ASICMINER Speculation Thread - page 216.

empoweoqwj

hero member

Activity: 518

Merit: 500

Quote from: velacreations on July 01, 2013, 01:14:23 AM

Quote from: empoweoqwj on July 01, 2013, 01:11:27 AM

Quote from: dhenson on July 01, 2013, 12:50:28 AM

In both scenarios AM share price climbs.

Scenario A) USD exchange rate drops: AM is a good hedge against the exchange rate.
Scenario B) USD exchange rate increases: AM share price x USD increase= insane profits. This will spur interest thus more investors increasing share price.

I can certainly buy (B) - increase $$$, everyone feels good, have more money to invest in something bitcoin related. AM is one of the best bets around.

Not sure about (A), how does AM hedge against the exchange rate?

well, for me, AM has helped me acquire more bitcoins, so even though the value of each bitcoin has dropped, my overall value has increased, because i have a lot more bitcoisn than I used to, thanks to AM.

I understand that, we are probably all in that particular boat. But my specific question relates to a sudden change in BTC/USD rate either way. Would AM price go up or down based on that change?

velacreations

sr. member

Activity: 476

Merit: 250

Quote from: freedomno1 on July 01, 2013, 01:02:13 AM

For downward speculation
A victim of fulfilling it's own promises I like that spin Cheesy

https://bitcointalksearch.org/topic/why-are-people-cheering-that-asicminer-will-bring-800-1000th-online-this-year-247168

that thread is hilarious. a bunch of whiners complaining about the free market "oh, look, we can't compete anymore, boo hoo"

They are seriously sitting there saying, please don't grow and make so much money and improve your company, cause I want a piece of the pie, too.

What a bunch of crybabies.

velacreations

sr. member

Activity: 476

Merit: 250

Quote from: empoweoqwj on July 01, 2013, 01:11:27 AM

Quote from: dhenson on July 01, 2013, 12:50:28 AM

In both scenarios AM share price climbs.

Scenario A) USD exchange rate drops: AM is a good hedge against the exchange rate.
Scenario B) USD exchange rate increases: AM share price x USD increase= insane profits. This will spur interest thus more investors increasing share price.

I can certainly buy (B) - increase $$$, everyone feels good, have more money to invest in something bitcoin related. AM is one of the best bets around.

Not sure about (A), how does AM hedge against the exchange rate?

well, for me, AM has helped me acquire more bitcoins, so even though the value of each bitcoin has dropped, my overall value has increased, because i have a lot more bitcoisn than I used to, thanks to AM.

empoweoqwj

hero member

Activity: 518

Merit: 500

Quote from: dhenson on July 01, 2013, 12:50:28 AM

In both scenarios AM share price climbs.

Scenario A) USD exchange rate drops: AM is a good hedge against the exchange rate.
Scenario B) USD exchange rate increases: AM share price x USD increase= insane profits. This will spur interest thus more investors increasing share price.

I can certainly buy (B) - increase $$$, everyone feels good, have more money to invest in something bitcoin related. AM is one of the best bets around.

Not sure about (A), how does AM hedge against the exchange rate?

freedomno1

legendary

Activity: 1806

Merit: 1090

Learning the troll avoidance button :)

Quote from: TsuyokuNaritai on July 01, 2013, 12:53:40 AM

Quote from: velacreations on June 30, 2013, 08:06:39 PM

Quote from: freedomno1 on June 30, 2013, 07:12:10 PM

Speculation
Price is rising where is Jutaruls second wall going to be Grin

5

The wall previous to 2.5 was at 0.5, there was nothing between them.

https://bitcointalksearch.org/topic/asicminer-fixed-price-auction-148198

So if he's going in multiples of five... 12.5 Grin

No guarantee he'll follow that pattern though. If he's sensible he'll stop dropping so many all in one go at fixed price. He has the right to do so, it's a free market, but it's throwing BTC away.

