I buy on Coinbase and then use those Bitcoins to pay for my order.
Why would you do that?
Doesn't it cost you more than buying outright with fiat?
Topic: If someone buys Bitcoin today, they'll be lucky to see a 300%+ ROI. - page 7. (Read 17741 times)
March 02, 2014, 04:42:45 PM
I buy on Coinbase and then use those Bitcoins to pay for my order.
Why would you do that?
Doesn't it cost you more than buying outright with fiat?
March 02, 2014, 04:25:52 PM
yes you do make really valid points there, but again who though that bitcoin could go to $1000 in one year when buying at $10 ....
It took $6.8 billion to get from $10 to $500. It would take $63 billion to get to $5000/Bitcoin. A lot of people are counting on Wall St. and institutional investors to make that happen, but $63 billion is A LOT of money, even for Wall St. How likely is it that investors will come up with $63 billion to put into a speculative currency?
FED is still printing $75 billion per month and it will take only one month to reach that goal, there are already trillions of dollars printed since 2008 and they are all waiting to be invested
I just don't see any reason to change a money with limited supply for a money with unlimited supply. Do you urgently need those dollars to buy a yacht? 8000 coin is almost 1/2625 of the bitcoin money supply, but 6 million us dollar is almost nothing in USD monetary base, and it will continuously shrink due to exponentially increasing money supply of USD
As for alt-coins, none of them have the infrastructure (hash power) to withstand an attack or hard fork
March 02, 2014, 04:24:47 PM
bitcoin is gonna have an incredible network effect, so i highly doubt $100k+ isnt possible in less then 8 years
Not really, think about it its not that great. Ripple much superior as a protocol
March 02, 2014, 04:11:52 PM
bitcoin is gonna have an incredible network effect, so i highly doubt $100k+ isnt possible in less then 8 years
March 02, 2014, 03:32:05 PM
For the record, I just sold all of my Bitcoins.
Given the viewpoint you expressed above, I'm surprised that you didn't sell your bitcoins in November to January for over $1000. Why did you feel they were worth holding at a higher price a few months ago, and worth selling now at a lower price today?
I should have clarified. I didn't sell all of my Bitcoins just now. I've been gradually selling them on the way up, and sold the last large chunk in the last 48 hours.
I think most investors slowly divest as the price climbs. This is a logical way to diversify.
But what I wanted to know is why did you feel the "last large chunk" was worth holding at a higher price a few months ago, and worth selling now at a lower price today?
The top was not obvious until it was passed. I was hoping to see a return to the $800 level before I sold the remainder, but the Mt.Gox fiasco has motivated me to sell earlier.
So you're not long. Figured as much.
March 02, 2014, 03:28:40 PM
these previous 2 posts reflect in a nutshell the current market standoff: those who are looking backwards, and basing their estimations on the past, and those who are leaning forwards, basing their estimations on an assesment of the future.
March 02, 2014, 03:05:58 PM
i think we are seeing 2011 play out, maybe $100 by march end. Bitcoin is less attractive as an investment after gox demise
I dont think so, what we are seeing now is the pressure it takes to change the way we do things. We have used exchanges to trade our btc, soon we will trade btc in the client itself, I have read some interesting projects for decentralized exchanges and when we get there its practically game over for the nay sayers.
March 02, 2014, 02:58:00 PM
i think we are seeing 2011 play out, maybe $100 by march end. Bitcoin is less attractive as an investment after gox demise
March 02, 2014, 02:55:02 PM
I hope you enjoy your gains. I still think it's worth squirreling away a symbolic amount, 21 perhaps.
Having said that being out completely is probably going to be better for your social life and blood pressure.
Having said that being out completely is probably going to be better for your social life and blood pressure.
March 02, 2014, 02:47:39 PM
Props to the OP for making a very fat profit. If it were me I would've kept a few hundred coins just in case.
I'll admit I'm a little extreme when it comes to my investing/trading decisions. It's how I ended up in Bitcoin in the first place. I *did* hold onto those last few hundred coins for three months, but I've made my decision, and I'm out.
March 02, 2014, 02:35:33 PM
True true.
But for better or worse professional investors, VCs and large finance is slowly waking up. Unless I'm mistaken that was never the case for beanie babies.
But for better or worse professional investors, VCs and large finance is slowly waking up. Unless I'm mistaken that was never the case for beanie babies.
March 02, 2014, 02:32:02 PM
Well, if it can go from zero to $1000+ off the back of a few hundred thousand enthusiasts, scammers and libertarian whack jobs then all bets are off if it gains traction in the wider world.
