial literacy, La Bitcoineta embarked on a journey to bring awareness of Bitcoin's potential benefits to villages and towns that often remained untouched by mainstream financial education initiatives. Operated by a team of dedicated volunteers, it was more than just a car; it was a symbol of hope and empowerment for those living on the fringes of financial inclusion.

The concept drawing for La Bitcoineta from December 2017.

Ariel was part of that initial Argentinian Bitcoineta team, and spent weeks on the road when the car became a reality. The original dream to bring bitcoin education even to remote areas within Argentina and other South American countries came true, and the La Bitcoineta team took part in dozens of local bitcoin meetups in the subsequent years.

The original La Bitcoineta from Argentina.

One major hiccup came in late 2018, when the car was crashed into while parked in Puerto Madryn. The car was pretty much destroyed, but since the team was possessed by a honey badger spirit, nothing could stop them from keeping true to their mission. It is a testament to the determination and resilience of the Argentinian team that the car was quickly restored and returned on its orange-pilling quest soon after.

Argentinian Bitcoineta after a major accident (no-one got hurt); the car was restored shortly after.

Over the more than 5 years that the Argentinian Bitcoineta has been running, it has traveled more than 80,000 kilometers - and as we’ll see further, it inspired multiple similar initiatives around the world.

Follow La Bitcoineta’s journey:

Twitter: https://twitter.com/labitcoineta

Instagram: https://www.instagram.com/bitcoineta/

El Salvador: Bitcoin Beach

In early 2021, the president of El Salvador passed the Bitcoin Law, making bitcoin legal tender in the country. The Labitconf team decided to celebrate this major step forward in bitcoin adoption by hosting the annual conference in San Salvador, the capital city of El Salvador. And correspondingly, the Argentinian Bitcoineta team made plans for a bold 7000-kilometer road trip to visit the Bitcoin country with the iconic Bitcoin car.

However, it proved to be impossible to cross so many borders separating Argentina and Salvador, since many governments were still imposing travel restrictions due to a Covid pandemic. So two weeks before the November event, the Labitconf team decided to fund a second Bitcoineta directly in El Salvador, as part of the Bitcoin Beach circular economy. Thus the second Bitcoineta was born.

Salvadoran’s Bitcoineta operates in the El Zonte region, where the Bitcoin Beach circular economy is located.

The eye-catching Volkswagen minibus has been donated to the Bitcoin Beach team, which uses the car for the needs of its circular economy based in El Zonte.

Follow Bitcoin Beach:

Twitter: https://twitter.com/Bitcoinbeach

South Africa: Bitcoin Ekasi

Late 2021 saw one other major development in terms of grassroots bitcoin adoption. On the other side of the planet, in South Africa, Hermann Vivier initiated the Bitcoin Ekasi project. “Ekasi” is a colloquial term for a township, and a township in the South African context is an underdeveloped urban area with a predominantly black population, a remnant of the segregationist apartheid regime. Bitcoin Ekasi emerged as an attempt to introduce bitcoin into the economy of the JCC Camp township located in Mossel Bay, and has gained a lot of success on that front.

Bitcoin Ekasi was in large part inspired by the success of the Bitcoin Beach circular economy back in El Salvador, and the respect was mutual. The Bitcoin Beach team thus decided to pass on the favor they received from the Argentinian Bitcoineta team, and provided funds to Bitcoin Ekasi for them to build a Bitcoineta of their own.

Bitcoin Ekasi’s Bitcoineta as seen at the Adopting Bitcoin Cape Town conference.
Bitcoin Ekasi’s Bitcoineta as seen at the Adopting Bitcoin Cape Town conference. Hermann Vivier is seen in the background.
South African Bitcoineta serves the needs of Bitcoin Ekasi, a local bitcoin circular economy in the JCC Camp township.

Bitcoin Ekasi emerged as a sister organization of Surfer Kids, a non-profit organization with a mission to empower marginalized youths through surfing. The Ekasi Bitcoineta thus partially serves as a means to get the kids to visit various surfer competitions in South Africa. A major highlight in this regard was when the kids got to meet Jordy Smith, one of the most successful South African surfers worldwide.

Coincidentally, South African surfers present an intriguing demographic for understanding Bitcoin due to their unique circumstances and needs. To make it as a professional surfer, the athletes need to attend competitions abroad; but since South Africa has tight currency controls in place, it is often a headache to send money abroad for travel and competition expenses. The borderless nature of Bitcoin offers a solution to these constraints, providing surfers with an alternative means of moving funds across borders without any obstacles.

