Twenty-five years ago, the dot-com bubble hit its peak and then burst. Investors faced massive losses as tech stocks collapsed. Speculation about the internet’s future had fueled the bubble. Many companies rose high despite lacking solid business models. When the hype faded, trillions of market value disappeared, leaving behind a trail of failed firms.
The crash taught investors key lessons. It stressed the need to focus on strong fundamentals and avoid herd mentality. Investors learned not to chase trends blindly but to assess the true worth of companies. Patience and due diligence became essential traits.
Over time, the market recovered. Survivors like Amazon came out stronger, proving that adaptability and long-term vision matter. The dot-com bust showed that while innovation drives markets, careful decisions safeguard growth.