Well hes pretty much a multi millionaire so whats throwing a few Btc
Got to have 3-FA guard dogs by now Cheesy

https://bitcointalksearch.org/topic/the-vladimir-club-98239

For downward speculation
A victim of fulfilling it's own promises I like that spin Cheesy

https://bitcointalksearch.org/topic/why-are-people-cheering-that-asicminer-will-bring-800-1000th-online-this-year-247168

TsuyokuNaritai

hero member

Activity: 574

Merit: 500

Quote from: velacreations on June 30, 2013, 08:06:39 PM

Quote from: freedomno1 on June 30, 2013, 07:12:10 PM

Speculation
Price is rising where is Jutaruls second wall going to be Grin

5

The wall previous to 2.5 was at 0.5, there was nothing between them.

https://bitcointalksearch.org/topic/asicminer-fixed-price-auction-148198

So if he's going in multiples of five... 12.5 Grin

No guarantee he'll follow that pattern though. If he's sensible he'll stop dropping so many all in one go at fixed price. He has the right to do so, it's a free market, but it's throwing BTC away.

dhenson

legendary

Activity: 994

Merit: 1000

In both scenarios AM share price climbs.

Scenario A) USD exchange rate drops: AM is a good hedge against the exchange rate.
Scenario B) USD exchange rate increases: AM share price x USD increase= insane profits. This will spur interest thus more investors increasing share price.

empoweoqwj

hero member

Activity: 518

Merit: 500

Quote from: freedomno1 on July 01, 2013, 12:19:36 AM

Well as long as investors do their research
Those that bought the wall at 2.5 Don't really care too much about a correction at 4
Newer investors though will need to balance yield risk and reward as the price keeps rising

I bought the wall at 2.5, but I don't see a correction coming at 4, too much upward momentum at the moment which I think will carry it past 5.

People have been talking about "hedge against drop in price of BTC". I was wondering the same last night ...

Two scenarios I was considering:

1) BTC price against USD drops to $50 to $60. Would AM shares rise or drop on this news?
2) BTC price against USD rises to $130+ - would AM shares rise or drop on this news?

Any precedents in the last year e.g. what happend to AM share price when BTC bubble was (a) expanding and then (b) burst?

freedomno1

legendary

Activity: 1806

Merit: 1090

Learning the troll avoidance button :)

Well as long as investors do their research
Those that bought the wall at 2.5 Don't really care too much about a correction at 4
Newer investors though will need to balance yield risk and reward as the price keeps rising

deltanine

full member

Activity: 231

Merit: 100

Quote from: velacreations on June 30, 2013, 11:58:50 PM

Quote from: dhenson on June 30, 2013, 11:49:34 PM

Well... I've been invested in AM for approximately 3 weeks. I invested approx. 13k USD worth of bitcoin and it's now worth approx 21k USD worth of bitcoin taking the falling btc/usd exchange rate into account.

As long as you increase your btc value faster than the usd/btc exchange rate drops you are fine.

+1

I have been with AM since .4, where I spent all my btc to buy 12 whole shares!

I now have over 50, and I've cashed out btc several times to buy things and do stuff.

So, even though BTC lost 60% or whatever, my value has increased considerably.

Yes, well it seems that anyone invested in AM for a week or more has similar success stories of varying degrees. Correlation does not always equal causation, however. I think we should all be careful in convincing ourselves that this is a proper hedge against our BTC investments.

deltanine

full member

Activity: 231

Merit: 100

Quote from: freedomno1 on June 30, 2013, 11:48:33 PM

Quote from: deltanine on June 30, 2013, 11:46:59 PM

Quote from: velacreations on June 30, 2013, 04:40:07 PM

Plus, it's a good hedge against falling BTC/USD.

I've seen it mentioned a couple of times that investment in AM was a good hedge against the falling price of Bitcoin. That seems counter-intuitive to me. Could someone explain how this is possible?

That being said... long live AM and the friendly friendcat!

Physical assets
If Bitcoin ever was replaced by something superior that used mining they could build units for it
Or they will make a new company with new risks

Maybe you're right. But it seems to me that if we saw a major crash in the value of bitcoin, the pressure to sell AM shares in order to first get them to BTC and then sell for fiat would be incredible.

stripykitteh

legendary

Activity: 1176

Merit: 1001

CryptoTalk.Org - Get Paid for every Post!

Quote from: empoweoqwj on June 30, 2013, 11:30:58 PM

In this game, shipping "eventually" equates to not shipping at all.

