Shervin Pishevar 21 Hour Tweet Storm Predictions

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Twitter storm Shervin Pishevar

It had been a dry winter for Shervin Pishevar. The last we heard from his Twitter was mid-December when he announced his resignation from Sherpa Capital. It had seemed Pishevar had all but muted the mic on his thought-leadership.

Meanwhile, companies in which he’s invested like Uber, Dollar Shave Club, Warby Parker, and Slack, beat on toward New Year’s earnings. It’s possible Pishevar celebrated 2018 at home, ordering Chinese food from another one of his darlings, Postmates.

But make a loud enough crash, and you can awaken a bear from hibernation.

On Monday, following the U.S. stock market’s most stomach-dropping drop in recent memory, Pishevar tweeted a fifty-point explanation for why he thinks the market will drop an aggregate 6000 points in upcoming months.

Here’s why he thinks things could get worse before better:

1. February is not looking too hot.

Shervin Pishevar

Obviously, the market dipped. But not so obviously, Shervin Pishevar thinks the turmoil is reason to assume there will be more slippage: With all 2018 gains already forgone, he dare says 2017’s gains will go soon too. The main culprits for continued losses include “rising interest rates, increasing credit account deficits and tax giveaways.”

2. Bonds are not what they used to be.

Government bonds alone are not limitless in their power to recorrect the market, Pishevar argues. Although quantitative easing, or the process through which central banks buy bonds, is a tool that can reset the market, Pishevar argues such a “tool” has been used too many times to continue its effectiveness.

Shervin Pishevar Tweet STorm

3. Inflation has been “exported.”

Much of Pishevar’s rant critiques any notion that an American economy, isolated from the global economy, is trending upward. He does not see inflation as an antidote contained to our borders, writing, “we’ve managed to export inflation for decades now.”

And he doesn’t have faith that uncertain global trade deals, under the current administration, will help.

Shervin Pishevar Twitter Storm

4. A few big funds always crumble in times like these.

Pishevar is particularly concerned with Managed Future Funds and Volatility Indices. He sees both at risk for failure, and believes there’s precedent to expect a big one will bite the bullet.

Shervin Pishevar Los Angeles

5. Silicon Valley is not the modern Rome it once was.

Pishevar argues there’s been a loss of exclusivity in Silicon Valley—and while that’s not necessarily a bad thing, it’s not a good sign for short-term domestic economic growth. He basically says the stronghold, on talent and ideas, is no longer something to rely upon.

An immigrant himself, Pishevar writes passionately about the effects of expanding U.S. ideologies across the globe. He writes in 2008, “We no longer have the monopoly on the classic American entrepreneurial spirit backed by angels and venture capital. The American Way has become the Global Way.”

On Monday, Pishevar echoed his own sentiments, tweeting, “While we build walls physical and cultural to keep out immigrant talent that talent doesn’t need to come here anymore.”

Shervin Pishevar NEw York

He goes on to warn about the “frictionless” innovation seeming to flourish in other countries, citing an example of from China in which a team built a train station in nine hours.

This is all to say, the American economy isn’t alone.

6. Unicorns are becoming increasingly hungry.

Perhaps Pishevar’s most ominous forecast regards the influence, and possible downfall, of the United States’ big five unicorns: Alphabet, Amazon, Apple, Google, and Microsoft. Referring to them as monopolies, Pishevar argues companies of this size have the power and influence of nation-states. He warns of their power to buy out small startup competitors—and then ultimately fail the system at large.

SHervin Pishevar TweetingPishevar seems to think there’s a collective blind eye to the power of these “giants.” Notably, he invokes the excitement of small cities across the U.S. vying for the next Amazon office.

The late-night Twitter rant (which was interrupted shortly for dinner, and which some have deemed generally off-handed and unclear), does come with its fair share of hopeful assessments. Here are a few financial trends that Pishevar believes will be happening simultaneously to his anticipated 6000-point drop.

7. There are moonshots like SpaceX and Virgin Hyperloop will inspire good work.

For Pishevar, out of the “decrypt and decaying” infrastructure in the U.S. will rise a few “moonshots.” Mind you he is a co-founder of Virgin Hyperloop, so one should take this flattery with a grain of salt.

Shervin Pishevar

8. Entrepreneurs are “stateless” and can raise capital in any which way they want.

Want to start a company? Choose your currency.

