AI hype is back and the crowd did what crowds do

AI hype is back and the crowd did what crowds do

so Nvidia dropped a blowout quarter and the Nasdaq popped 1.3% on Feb 25, 2026. classic. timeline check: 2023 turned chatbots into a silicon gold rush → 2024 reminded everyone hype can wobble → this week reopened the velvet rope.

what you’re watching is called an information cascade. basically when we copy others instead of thinking because the line looks long and the bouncer is nodding.

ok so what actually worked this week?

best move: price discipline that felt boring. trimming winners into strength, keeping position sizes capped, and letting DCA do the heavy lifting.

worst move: buying leaders at the top on good news, then panic-selling on the first red candle.

here’s the part that hurts

Morningstar tracks the “investor gap”—how much worse real people do versus the funds they own. U.S. investors trailed their funds by about 1.2 percentage points per year over the 10 years ended December 31, 2024.

that 1.2% gap sounds small but on $10,000 over a decade, that’s roughly $2,200 you left on the table. real grocery money bestie.

what to watch next

→ flows into narrow AI-themed products
→ breadth across the rest of the market
→ your own rules

that last one matters most. write down your buy price, your trim price, your exit trigger. future you will thank present you when FOMO hits at midnight.

closing thought

Warren Buffett’s playbook during euphoric moments? demand a margin of safety and resist chasing the crowd. be fearful when others are greedy. legendary moves rarely feel legendary in real time. they’re patient, priced, and lonely.

the opposite of a victory lap 🏆

if you made it this far you’re learning to sit still while everyone else sprints and honestly? that’s the whole game 💅