Dotcom Bubble and Internet Valuation Fantasies

Prosperity Pulse Decoding Financial Frequencies · Oct 30, 2025 · 12m

In the late 1990s, investors became convinced that the Internet had fundamentally changed the rules of business valuation, justifying astronomical stock prices for companies with no profits. This episode reconstructs the dotcom bubble, examining how venture capital flooded into internet startups, how initial public offerings of unprofitable companies raised billions, and how stock prices became detached from any measurable financial metrics. We analyze the role of momentum investing and technical analysis in driving stock prices higher regardless of fundamentals, examining how the…