Bitcoin at $10,000 is even more dangerous

[Dotachin]

As a currency, these electronic tokens simply cannot have both of the advantages backers ascribe to them. If they are collectible items, which are expected to rise in value, they cannot also be attractive alternatives to government-regulated mediums of exchange.

After all, when owners of assets think their property will become more valuable, they do not sell. Thus bitcoins can be expected to be hoarded as long as the price keeps rising. And when the market turns, then no law-abiding merchant will be willing to accept them. They do not have to, because there is a great alternative: traditional currencies. Not only does legal tender come with low transaction costs, these monies only lose value at the very slow pace of inflation.

If bitcoin buyers were serious about its potential functionality, they would be devastated by the recent vertiginous price increases – a doubling in three months. After so much volatility, it would take years of price stability for legitimate merchants to take it seriously as a currency.

Read More at the source

 

[BHarwana]

WTF! bitcoin is the only escape and security now days it will go up. bitcoin will take a small dip in next 48 hours and will then start going up again.

 

[mangekyo]

And when the market turns, then no law-abiding merchant will be willing to accept them. They do not have to, because there is a great alternative: traditional currencies.

This makes no sense. Its the exact same process as with representative money. As long as there are buyers there are sellers, and as long as there are sellers, there are buyers. Should the market turn and Bitcoins value fall drastically, some holders will sell and make room for new investors/speculators. Exchangers are speculators too.

WTF! bitcoin is the only escape and security now days it will go up. bitcoin will take a small dip in next 48 hours and will then start going up again.

Its already dipping. How did you know it will take a dip? Did you think it would because many people waiting for it to hit 10k are selling now?

 

[BHarwana]

This makes no sense. Its the exact same process as with representative money. As long as there are buyers there are sellers, and as long as there are sellers, there are buyers. Should the market turn and Bitcoins value fall drastically, some holders will sell and make room for new investors/speculators. Exchangers are speculators too.

The biggest set back to Bitcoin this year was USA crack down of BTC-e the russian bitcoin exchange. When market reacted positive to that event and price did not took a dip there can be no bigger threat to bitcoin now than that. Bitcoin also sustained the Chinese crackdown and thus remained resilient. Before entering 2018 bitcoin will take one big dip of 2000-USD and then it will be back on track of rise.

Its already dipping. How did you know it will take a dip? Did you think it would because many people waiting for it to hit 10k are selling now?

No! it will take a dip because the BTC price is up and alt are still down people will shift to alt from BTC and Bitcoin will dip. Then it will start rising again.

 

[Dotachin]

This makes no sense. Its the exact same process as with representative money. As long as there are buyers there are sellers, and as long as there are sellers, there are buyers. Should the market turn and Bitcoins value fall drastically, some holders will sell and make room for new investors/speculators. Exchangers are speculators too.

Ever heard of Tulip Mania in Holland? https://en.wikipedia.org/wiki/Tulip_mania To make it easy for you to correlate substitute tulips for bitcoin.

That's how stock market crashes. There are sellers of stock but no/very less buyers. Sellers want to offload the stock due to some event but nobody wants to buy it. Thus sellers keeps dropping the price to get some value back. As a result price falls from for eg.1000 USD to 50 USD. If there are sellers the buyers will only be there if commodity is valuable enough. The moment commodity looses value nobody wants to buy it.

 

[HttpError]

No need to look at Bitcoin it is already a gone case, look into Ethereum,Litecoin or other cryptocurrencies if someone is interested to make some bucks.

 

[HannibalBarca]

I was out since 9.2K...Waiting for dip to re-enter...

 

[El Sidd]

Corruption.

Economic terrorism.

 

[HannibalBarca]

Corruption.

Economic terrorism.

nope...

 

[El Sidd]

nope...

Lol

Relax buddy no one cares

 

[Dotachin]

Its the exact same process as with representative money.

representative money is supported by the government. It can cushion any shocks to it using reserves, interest rates, stimulus etc. In case of bitcoin crash who is gonna provide the stimulus of millions of bitcoin. Bitcoin is just speculative trading . It has no trust and economic activity associated with it as is with traditional currency. It has no value of its own. USD has it own value because its the standard(against which bitcoin is traded.)