Photo taken at the South African Junior Surfing Championships 2023. Back row, left to right:

Mbasa, Chuma, Jordy Smith, Sandiso. Front, left to right: Owethu, Sibulele.

To find out more about Bitcoineta South Africa and the non-profit endeavors it serves, watch Lekker Feeling, a documentary by Aubrey Strobel:

Follow Bitcoin Ekasi:

Twitter: https://twitter.com/BitcoinEkasi

Fundraiser: https://support.bitcoinekasi.com/

Europe: Bitcoineta Europa

The European Bitcoineta started its journey in early 2023, with Ariel Aguilar being one of the main catalysts behind the idea. Unlike its predecessors in El Salvador and South Africa, the European Bitcoineta was not funded by a previous team but instead secured support from individual donors, reflecting a grassroots approach to spreading financial literacy.

European Bitcoineta sports a hard-to-overlook bitcoin logo along with the message “Bitcoin is Work. Bitcoin is Time. Bitcoin is Hope.”

The European Bitcoineta is a Mercedes box van adorned with a prominent Bitcoin logo and inspiring messages, and serves as a mobile hub for education and discussion at numerous European Bitcoin conferences and local meetups. Inside its spacious interior, both notable bitcoiners and bitcoin plebs share their insights on the walls, fostering a sense of camaraderie and collaboration.

Inside the European Bitcoineta, one can find the wall of fame, where visitors can read messages from prominent bitcoiners such as Michael Saylor, Uncle Rockstar, Javier Bastardo, Hodlonaut, and many others.
On the “pleb wall”, any bitcoiner can share their message (as long as space permits).

Follow Bitcoineta Europa’s journey:

Twitter: https://twitter.com/BitcoinetaEU

Instagram: https://www.instagram.com/bitcoinetaeu/

Ghana: Bitcoineta West Africa

Embed: https://youtu.be/8oWgIU17aIY?si=hrsKmMIA7lI6jX4k

Introduced in December 2023 at the Africa Bitcoin Conference in Ghana, the fifth Bitcoineta was donated to the Ghanaian Bitcoin Cowries educational initiative as part of the Trezor Academy program.

Bitcoineta West Africa was launched in December 2023 at the Africa Bitcoin Conference. Among its elements, it bears the motto of the Trezor Academy initiative: Bitcoin. Education. Freedom.

Bitcoineta West Africa was funded by the proceeds from the bitcoin-only limited edition Trezor device, which was sold out within one day of its launch at the Bitcoin Amsterdam conference.

With plans for an extensive tour spanning Ghana, Togo, Benin, Nigeria, and potentially other countries within the ECOWAS political and economic union, Bitcoineta West Africa embodies the spirit of collaboration and solidarity in driving Bitcoin adoption and financial inclusion throughout the Global South.

Bitcoineta West Africa surrounded by a group of enthusiastic bitcoiners at the Black Star Square, Accra, Ghana.

Follow Bitcoineta West Africa’s journey:

Twitter: https://twitter.com/BitcoinetaWA

Instagram: https://www.instagram.com/bitcoinetawa/

All the Bitcoineta cars around the world share one overarching mission: to empower their local communities through bitcoin education, and thus improve the lives of common people that might have a strong need for bitcoin without being currently aware of such need. As they continue to traverse borders and break down barriers, Bitcoinetas serve as a reminder of the power of grassroots initiatives and the importance of financial education in shaping a more inclusive future. The tradition of Bitcoinetas will continue to flourish, and in the years to come we will hopefully encounter a brazenly decorated bitcoin car everywhere we go.

If the inspiring stories of Bitcoinetas have ignited a passion within you to make a difference in your community, we encourage you to take action! Reach out to one of the existing Bitcoineta teams for guidance, support, and inspiration on how to start your own initiative. Whether you're interested in spreading Bitcoin education, promoting financial literacy, or fostering empowerment in underserved areas, the Bitcoineta community is here to help you every step of the way. Together, we will orange pill the world!

This is a guest post by Josef Tetek. Opinions expressed are entirely their own and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.

