‘This is the angriest I've ever been’: 24-year-old astrologer lost $440,000 by day trading crypto and now lives on credit card debt. Caleb Hammer responds
‘This is the angriest I've ever been’: 24-year-old astrologer lost $440,000 by day trading crypto and now lives on credit card debt. Caleb Hammer responds
Personal finance YouTuber Caleb Hammer has seen it all — from models who just want to “spend, spend, spend” to 40-year-olds who outright refuse to work.
But one of the most recent guests on his show, Financial Audit, may have been the most frustrating one yet for the host.
Don’t miss
Commercial real estate has beaten the stock market for 25 years — but only the super rich could buy in. Here’s how even ordinary investors can become the landlord of Walmart, Whole Foods or KrogerInflation is still white-hot in 2024 — use these 3 'real assets’ to protect your wealth today, no matter what the US Fed does or saysAnything can happen in 2024. Try these 5 easy money hacks to help you make and save thousands of dollars in the new year (they will only take seconds)
Racso, a 24-year-old vedic astrologer from Austin, Texas had lost an immense amount of money trading cryptocurrencies and is now funding his lifestyle with credit cards.
Getting a regular job, he explained, is only for a “worst-case scenario,” but Hammer believes Racso’s current situation couldn’t get any worse.
“I’m borderline ready to kick you off,” he told him. “This is the angriest I’ve ever been.”
From “half-a-million” to broke
Racso started trading cryptocurrencies in 2020 with $40,000. He eventually turned that into $440,000. Unfortunately, his day trading was fueled by immense leverage as high as 17 times his equity.
That’s excessive by conventional metrics, but not unusual in the cryptocurrency industry, where platforms can offer leverage ratios as high as 125. However, excessive borrowing is a double-edged sword, as Racso eventually found out.
He said he lost 70% of his portfolio when the trading platform FTX and cryptocurrency Terra/Luna collapsed in 2022. Based on his own analysis done via vedic astrology (which focuses on karma over personality traits), the events that happened to Rocso were driven by the “eclipse of Taurus and Scorpio.”
The Bank for International Settlements (BIS) estimated that more than $450 billion in market value was destroyed when the Terra/Luna project collapsed, while FTX’s bankruptcy dissolved another $200 billion.