RE: Lightning Strikes! Why Bitcoin is STILL a Bubble
Something that has become very frustrating for me on crypto space is the number of people who call themselves bitcoin maximalists or hyper bitcoinist and such and believe bitcoin is gold v2.0 and if you don't like the volatility the market is probably not your place... Interestingly, the more I get to know these kind of ppl the more I realize they don't have an skin in the game. Meaning, they talk about bitcoin and HODL like gold v2.0 while they have very tiny portions invested into it...
I am not against bitcoin and cryptos in fact, I truly love the technology but I cannot see the usecase and I think bitcoin and cryptos more than empowering the poor would actually weaken them at least couple of generations until cryptos develop to a level where manipulation and volatility would not take place anymore.
Just think about the poor people of Zimbabwe who bought bitcoin over 15k with huge premiums... Just imagine how poorer they have become ... It's interesting how no one talks about it anymore...
People should chill and be neutral about things.
One characteristic of a bitcoin maximalist is to have near 100% of his assets in bitcoin or be holding something else for a short term increase of his amount of bitcoin.
Bitcoin maximalist also understand money, while most people see bitcoin as a technology that can be obsoleted by antother one. It's simply not the case, Bitcoin is more than a technology it's an idea who's time has come.
V.
I do actually not agree with your comment. Because everyone gets pushed down when the market crashes, and everyone handles it a different way, but everyone feels fear to lose everything, no one wants to lose money. Of course, you have to be self-aware that you might lose everything, but the fact that you said "if you don't like the volatility the market is probably not your place... " is wrong, because if the markets go down, no one likes it, and if the markets go up, people who don't understand how this works just get greedy and tend to lose their money. "People should chill and be neutral about things." I agree, but it's inevitable to be neutral when we are talking money.
This news below is literally hours ago. This doesn't make Gold a non reliable asset, doesn't affect the value of person holding it, or make gold lose its use case.
I feel that this argument is on the same lines of "why do we need space exploration when there are people starving" argument. Not the same context but I can't help but see the similarity of these arguments.
A, everyone owe it to themselves to learn about market cycles before investing in anything. Including gold. Regardless of the asset you cannot expect any asset to only grow forever.
B, this needs to be compared to how hyperinflated their currency is in the first place. Zimbabwe's peak month of inflation is estimated at 79.6 billion percent in mid-November 2008. I know that's not the case right now but it is what resulted into this:
It goes without saying that you shouldn't invest all you have into crypto, regardless of whether you're poor or rich. There's a wrong time to invest in every asset. It's not like people who invested in crypto in the US or UK or somewhere else are better off. People have sold their houses or took a second mortgage just to invest in bitcoin at 20k and got rekt. For instance people have been calling Bitcoin dip to current levels since Dec 2017. If you fail to do the research, or ignore all the knowledgeable people in this space and put in everything you have who can you really blame but yourself? And I say that with the deepest sympathy to everyone who is invested in it and lost.
And if you're saying that now, the future is going to be even more bleak. Some analysts contend that there will be a centralization of the PoW coins toward one coin. Meaning people who have invested in smaller altcoins are going to be completely rekt at some point. What can you do right now to tell them to stay off of those coins? You don't even know if it's really going to happen. What if they turn out to be right and you turn out to be wrong and they become poor because of it?