You are viewing a single comment's thread from:
RE: When people you know say cryptocurrencies are in a bubble
Easiest way is asking whether they own Bitcoin. If not, we are not in the last final bubble stage.
For talk about a medium term bubble, I can only refer to comparisons to real bubbles of the past and the fact that the technical indicators currently do not indicate a bubble yet. For that, price would have to surpass $15k.
See for graphs illustrating my thoughts: https://steemit.com/bitcoin/@wekkel/bitcoin-in-a-bubble-no-way
What a good article, I'm sorry I couldn't upvote it 21 days ago. Giving you some love now though, Good Job!
Thanks, appreciated.
Not true. 100% of the people don't have to know about and want something for a bubble to form. Many limited production vehicles are released at "bubble pricing" the minute they hit the showroom floor. 2016 Dodge Challenger Hellcats are a good example. When the higher horesepower Challenger Hellcat came out for model year 2016 the initial shipment to hit dealer showrooms were all being sold for $10K above MSRP. Now you can walk into a dealer's store that still has one and he will gladly sell it to your for $15K below MSRP. Bubbles form when everybody who wants is gets in at whatever price it takes to do so. And yes, bitcoin is in a price bubble, and so are every one of the stocks you listed. Follow my blog if you wish to learn how to determine if teh "sentiment" driving price is getting overextended at any given time. Sentiment drives price. Sentiment can be used to determine if any asset is overvalued or undervalued, as long as the tools are available that can measure sentiment.
Your example is not a very good analogy. Cars are terrible stores of value, very few cars actually go up in value. However if I were take your example, let me say that the highly sought after and lowly produced Ford GT was easily had for MSRP and went up in value by many times. Perhaps the challenger example is not a good example as it's no supercar and not nearly as sought after.
Additionally sentiment is not an accurate measurement, as cryptocurrencies true values are based off use and spread of the network. Sentiment is only useful as a barometer in speculation on future pricing, not on growing market share. All these technology companies are not in a bubble they are gaining value because they are increasing in use and market share.
If you say so. I guess you will just have to learn the hard way. :-)
WARNING
@wekkel
this user is running pump and dump scam through account @zeroshiki
is now spam flagging
https://steemit.com/cryptocurrency/@zeroshiki/how-we-ll-do-a-pump-of-1-million-people-biggest-pump-ever
Your local spam prevention team
@isacoin
wow your some kind of dense, people who comment on a post are not the same person as those who post.
its because you started spam flagging when i tagged the pump and dump scam
doesnt take a genius