As I said pn Friday expect a sweet drop of 30-50% soon in cryptocurrencies which is a joke of a drop since most are up thousands of percent.
Because it's a highly speculative asset in the biggest bubble known to humanity. Why are you surprised? It's not attached to any fundamental value so the price movements are fickle and higher prices are dependent on the existence of greater fools. If I had to guess, it might be related to the recent headline about the Deli in Ohio with ~$40k annual revenue trading for $100M. Might be people slowly realizing that paying millions for NTF is incredibly stupid. Might be people realizing that $30B for a soon to be Blockbuster Video is insane. Might be people realizing that a crypto which was created in 3 hours and intended as a joke is worth $52 billion. In short, it might be due to people slowly waking up to the insane investing environment in which we now find ourselves...thanks to central bank and government intervention willing to do anything possible to prevent a recession. No one should be surprised, but obviously if that were the case, then we never should have ended up in this state in the first place. It won't end well.
Why does nobody ever answer the question about the fundamental value of gold when I ask them? They always give evasive answers.
Gold has been used as currency and as a store of value for centuries. Precious metals are seen as a store of wealth. Families with generational wealth don't pass down stocks, they pass down gold, land, and art. It's ingrained into cultures around the world. It's used in electronics and so is silver. Industrial demand for silver will go up because of green energy policies... Both have to be mined and taken out of the ground - land values go up, labor costs go up, etc. If China bans crypto because they come up with their own, they'll ban it at an ISP level. Hackers are likely working non-stop to crack it. If a news release comes out (real or fake) that bitcoin has been hacked or something similar, what will happen to the price? At least if you're bank account login gets stolen, your money is federally insured. I'm not against crypto, I have some. But it has its flaws. It's worth money because people say it is, for now. People have been saying the same about gold for centuries, so I have that too. Nobody has to buy any of it unless they want to.
You make valid points that I could address if this conversation remains civil. I don't appreciate you using an alias to respond though. However again, yet another post that doesn't answer what the fundamental value of gold is.
this isn't an alias. I haven't logged in for many months. I don't post often. I wanted to see what ET thought about the crypto bubbles. Yes I made valid points and there's no response needed. What I said about gold weren't opinions, they're facts. I wasn't looking for an argument or debate. I don't have an answer as to what the fundamental value of gold is. I was sharing why people see gold as value. Anything crypto has not been time-tested the way metals have and is still very much in a speculative class and nothing more. People are certainly making money off of it though. The point was, it doesn't have to be one or the other. Buy metals and buy crypto. If you don't like one or don't see value in it, don't buy it.