Describing currency as “the ultimate app,” Pishevar sees a possible expansion in entrepreneurship due to digital currencies and new methods of fundraising. The more small companies that can find unique capital, the more they can grow and spur the economy onward.

Shervin Pishevar

8. An economic disaster can lead to a new type of economy.

Generally speaking, Pishevar’s fifty tweets acknowledge unstable conditions: He warns of “inflation spreading” and “stock markets crashing,” and describes underemployment as a “systemic economic stasis.”

However, Pishevar maintains a globalist perspective, and he offers some bits of hope. He seems to be saying that the potential for failure is an equal opportunity for a new, more egalitarian economy.

Shervin Pishevar Tweet Storm This is all to say, it seems Pishevar took to Twitter to express notions he’s been known to express before. He’s fighting for a more open, transparent society, without bottlenecks on innovation, and without volatility.

In their form, Pishevar’s concerns appear to be broader than the 6000-point decline he’s projecting. He touches on challenges within politics, and nationalism, even cultural trends. He’s not just an investor or a guy who watches numbers all day. Hell, he’s even a member of the 12-person committee that decides which young Americans get Fullbrights every year.

Somewhere within the 50 tweets, there might be a bullseye. Pishevar does, after all, have a knack for predicting the future. In 2008, for example, when he correctly anticipated Facebook’s eventual identity crisis. In the same article he writes, “While our financial systems lie teetering on near destruction, we realize we must build from the ground up a new system” — a notion he is back to pushing, through a new medium, ten years later.

 

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32 COMMENTS

  1. This should really be updated to reflect his newest tweets/predictions! His 50 tweets before the drop today are all worth watching out for

    • He literally has so many predictions on there lol. It’s half insane and half mind blowing to me, I’m definitely following this on twitter to see where all these go!

  2. Excellent article. It is interesting how bonds have changed over time, as the article explains. In the past, government bonds could often be used to correct the market in a downswing, such a strategy has become less effective over time.

  3. A also do believe the big companies have enough power as a country would have. They have the power to manipulate a lot of stuff.

  4. He definitely has some points but Where id all these predictions come from? I just followed him to see how this will all turn out.

  5. I agree with entrepreneurs being able to drive society further. Although, I am not current on the different forms of currency. This is something I need to find out about.

  6. Shervin is right with the words, that an American economy, isolated from the global economy, is trending upward and they have managed the inflation for decades now.

  7. I do agree with #8, his take on entrepreneurship fundraising paired with digital currencies. Curious what this will be like years from now.

  8. I think it’s quite interesting about how our economy is changing so fast. Helped me take a new view on the current situation our economy is in right now.

  9. I totally agree with Pishevar’s point of view about Silicon Valley. With passage of time, it is losing its grip and lacks of innovative ideas and brains which led it through. There is drought of talent and ideas. We as a nation will have to work hard to maintain our superiority.

  10. “giants built on monopoly frameworks will fall”. AMEN. History tells us this. no matter the giant. no matter the arena. My grandma used to call it “too big for your britches”, but it’s all the same. And nothing lasts forever. Nor should it. I think we’re seeing the beginning of a new era, and I’m rather pleased to see it. Even as Trump and his ilk try to cling to the past, it’s crumbling in their little fingers like sand.

  11. This article is priceless.It contains valuable financial information about the bonds Market.The information about the monopoly of the big companies is very well tough.

  12. I thoroughly enjoyed tweet storm predictions by Shervin Pishevar. During this phase of 21 Hours I didn’t miss even a single tweet of his and responded to each one. He responded to my messages with his valuable advice. Thank you Shervin!

  13. As Shervin Pishevar said that February will go without much financial activity, it happened exactly the way he predicted. I fully support his stance that we are heading towards a new type of economy; a modern one, with less chances of failures for investors.

  14. I strongly believe that all eight predictions he made will definitely come true. Signals of such happenings are already there. US stock market faced huge dip in recent time and this is the time for all businesses to act cautiously, especially those who deal in forex, cryptocurrency and stocks.

  15. After following Pishevar on twitter, my knowledge about economy and financial aspects improved much. He is always practical while making financial predictions and never exaggerates. Rather, he focuses of solutions and how to face such financial crunches.

  16. I really found his tweet about Government Bonds to be really interesting. It went agains a lot of what I have learned from other people and school, and it is nice to see a different perspective about them.

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