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Digital Currency And Gold As Speculative Warnings

Over the last few years, digital currencies and gold have become decent barometers of speculative investor appetite. Such isn’t surprising given the evolution…

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Over the last few years, digital currencies and gold have become decent barometers of speculative investor appetite. Such isn’t surprising given the evolution of the market into a “casino” following the pandemic, where retail traders have increased their speculative appetites.

“Such is unsurprising, given that retail investors often fall victim to the psychological behavior of the “fear of missing out.” The chart below shows the “dumb money index” versus the S&P 500. Once again, retail investors are very long equities relative to the institutional players ascribed to being the “smart money.””

“The difference between “smart” and “dumb money” investors shows that, more often than not, the “dumb money” invests near market tops and sells near market bottoms.”

Net Smart Dumb Money vs Market

That enthusiasm has increased sharply since last November as stocks surged in hopes that the Federal Reserve would cut interest rates. As noted by Sentiment Trader:

“Over the past 18 weeks, the straight-up rally has moved us to an interesting juncture in the Sentiment Cycle. For the past few weeks, the S&P 500 has demonstrated a high positive correlation to the ‘Enthusiasm’ part of the cycle and a highly negative correlation to the ‘Panic’ phase.”

Investor Enthusiasm

That frenzy to chase the markets, driven by the psychological bias of the “fear of missing out,” has permeated the entirety of the market. As noted in This Is Nuts:”

“Since then, the entire market has surged higher following last week’s earnings report from Nvidia (NVDA). The reason I say “this is nuts” is the assumption that all companies were going to grow earnings and revenue at Nvidia’s rate. There is little doubt about Nvidia’s earnings and revenue growth rates. However, to maintain that growth pace indefinitely, particularly at 32x price-to-sales, means others like AMD and Intel must lose market share.”

Nvidia Price To Sales

Of course, it is not just a speculative frenzy in the markets for stocks, specifically anything related to “artificial intelligence,” but that exuberance has spilled over into gold and cryptocurrencies.

Birds Of A Feather

There are a couple of ways to measure exuberance in the assets. While sentiment measures examine the broad market, technical indicators can reflect exuberance on individual asset levels. However, before we get to our charts, we need a brief explanation of statistics, specifically, standard deviation.

As I discussed in “Revisiting Bob Farrell’s 10 Investing Rules”:

“Like a rubber band that has been stretched too far – it must be relaxed in order to be stretched again. This is exactly the same for stock prices that are anchored to their moving averages. Trends that get overextended in one direction, or another, always return to their long-term average. Even during a strong uptrend or strong downtrend, prices often move back (revert) to a long-term moving average.”

The idea of “stretching the rubber band” can be measured in several ways, but I will limit our discussion this week to Standard Deviation and measuring deviation with “Bollinger Bands.”

“Standard Deviation” is defined as:

“A measure of the dispersion of a set of data from its mean. The more spread apart the data, the higher the deviation. Standard deviation is calculated as the square root of the variance.”

In plain English, this means that the further away from the average that an event occurs, the more unlikely it becomes. As shown below, out of 1000 occurrences, only three will fall outside the area of 3 standard deviations. 95.4% of the time, events will occur within two standard deviations.

Standard Deviation Chart

A second measure of “exuberance” is “relative strength.”

“In technical analysis, the relative strength index (RSI) is a momentum indicator that measures the magnitude of recent price changes to evaluate overbought or oversold conditions in the price of a stock or other asset. The RSI is displayed as an oscillator (a line graph that moves between two extremes) and can read from 0 to 100.

Traditional interpretation and usage of the RSI are that values of 70 or above indicate that a security is becoming overbought or overvalued and may be primed for a trend reversal or corrective pullback in price. An RSI reading of 30 or below indicates an oversold or undervalued condition.” – Investopedia

With those two measures, let’s look at Nvidia (NVDA), the poster child of speculative momentum trading in the markets. Nvidia trades more than 3 standard deviations above its moving average, and its RSI is 81. The last time this occurred was in July of 2023 when Nvidia consolidated and corrected prices through November.

NVDA chart vs Bollinger Bands

Interestingly, gold also trades well into 3 standard deviation territory with an RSI reading of 75. Given that gold is supposed to be a “safe haven” or “risk off” asset, it is instead getting swept up in the current market exuberance.

Gold vs Bollinger Bands

The same is seen with digital currencies. Given the recent approval of spot, Bitcoin exchange-traded funds (ETFs), the panic bid to buy Bitcoin has pushed the price well into 3 standard deviation territory with an RSI of 73.

