Old mentality: I have got to buy, the price is going up. I will not sell at $1200, bitcoins will be worth millions.
New mentality: I have got to sell, the price is going down. Why would I hold, I might lose everything.
Old one: Look at these cheap coins ($550 vs $1200) BUY!
New one: Look at these expensive coins. Now they are $550, in 2010 they were only a few cents. SELL!
Old one: I am investing in disruptive technology.
New one: I got scammed!
Lots of people have been burnt buying at 1200, and they want to get out. Many early adopters will try to cash in their fortunes.
Fear will replace greed. Reality will replace delusion.
Look out below.
Bitcoin below 10 dollars in 2014.
For every one person who invested at these high of prices, there are ten others who didn't have the money to even buy 0.1 + worth of btc, a forum I visit daily has people begging for even satoshis to get in on the bitcoin craze.
The point to that statement? If we do ever hit 200$ or less, I expect a HUGE rush to buy in from all the smaller fish that couldn't buy in at these absurd prices and who were waiting for a smaller entry price.
And considering this is the 3rd major bubble, it would probably be in their best interest to do so.
I foresee a sort of "equilibrium" occurring anywhere between 200-300 for at least a few months into the new year.
Shit, after watching all last night, and the crash a week or so ago, 500 could be the new 100 from last summer.
During the past summer we saw 100$ keep pretty steady for a solid few months after that 266 high.
I fully expect another bubble, and then another drop to a quasi equilibrium, rinse and repeat.
But we all know why you're making these forecasts, just as all the other's that predict " BITCOIN TO SUB 100 ITS GONNA CRASH", you're just wanting to get in at a low price since the barrier to enter is so high at the moment.