There are ever increasing rumblings of that being the case.
2014 may not set the world on fire in terms of returns, it is creating the building blocks for the infrastructure it requires to spread far and wide.
There are ever increasing rumblings of that being the case.
2014 may not set the world on fire in terms of returns, it is creating the building blocks for the infrastructure it requires to spread far and wide.
Umm, telling the truth that it's based on enthusiast, scammers and crazy anarchist and state denying libertarians isn't really a positive thing.
Many bubbles have had crazy people and they didn't end too well... Some survive out of those and the value stagnates a long time... Maybe never recovering or going up again...
March 02, 2014, 02:31:47 PM
Props to the OP for making a very fat profit. If it were me I would've kept a few hundred coins just in case.
March 02, 2014, 02:27:59 PM
yes you do make really valid points there, but again who though that bitcoin could go to $1000 in one year when buying at $10 ....
It took $6.8 billion to get from $10 to $500. It would take $63 billion to get to $5000/Bitcoin. A lot of people are counting on Wall St. and institutional investors to make that happen, but $63 billion is A LOT of money, even for Wall St. How likely is it that investors will come up with $63 billion to put into a speculative currency?
You definitely not understand market capitalization , you dont need 63 billion dollars to get 5,000 dollar coins.
This is correct. Explaining the valuation of bitcoin seems to be intrinsically hard.
Think of a game of tennis, where one player hits the ball and it travels over the net to the opponent. Then imagine the audience, their heads turning from one player to the other. It is the market players that change their valuation. If the players value bitcoin higher, whether they have some, many or none, the price also rises. Nothing has to move. The price we see on the market is only a part of it, namely we see a price when someone who valued it low, reconsiders and values it higher than the current offer. If some permabull changes his valuation of the first coin he might sell, from f.ex 1000 USD to 2000 USD, we don't see that on the market.
The value enters into bitcoin from whatever the participants earlier placed value on. It could be fiat money, cars, houses, beer or whatever. There doesn't even have to be equality between the old and bitcoin. So if everyone sold their dollars for bitcoin to the extent that the dollar lost all value, the total value of bitcoin will not necessarily be the same as the total value of the dollar now. It could be more, or less.
March 02, 2014, 02:13:52 PM
In this case first mover status means that it's taken a beating that'll echo down the centuries.
It's still standing and many are still choosing to trust it. That counts for rather a lot more than any groovy innovations.
It's still standing and many are still choosing to trust it. That counts for rather a lot more than any groovy innovations.
March 02, 2014, 02:09:42 PM
Is Bitcoin really a good store of value if 35% of Bitcoins are held in only 500 addresses?
As much as I don't like paraphrasing Paul Krugman, I think you're conflating normative and positive analysis here. You are basically making the argument that Bitcoin has a socially undesirable element to it because it has high wealth concentration. However, that does not mean jack to someone looking to preserve the value of their own wealth, and people who have wealth will not put their money into media that try to wash wealth disparities away. Bitcoin has among the lowest inflation rates of cryptocurrencies, with the exception of 100% premined/presold coins like MSC, XRP and NXT, but most importantly it has the Schelling point aspect of being the first cryptocurrency out there. Bitcoin is temporally antecedent to every other crypto, and that is one property that it will never lose; hence, it will always be "special" amidst a sea of innumerable other cryptos no matter how powerful they are. That's why I can see it maintaining its value for quite a long time as a digital gold.
You make a good counter-argument, but I'm not sure if "first mover" status is sufficient to generate a large ROI going forward. It might be, but I'm not convinced.
March 02, 2014, 02:07:25 PM
Aside from all the possible counter-arguments, there's an implication here that 300% is a poor rate of return. Tell that to the average stock investor.
For sure this is very risky and it could be -1000% too.How do you manage to lose more than 100%?
March 02, 2014, 02:05:44 PM
Well, if it can go from zero to $1000+ off the back of a few hundred thousand enthusiasts, scammers and libertarian whack jobs then all bets are off if it gains traction in the wider world.
There are ever increasing rumblings of that being the case.
2014 may not set the world on fire in terms of returns, it is creating the building blocks for the infrastructure it requires to spread far and wide.
There are ever increasing rumblings of that being the case.
2014 may not set the world on fire in terms of returns, it is creating the building blocks for the infrastructure it requires to spread far and wide.
March 02, 2014, 02:00:16 PM
Wow you're rich! Send me some coins! 
March 02, 2014, 01:50:50 PM
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