Topic: Bitcoin will never again be priced over $300. - page 6. (Read 4741 times)
There's a really simple explanation. The cost per coin could easily head north of $300 again when demand out weighs the supply. If there is enough adoption 21 million coins is not enough to go around. Also the currency velocity is a dull argument, bitcoin's only purpose is not for transactions but also a store of wealth and possibly even a reserve currency one day. We are still in a high inflationary area of the new bitcoins per day, but needless to say this drastically decreases over time. It's a digital asset that cannot be faked. If 21 million people were interested in bitcoin the price would easily head north of 4 figures. There's a lot more to the bitcoin price than just mining costs.
The only real value still built in is that of the electricity and hardware costs.
As global mining operations continue to consolidate, mining efficiency increases. This trend is predictable and irreversible. Therefore that intrinsic "cost of creation" declines at a rate that's also predictable.
Any speculative value that's currently built in is also fated to decline as trading efficiency increases and arbitrage opportunity disappears -- not to mention that the classic early-stage hype bubble has come and gone.
Finally, any commerce/transactional-discount value that's currently built in will decrease as the user marketplace approaches ubiquity and merchant competition dilutes potential margin plays.
... I look forward to intelligent, reasoned arguments for how Bitcoin will again find a value north of $300.
Ben
As global mining operations continue to consolidate, mining efficiency increases. This trend is predictable and irreversible. Therefore that intrinsic "cost of creation" declines at a rate that's also predictable.
Any speculative value that's currently built in is also fated to decline as trading efficiency increases and arbitrage opportunity disappears -- not to mention that the classic early-stage hype bubble has come and gone.
Finally, any commerce/transactional-discount value that's currently built in will decrease as the user marketplace approaches ubiquity and merchant competition dilutes potential margin plays.
... I look forward to intelligent, reasoned arguments for how Bitcoin will again find a value north of $300.
Ben
Same.
BMB
The only real value still built in is that of the electricity and hardware costs.
As global mining operations continue to consolidate, mining efficiency increases. This trend is predictable and irreversible. Therefore that intrinsic "cost of creation" declines at a rate that's also predictable.
Any speculative value that's currently built in is also fated to decline as trading efficiency increases and arbitrage opportunity disappears -- not to mention that the classic early-stage hype bubble has come and gone.
Finally, any commerce/transactional-discount value that's currently built in will decrease as the user marketplace approaches ubiquity and merchant competition dilutes potential margin plays.
... I look forward to intelligent, reasoned arguments for how Bitcoin will again find a value north of $300.
Ben
As global mining operations continue to consolidate, mining efficiency increases. This trend is predictable and irreversible. Therefore that intrinsic "cost of creation" declines at a rate that's also predictable.
Any speculative value that's currently built in is also fated to decline as trading efficiency increases and arbitrage opportunity disappears -- not to mention that the classic early-stage hype bubble has come and gone.
Finally, any commerce/transactional-discount value that's currently built in will decrease as the user marketplace approaches ubiquity and merchant competition dilutes potential margin plays.
... I look forward to intelligent, reasoned arguments for how Bitcoin will again find a value north of $300.
Ben
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