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View Diary: Bitcoin Bubble Bound to Burst (52 comments)

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  •  There are numerous (0+ / 0-)

    alternatives to bitcoin.

    Are you saying we can all just buy up any and all variations of cryptocurrencies and be assured ever-increasing value?

    I guess we can all just create cryptocurrencies, get a few indie shops to accept them, have wikileaks and 4chan accept donations in bitcoin, and then create hundreds of millions of dollars out of thin air.

    Seems legit.

    Deficits don't matter, jobs do.

    by aguadito on Thu Mar 28, 2013 at 03:44:54 PM PDT

    [ Parent ]

    •  That's not what I said at all (1+ / 0-)
      Recommended by:
      Odysseus

      First, there are going to be markets to short bit coins on now, campBX is going to start supporting it.

      Second, it is entirely possible that there is a bubble, or will be, but it's also possible that $100 may be a sustainable level for bit coins, we simply don't know. I was pointing out potential explanations for the sudden rise in cost.

      Are you saying we can all just buy up any and all variations of cryptocurrencies and be assured ever-increasing value?
      No, I'm saying that the rise in value might be the function of reasonable market forces and an influx of demand for bit coins. I notice that you didn't actually address anything I said. There may be alternatives, but they aren't as well known or as popular, although the current rise in price may reduce demand for bit coins among a number of people, I certainly have no use for them at these high prices, so maybe other currencies will gain value.

      If debt were a moral issue then, lacking morals, corporations could never be in debt.

      by AoT on Thu Mar 28, 2013 at 04:07:23 PM PDT

      [ Parent ]

      •  Might be a function of reasonable market forces (0+ / 0-)

        yet you can't name a single reasonable market force that would lead to these kinds of bitcoin prices.

        listen, this is a cryptocurrency with nothing backing it but black market trade and some low-demand stores.

        they created it out of nothing, and now at current prices there's over $1 billion worth of the stuff.

        in financial analysis you're supposed to produce a viable model for valuation or at least a viable "story".

        and you think just because there's a finite number of bitcoins that its price will go up, it doesn't even make a lick of sense.

        you can replicate the bitcoin concept a million times over to create a finite currency created allowing anonymous payment systems.

        there's no reason for this price to be so high. if you have a case to make, go ahead.

        it's funny actually to see how bitcoin/wikileaks/etc create interesting bed fellows.

        Deficits don't matter, jobs do.

        by aguadito on Thu Mar 28, 2013 at 04:22:31 PM PDT

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        •  I did name one (0+ / 0-)

          The increasing demand for it in Europe and especially Spain. Why does that not count? More people buying into the currency means it goes up in value. There's no reason it couldn't be a new universal method of money laundering.

          you can replicate the bitcoin concept a million times over to create a finite currency created allowing anonymous payment systems.
          And it wouldn't be bit coins. The shared use of it is part of the value of the currency, or at least part of the reason to use bit coin instead of some alternative currency.

          If debt were a moral issue then, lacking morals, corporations could never be in debt.

          by AoT on Thu Mar 28, 2013 at 04:28:33 PM PDT

          [ Parent ]

          •  There is no "increasing demand" for it in Europe (0+ / 0-)

            Just because people are searching for it from different countries, doesn't necessarily mean demand is spiking up.

            There's been a media BLITZ promoting the bitcoin bubble. That has more to do with any searches than anything.

            Deficits don't matter, jobs do.

            by aguadito on Thu Mar 28, 2013 at 04:31:03 PM PDT

            [ Parent ]

            •  Are there numbers about how many people (0+ / 0-)

              are using it? There's no argument to be made with out those sort of numbers.

              And honestly, as a currency, bit coin will be very poorly off if this isn't a bubble and it's a permanent rise. Not a whole lot of people want to use a currency that keeps appreciating like this one is. That could be what leads to a crash.

              There's been a media BLITZ promoting the bitcoin bubble. That has more to do with any searches than anything.
              I hadn't seen anything about a media blitz. You seem to have a lot of paranoia about bit coin, why do you think it's so evil?

              If debt were a moral issue then, lacking morals, corporations could never be in debt.

              by AoT on Thu Mar 28, 2013 at 04:50:37 PM PDT

              [ Parent ]

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