The last episode of Silicon Valley was uncanny...and I think that it is related to what happened to bitcoin.
"Silicon Valley" (HBO show)Plot: Richard is voluntarily reducing his company valuation in the series A round on the advice from Monica as to not to have a crazy initial valuation that "Pied Piper"-their company- cannot live up to. Presumably, this would cause up-rounds and steadily increased valuation later on.
How this relates to bitcoin?
It was better for bitcoin to be at $10-30 and rising as it was in 2012 at 200-300% a year.
Instead, bitcoin blew up sky high to $1200, X100 fold or 10000% in a year!
Bitcoin could not hold valuation, and as a result, it is facing an equivalent of valley's "down" round, which manifested itself in criticism for excesses, Foundation alleged insolvency, overall negativity etc. etc. Who wants to be associated with a currency in decline?
Best bitcoiners should have limited the parabolic rise, instead, they praised it and now almost all long positions are losing money, reducing the desire of anyone to open a new long position.
Steady rise would have been so much more conducive to bitcoin development.
Oh, well.
"Silicon Valley" (HBO show)Plot: Richard is voluntarily reducing his company valuation in the series A round on the advice from Monica as to not to have a crazy initial valuation that "Pied Piper"-their company- cannot live up to. Presumably, this would cause up-rounds and steadily increased valuation later on.
How this relates to bitcoin?
It was better for bitcoin to be at $10-30 and rising as it was in 2012 at 200-300% a year.
Instead, bitcoin blew up sky high to $1200, X100 fold or 10000% in a year!
Bitcoin could not hold valuation, and as a result, it is facing an equivalent of valley's "down" round, which manifested itself in criticism for excesses, Foundation alleged insolvency, overall negativity etc. etc. Who wants to be associated with a currency in decline?
Best bitcoiners should have limited the parabolic rise, instead, they praised it and now almost all long positions are losing money, reducing the desire of anyone to open a new long position.
Steady rise would have been so much more conducive to bitcoin development.
Oh, well.
It's almost as if powerful, wealthy people might have "pumped" bitcoin, just so that it's price can fall from an unsustainably high place, having the effect of actually discouraging the Joe Public from buying it because they don't trust it.
Oh, wait...
