Is it just the fed, or the Trump admin - deregulation and all, turn a blind eye to ponzi schemes? How can any one justify all the free pump everywhere - brokers, early investors, media on this, while it is illegal for hedgefunds investing in real companies (GOOD, AMZN, MSFT,FB) to advertise to Joe Public? Does any one really think that a currency controlled by the vote of a majority of miners (more than 50% of which are in China, subject to their state control) - who can determine by their vote whether a transaction is valid or invalid - will be allowed for long to take up a substantial part of US assets? I'm just looking beyond the bubble to the end-point: people crying to congress, congressional hearings. I just hope for the sake of people investing in real products that the ripples does not extend to all of us.
OK, let me explain what a BUBBLE is and what a BUBBLE is not. Back in 2001 during the dot com thing I spent part of my lunch hour looking at a stock, Free Markets, Inc. comes to mind but don't hold me to it. The stock had already come down from $300 per share to $100 per share and I sniffed out a bargain. Here is what I found in my research. The annual report had just been released and sales had increased from 8 million to 20 million but with heavy negative earnings and no prospect for earning any profits anytime in the foreseeable future. When I priced out the price per share times the number of shares outstanding the total valuation of the company was 2.3 BILLION DOLLARS after already losing 2/3 of its value. How a BUBBLE that huge could have ever existed is beyond this human's comprehension. This was in actuality a penny stock. It HAD to burst because there was an anchor dragging it back down to earth. THAT WAS A BUBBLE! Bitcoin on the other hand is not a stock! It is not encumbered with sales, PE ratios and any other customary ways of price evaluation. It is an uncorrelated asset in its own world that few on ET understand. You "Bubble Bobble Heads" ( I just love saying that) are calling it a bubble just by looking at its chart. So it has a 50% correction from here, well it would still be higher than it was just 3 weeks ago. Bitcoin is a world wide accepted store of value and there is no turning back from that. It has a very limited supply and most of those are held in private wallets and are not for sale at any price for the next few years. So if you want a portion of a bitcoin you have to pay up to get someone who actually does own some to sell it to you. Because of that the market is thin and there are whales who buy up a lot then sell to panic the newbees then buy back in. This creates the volatility that is common with Bitcoin and we just laugh when you guys crow about a 11,500 to 8,800 drop in a few hours. Bitcoin is thriving in spite of the national business media ridiculing it and all of the government financial leaders and corporate leaders trying to verbally destroy it. Thus far it has been driven by the techies and the geeks but now it is just beginning to go mainstream. In my observations the people with large investments and IRAs are waking up and wanting in. Even financial advisers are seeing the advantage of adding such an uncorrelated asset as a balancing effect for 3% to 5% of their clients portfolios. The surge in Bitcoin is just getting started and even at these prices it is still the opportunity of your lifetime. Three years from now when you look at a Bitcoin chart the year 2017 will be in the flatlined portion of the chart and the upward thrust has not even started yet. The bottom line is that all you Bitcoin critics are on the wrong side of history. Bitcoin is WHAT A BUBBLE IS NOT!
It doesn't have to be a stock to be in a bubble , lol , Bitcoin is worthless and useless and in a huge bubble .
Most multi billion dollar tech industries start off as nerd oddities... The personal computer, the cell phone, the internet, the MP3 player, the smart phone, video games, DVD players, and so on. Obviously it takes a level of intellect to get interested so that may explain it, but this form of "banking" is pretty revolutionary, no matter what detractors may say. It's not just money being thrown at some fake coin, the multiple developments in the whole industry is no joke. From the exchanges allowing the trading, to the hardware dedicated to it, to the multiple venues being launched by venture money, it's not going away, even once the bubble pops.
It's actually a huge relief that we bitcoin hodlers are not on the same side of the trade as these bubble callers. They're all waiting for the 30% or 40% or even bigger crash in bitcoin price as if we've never experienced such a move. Newsflash, there was one a few months ago from $5K to less than $3K in less than a week. We're used to it...