AM will have competition, but the BFL clowns have proven conclusively it isn't going to be them.

Any competitors will really have to step up though and be incredibly efficient to grab a hold of the cat.

Yes, real competition will be in the form of a company that can do what AM have done - manufacture stock in quantity so that they can fulfill orders on demand. AM don't do pre-orders; they just sell stuff they've made. BIG difference.

Some of the current players may get to that point, but so far none have, and of those BFL look like the least likely contender. This time last year it was BFL's game to lose, now it's ASICMINER's.

velacreations

sr. member

Activity: 476

Merit: 250

Quote from: dhenson on June 30, 2013, 11:49:34 PM

Well... I've been invested in AM for approximately 3 weeks. I invested approx. 13k USD worth of bitcoin and it's now worth approx 21k USD worth of bitcoin taking the falling btc/usd exchange rate into account.

As long as you increase your btc value faster than the usd/btc exchange rate drops you are fine.

+1

I have been with AM since .4, where I spent all my btc to buy 12 whole shares!

I now have over 50, and I've cashed out btc several times to buy things and do stuff.

So, even though BTC lost 60% or whatever, my value has increased considerably.

dhenson

legendary

Activity: 994

Merit: 1000

Quote from: deltanine on June 30, 2013, 11:46:59 PM

Quote from: velacreations on June 30, 2013, 04:40:07 PM

Plus, it's a good hedge against falling BTC/USD.

I've seen it mentioned a couple of times that investment in AM was a good hedge against the falling price of Bitcoin. That seems counter-intuitive to me. Could someone explain how this is possible?

That being said... long live AM and the friendly friendcat!

Well... I've been invested in AM for approximately 3 weeks. I invested approx. 13k USD worth of bitcoin and it's now worth approx 21k USD worth of bitcoin taking the falling btc/usd exchange rate into account.

As long as you increase your btc value faster than the usd/btc exchange rate drops you are fine.

freedomno1

legendary

Activity: 1806

Merit: 1090

Learning the troll avoidance button :)

Quote from: deltanine on June 30, 2013, 11:46:59 PM

Quote from: velacreations on June 30, 2013, 04:40:07 PM

Plus, it's a good hedge against falling BTC/USD.

I've seen it mentioned a couple of times that investment in AM was a good hedge against the falling price of Bitcoin. That seems counter-intuitive to me. Could someone explain how this is possible?

That being said... long live AM and the friendly friendcat!

Physical assets
If Bitcoin ever was replaced by something superior that used mining they could build units for it
Or they will make a new company with new risks

deltanine

full member

Activity: 231

Merit: 100

Quote from: velacreations on June 30, 2013, 04:40:07 PM

Plus, it's a good hedge against falling BTC/USD.

I've seen it mentioned a couple of times that investment in AM was a good hedge against the falling price of Bitcoin. That seems counter-intuitive to me. Could someone explain how this is possible?

That being said... long live AM and the friendly friendcat!

empoweoqwj

hero member

Activity: 518

Merit: 500

Quote from: tinus42 on June 30, 2013, 06:34:38 PM

Quote from: ?? on ??

Old news, and now that they are shipping (albeit slowly) refunds do not make sense (and they always said sales were "final"). Old news and non-news.

BFL will surely ship eventually. It would be folly to completely disregard the competition.

In this game, shipping "eventually" equates to not shipping at all.

AM will have competition, but the BFL clowns have proven conclusively it isn't going to be them.

Any competitors will really have to step up though and be incredibly efficient to grab a hold of the cat.

velacreations

sr. member

Activity: 476

Merit: 250

Quote from: freedomno1 on June 30, 2013, 07:12:10 PM

Speculation
Price is rising where is Jutaruls second wall going to be Grin

5

statdude

legendary

Activity: 1498

Merit: 1000

Quote from: freedomno1 on June 30, 2013, 07:12:10 PM

Speculation
Price is rising where is Jutaruls second wall going to be Grin

Guess: 5

freedomno1

legendary

Activity: 1806

Merit: 1090

Learning the troll avoidance button :)

Speculation
Price is rising where is Jutaruls second wall going to be Grin

Topic: ASICMINER Speculation Thread - page 216. (Read 808768 times)