 

[HannibalBarca]

representative money is supported by the government. It can cushion any shocks to it using reserves, interest rates, stimulus etc. In case of bitcoin crash who is gonna provide the stimulus of millions of bitcoin. Bitcoin is just speculative trading . It has no trust and economic activity associated with it as is with traditional currency. It has no value of its own. USD has it own value because its the standard(against which bitcoin is traded.)

Wrong..utterly wrong...at least among owners of it... as millions like i do...
Try to jump in...and then give your opiinion... and not based on articles...

And Bitcoin is not the only used cryptocurrency....

 

[Dotachin]

Wrong..utterly wrong...at least among owners of it... as millions like i do...
Try to jump in...and then give your opinion... and not based on articles...

Its my own opinion. The article vindicated my opinion so I posted it here. But you have your reasoning to invest I have my reasoning on not to invest. Time will be the answer to it.

A seasoned investor(with millions in turnover) hates short term volatility of such levels, no matter how positive the results are in the end. Take a look around all economists or people in financial world are interested in bitcoin and the way it operates. But none are buying it (even if they do its just short term buy sell or very low fraction of investment just to test out the waters). Its the common people who is running to invest his life savings (which is what leading to this speculation) and its not a good sign. Its beginning to look like textbook case of speculative bubble. Bitcoin is a great concept, I only have problem with its immense volatile nature.

 

[Curious_Guy]

hello, i want to know the basics of crypto currency and how to invest in them etc. Can you provide me any link.
Thank you

Its my own opinion. The article vindicated my opinion so I posted it here. But you have your reasoning to invest I have my reasoning on not to invest. Time will be the answer to it.

A seasoned investor(with millions in turnover) hates short term volatility of such levels, no matter how positive the results are in the end. Take a look around all economists or people in financial world are interested in bitcoin and the way it operates. But none are buying it (even if they do its just short term buy sell or very low fraction of investment just to test out the waters). Its the common people who is running to invest his life savings (which is what leading to this speculation) and its not a good sign. Its beginning to look like textbook case of speculative bubble. Bitcoin is a great concept, I only have problem with its immense volatile nature.

 

[mangekyo]

Before entering 2018 bitcoin will take one big dip of 2000-USD and then it will be back on track of rise.

Interesting prediction. Lets see if you are right or wrong.

No! it will take a dip because the BTC price is up and alt are still down people will shift to alt from BTC and Bitcoin will dip. Then it will start rising again.

I think the dip came because people were predicting it would hit 10k by end of year. When it got past some sold sold to rebuy at the dip. Some went out.

Ever heard of Tulip Mania in Holland? https://en.wikipedia.org/wiki/Tulip_mania To make it easy for you to correlate substitute tulips for bitcoin.

That's how stock market crashes. There are sellers of stock but no/very less buyers. Sellers want to offload the stock due to some event but nobody wants to buy it. Thus sellers keeps dropping the price to get some value back. As a result price falls from for eg.1000 USD to 50 USD. If there are sellers the buyers will only be there if commodity is valuable enough. The moment commodity looses value nobody wants to buy it.

Thats something entirely different. You cant compare a decentralised currency with a fixed total amount with tulips and stocks.

representative money is supported by the government. It can cushion any shocks to it using reserves, interest rates, stimulus etc. In case of bitcoin crash who is gonna provide the stimulus of millions of bitcoin. Bitcoin is just speculative trading . It has no trust and economic activity associated with it as is with traditional currency. It has no value of its own. USD has it own value because its the standard(against which bitcoin is traded.)

No its not, and banks are pulling the biggest ponzi scheme on us. Did you know that if everyone were to ask the bank for is money back, they wouldn't be able to give you your money back because they simply dont have it?
Remember what happened in Greece? People were only allowed to withdraw 60 euros a day.

http://www.news.com.au/finance/econ...s/news-story/90ccca6556da55ba773716eabc9bce40

hello, i want to know the basics of crypto currency and how to invest in them etc. Can you provide me any link.
Thank you

I buy from this site

https://www.coinbase.com/join/5a108e634a6c9f02b2a8f453

If you register using the link I gave you and invest 100 USD we both get Bitcoin worth 10 USD for free. (10%)