Bitcoin vs Bollinger Bands

In other words, the stock market frenzy to “buy anything that is going up” has spread from just a handful of stocks related to artificial intelligence to gold and digital currencies.

It’s All Relative

We can see the correlation between stock market exuberance and gold and digital currency, which has risen since 2015 but accelerated following the post-pandemic, stimulus-fueled market frenzy. Since the market, gold and cryptocurrencies, or Bitcoin for our purposes, have disparate prices, we have rebased the performance to 100 in 2015.

Gold was supposed to be an inflation hedge. Yet, in 2022, gold prices fell as the market declined and inflation surged to 9%. However, as inflation has fallen and the stock market surged, so has gold. Notably, since 2015, gold and the market have moved in a more correlated pattern, which has reduced the hedging effect of gold in portfolios. In other words, during the subsequent market decline, gold will likely track stocks lower, failing to provide its “wealth preservation” status for investors.

SP500 vs Gold

The same goes for cryptocurrencies. Bitcoin is substantially more volatile than gold and tends to ebb and flow with the overall market. As sentiment surges in the S&P 500, Bitcoin and other cryptocurrencies follow suit as speculative appetites increase. Unfortunately, for individuals once again piling into Bitcoin to chase rising prices, if, or when, the market corrects, the decline in cryptocurrencies will likely substantially outpace the decline in market-based equities. This is particularly the case as Wall Street can now short the spot-Bitcoin ETFs, creating additional selling pressure on Bitcoin.

SP500 vs Bitcoin

Just for added measure, here is Bitcoin versus gold.

Gold vs Bitcoin

Not A Recommendation

There are many narratives surrounding the markets, digital currency, and gold. However, in today’s market, more than in previous years, all assets are getting swept up into the investor-feeding frenzy.

Sure, this time could be different. I am only making an observation and not an investment recommendation.

However, from a portfolio management perspective, it will likely pay to remain attentive to the correlated risk between asset classes. If some event causes a reversal in bullish exuberance, cash and bonds may be the only place to hide.

The post Digital Currency And Gold As Speculative Warnings appeared first on RIA.

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Aging at AACR Annual Meeting 2024

BUFFALO, NY- March 11, 2024 – Impact Journals publishes scholarly journals in the biomedical sciences with a focus on all areas of cancer and aging…

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BUFFALO, NY- March 11, 2024 – Impact Journals publishes scholarly journals in the biomedical sciences with a focus on all areas of cancer and aging research. Aging is one of the most prominent journals published by Impact Journals

Credit: Impact Journals

BUFFALO, NY- March 11, 2024 – Impact Journals publishes scholarly journals in the biomedical sciences with a focus on all areas of cancer and aging research. Aging is one of the most prominent journals published by Impact Journals

Impact Journals will be participating as an exhibitor at the American Association for Cancer Research (AACR) Annual Meeting 2024 from April 5-10 at the San Diego Convention Center in San Diego, California. This year, the AACR meeting theme is “Inspiring Science • Fueling Progress • Revolutionizing Care.”

Visit booth #4159 at the AACR Annual Meeting 2024 to connect with members of the Aging team.

About Aging-US:

Aging publishes research papers in all fields of aging research including but not limited, aging from yeast to mammals, cellular senescence, age-related diseases such as cancer and Alzheimer’s diseases and their prevention and treatment, anti-aging strategies and drug development and especially the role of signal transduction pathways such as mTOR in aging and potential approaches to modulate these signaling pathways to extend lifespan. The journal aims to promote treatment of age-related diseases by slowing down aging, validation of anti-aging drugs by treating age-related diseases, prevention of cancer by inhibiting aging. Cancer and COVID-19 are age-related diseases.

Aging is indexed and archived by PubMed/Medline (abbreviated as “Aging (Albany NY)”), PubMed CentralWeb of Science: Science Citation Index Expanded (abbreviated as “Aging‐US” and listed in the Cell Biology and Geriatrics & Gerontology categories), Scopus (abbreviated as “Aging” and listed in the Cell Biology and Aging categories), Biological Abstracts, BIOSIS Previews, EMBASE, META (Chan Zuckerberg Initiative) (2018-2022), and Dimensions (Digital Science).

Please visit our website at www.Aging-US.com​​ and connect with us:

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Click here to subscribe to Aging publication updates.

For media inquiries, please contact media@impactjournals.com.


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