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With U.S. stocks powering higher, enthusiasm is running hot. But billionaire hedge fund manager Paul Tudor Jones says today’s environment is giving him flashbacks to the dot-com boom — and not in a warm, fuzzy and nostalgic way.
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“It’s like the Prince song — party like it’s 1999, right?” Jones said in a recent CNBC interview, adding that the setup “feels exactly like 1999.”
He pointed to what happened next: “Remember, the NASDAQ doubled between the first week of October ’99 and March of 2000 — so if it looks like a duck and quacks like a duck, it’s probably not a chicken, right?”
The late-’99 melt-up was breathtaking, but the aftermath was brutal. From March 2000 to October 2002, the Nasdaq Composite plunged nearly 78% as the dot-com bubble burst. With echoes of that era growing louder, many investors might assume the safest move now is to step aside.
But Jones suggests sitting it out could mean missing a powerful final leg higher.
“So if you don’t play it, you’re missing out on the juice,” he warned. “If you do play it, you have to have really happy feet, because there will be a really, really bad end to it.”
He underscored that late-cycle rallies often deliver the biggest gains. In bull markets, he said, “the greatest price appreciation is always the 12 months preceding the top.”
His takeaway? “You have to position yourself like it’s October ’99.”
In his view, a substantial run-up may still be ahead. In fact, Jones believes today’s backdrop could be “so much more potentially explosive than 1999.”
Don’t miss the ‘massive price appreciation’
The reason behind Jones’ confidence in a potentially bigger run-up than 1999 comes down to two forces: central bank policy and government spending.
He noted that in 1999, the Federal Reserve was raising rates and the federal government was running a budget surplus. Today, investors are staring at potential rate cuts (one has already happened since Jones spoke) and a 6% deficit — a combination he called the “most unique and aggressive fiscal and monetary conditions” since the post-war era.
His forecast? “We’re in a period that’s conducive for massive price appreciation in a variety of assets.”
So what does he want to own?
“I’d want to have a combination of gold, crypto, probably the NASDAQ,” he stated.
Let’s take a closer look at these assets.
Read more: Warren Buffett used 8 simple money rules to turn $9,800 into a stunning $150B — start using them today to get rich (and then stay rich)
A safe haven shines again
Jones pointed to a key message he believes markets are sending.
“I think what the markets are telling you: this is an inflation story down the road,” he said. “If you look at the biggest winners — the biggest winners are gold.”
Indeed, despite a recent pullback, gold is still up more than 45% over the past 12 months — outpacing many other major asset classes.
Gold has long been a go-to hedge against inflation. The logic is straightforward: unlike fiat currencies, it can’t be printed at will by central banks.
It’s also widely viewed as the ultimate safe-haven asset. Gold isn’t tied to any single country, currency or economy and when financial markets turn volatile or geopolitical tensions flare, investors often flock to it — driving prices higher.
Jones isn’t the only Wall Street heavyweight pointing to gold’s potential. Ray Dalio, founder of the world’s largest hedge fund, Bridgewater Associates, told CNBC earlier this year that “people don’t have, typically, an adequate amount of gold in their portfolio,” adding that “when bad times come, gold is a very effective diversifier.”
Meanwhile, JPMorgan CEO Jamie Dimon recently said that, in this environment, gold can “easily” rise to $10,000 an ounce.
One way to invest in gold that also provides significant tax advantages is to open a gold IRA with the help of Priority Gold.
Gold IRAs allow investors to hold physical gold or gold-related assets within a retirement account, thereby combining the tax advantages of an IRA with the protective benefits of investing in gold, making it an option for those looking to help shield their retirement funds against economic uncertainties.
When you make a qualifying purchase with Priority Gold, you can receive up to $10,000 in precious metals for free.
Crypto and tech jump ahead
Bitcoin is often described as “digital gold” and, while Jones still favors the traditional metal, he’s also enthusiastic about its newer, digital counterpart.
“Crypto — digital gold — that’s obviously something that’s very, very appealing,” he said.
Bitcoin, the world’s largest cryptocurrency, has staged a powerful rally in recent years. The ride hasn’t been smooth — pullbacks can feel like a rollercoaster — but long-term believers point to one core feature: scarcity. Like gold, Bitcoin can’t be created in unlimited quantities. Instead, its supply is capped at 21 million by mathematical algorithms.
Jones also cited the Nasdaq as another area he wants exposure to. That may sound familiar: during the 1999 melt-up, technology stocks led the charge and today’s backdrop shows similar momentum. Since bottoming in April, the tech-heavy Nasdaq Composite has surged roughly 55%.
Much of that strength has come from megacap tech companies investing heavily in artificial intelligence. Markets are assigning rich valuations to the potential of this new era — and for now, optimism remains a dominant force.
If you’re interested in exploring tech stocks — or want to diversify into cryptocurrency — getting started has never been easier.
With investing platforms like Robinhood, you can buy and sell stocks, ETFs and their options commission-free, track your portfolio in real time and get 24/7 access to customer service.
For those starting small, the app also lets you buy fractional shares for as little as $1, making it easy to build a diversified portfolio without breaking the bank.
Meanwhile, Robinhood Crypto allows users to buy and sell crypto with as little as $1 — also without any trading fees or commissions.
Robinhood Crypto has the lowest trading cost on average in the U.S. — meaning you could get up to 2.4% more crypto compared to trading on other platforms.
Stay nimble — and know when to get guidance
Jones’ warning is clear: while the setup today could fuel a powerful run-up, these don’t last forever — and when optimism hits its peak, reversals can be swift.
In his words, if you join the rally, you may need “really happy feet” when the music stops.
For many investors, that’s where professional guidance can help. Positioning for upside while managing risk isn’t always easy — especially in a market environment that can shift quickly, much like the late ’90s. Having a plan in place before volatility strikes can make all the difference.
Range can help with that. The platform pairs high-earning households with a team of financial advisors and tax experts who build a holistic plan — from investment strategy and tax guidance to budgeting and long-term wealth goals. You get customized advice, ongoing check-ins and access to advanced planning tools, so you’re not navigating the market alone.
Whether you’re looking to participate in potential upside or simply want a clearer risk-management playbook, Range can help you build a strategy that fits your goals and comfort level — in good markets and choppier ones.
And the best part? You can book a complimentary demo to see if Range can meet your comprehensive financial needs.
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