One and only reason Bitcoin rallied in 2017 was due to the Chinese government enacting capital controls. Capital was fleeing the country into every asset. Real estate has soared in places like Australia and Canada. Ironically, their actions caused more panic of the Chinese people and more capital flight. It was only a matter of time until they physically closed and arrested operators of unregulated exchanges. The SEC in USA has also expressed that they wish to regulate exchanges. Regulation is not a bad thing. It protects people from frauds. More than 95% of ICOs are terrible ideas that seek to take your money for nothing.
Bitcoin is an asset, not a currency. Its volatility does not make it a good store of value compared to other assets (not talking about gold). It is also not a good way to transfer money without fees due to the transaction times and volatility. If Bitcoin were a company no one should invest in it because the technology that runs it is open source. Any government or company that wants to make secure transactions or contracts can start their own blockchain. There is no value in Bitcoin, but there is value in blockchain.
There's little value in a block chain for sale like this when a company can hire any programmer to fork it for replication, instamibe it and create their own block chain. Why would they need to buy into any of them?
The only money going into cryptos has been day traders gambling and people buying BTC and ETH for ICOs.
Outside of that I'm convinced the average American or any long term sensible investor wants any part of this, which validates your theory and graph.
@bmgbmg, Ridiculous argumentation. Why would anyone be interested in an instamined replicated blockchain? If you've got zero backing behind a forked blockchain it will have zero value, so the effort would not even be worth it.
Also disagree that the average American, or any sensible person in this world for that matter, would not be interested in a blockchain-based, globally useable currency in the future, which could potentially free them from the shackles of the FED, the ECB and others. What exactly do we need them for? Ah right, because we have nothing akin to the gold standard anymore and they need to "regulate", so this house of cards, that is our current monetary system, which the financial sector and others have profited massively, does not fall apart completely.
People aren't just buying into a fad. People are investing because they see a libertarian ideal behind it. Bitcoin represents freedom, albeit it is technologically not the best solution atm.
toddgak
⋅
This isn't unique rhetoric and I'm sure every bitcoin enthusiast has heard these talking points ad nauseam.
Bitcoin is creating a entirely new financial system starting from zero. Overly ambitious? Absolutely. However as you can see from the 100s of altcoins that already exist, simply making your own 'bitcoin' doesn't mean you instantly succeed against the real bitcoin. This banker talking point that there is no value in bitcoin but there is value in blockchain is utter nonsense and shows a fundamental misunderstanding of the technology. The two are the same thing. They are the symbiotic relationship of security and value.
The bitcoin blockchain is secured because Bitcoin the token has value. Bitcoin has value because its blockchain is secured.
Without the value of Bitcoin currency, miners have no incentive to mine the coin. Without proof of work the ledger can not be secured. Bitcoin is designed in such a way that the cost of attacking the network or bitcoin itself will ALWAYS cost more than what bitcoin is worth. That is why it can be not only open source, but completely public and open directly connected to the internet.
People who talk about 'blockchain' having value and want to go off and make a private 'blockchain' that runs in some private intranet as a settlement layer are selling snake oil. They will need to protect this network by denying access like every other information security system on planet. Ask Equifax how easy that is. Bitcoin is secure because it is public.
There seems to be lots of ego on the line for guys who desperately need to be right. The guys who are super smart and need ways to rationalize their beliefs. Some of these guys want to bet on the old world. Bet on the old billionaire guys who run the world and created the rules the whole system is based on. Some of these guys want to bet on technology. This will be one of the most spectacular power struggles the world has ever seen.
hbgvfcdxsz
⋅
Eventually you will call the top sir
MarkusJanssen
⋅
I think it is time to look for another bearish pattern...
MarkusJanssen
⋅
Interestingly enough you spouted the exact same sentiment in July already, even updating your "chart" stating that the rise is a deadcat bounce....Well you were wrong then and you will be proven wrong again this time. But hey, you should think about catching some cheap BTC on the dip. Maybe it won't leave you as bitter when the next ath is coming along ;)
MarkusJanssen
⋅
@MarkusJanssen, Your deadcat bounce was actually a rally to the ath of almost 5000 USD
Bearahead
⋅
Bitcoin under 1000$ will not happen but if, i would buy all of it. It cost 1000$ to mine one coin. Bubbles in BTC are related to the miners. No miner will sell at a loss. So they simply stop selling and then by its deflational nature price go up. Every BTC trader would by the shit out of it under 1000$. Maybe we see the bubble pop but the next one will start soon after. To your open source point the administration of the city Munich in Germany with 1.5 million residents, is run completely on open source. Bitcoin is secure it has proven this point for many years now. And there is value in Bitcoin because of the mining which now has the same ammount of electricity used than the country Croatia.
In my opinion this bubble was fueld by the closure of the BTCe exchange. All their Tethers were moved to other exchanges to drive up the price. The day of the closure the bull begann. They gave users the chance to withdraw 55% of their coins on the highest price but users had to wait 72h to recieve their money. Tomorrow they will reopen. So this was the biggest BTC scam ever.
theeverlastingend
⋅
"One and only reason Bitcoin rallied in 2017" what is this baby's first crypto lol. It's clear from your ramblings you aren't even clear on what a bubble is. Just another perma-bear from forex who can't adjust to the volatility of crypto. Catch up or get out the way
The only money going into cryptos has been day traders gambling and people buying BTC and ETH for ICOs.
Outside of that I'm convinced the average American or any long term sensible investor wants any part of this, which validates your theory and graph.