Topic: If the 75$/bitcoin price was a bubble - page 2. (Read 4251 times)

Don't complain about 50.  IMO, it's a more fundamentally reasonable (stable) rate.


Now, if gov't blunders keep coming - and 'mass adoption' that everyone speculates about, but provides little evidence, does come to fruition.  Then there will be little reason to be bearish.

Im talking about the market cap of VISA and Mastercard and other credit card companies on the stock market - not the transaction value they handle and profit from.

The quick recovery is bullish for sure. But it could still take weeks of chopping around and basing before we break $75. We could even see price < $52 before we see > $75, but I think this is unlikely. 

LOL, bears in denial are so funny

Actually, it can be a Bull trap, and/or denial. Sharp drop, sharp retrace.



500% in three months without a correction, not a bubble? lol People who say it's not a bubble have no experience of financial markets. See, I can make generalizations too!


The fundamentals are no different than in 2009 when the genesis block was mined. A few useless sites that accept Bitcoin is not a fundamental plus. When I can pay my electricity, or car payment, or mortgage, or speeding tickets, or hospital bills, even buy something directly on Newegg (without a third party), etc THAT will be a fundamental change.
How is Bitcoin going to take over the world with only 7tx/second? Mastercard does that on a slow day, with broken machines and a blind lady manually punching in the CC#.
You can't get them easily, and if you buy more than 10, you break the exchanges.

Just because it may potentially be worth $1,000,000,000,000,000,000,000,000,000,000 one day, doesn't mean it's worth it now. I have this shiny new copper penny. It can do all the things listed above, it's physical so you can't delete it, and it still works without internet. Will you buy it for $70?
Bitcoin is not ready to go mainstream. If you push it too fast, before it can handle the volume, the general public will dismiss it faster than they adopt it...The End!


All that said, it will go up further still, after all, it is a bubble

or bubbles

Hey, I dont know where you got your info, but paypal alone had transactions volume of 150billion$.
If Bitcoin will be really become an accepted currency I think you can add additional 0 to the 1000
But its not something that happens within a night, It is still hard to make transactions with bitcoin and it is way more comfortable to deal with Fiat money at the moment. Its a long process that might take additional few years.
 

I regret that I didnt buy bitcoin at levels between 2-5$ where I became aware of bitcoin and became a "believer".

Either you believe in bitcoin or you dont.
If you believe in bitcoin you should invest in bitcoin with at least 10% of your salary each month plus make a big onetime buy on a dip.

My longer term view for bitcoin is bullish: If bitcoin really becomes the no. 1 Internet currency / payment system the valuation should be compared to Visa (106 Billion $) and Mastercard (63 Billion$). If we assume Bitcoin is most suitable for the young generation 25% of total credit card transactions and usable for 10% of their transactions (online and on smartphone) each year the result is that 2,5 % of the worlds total credit card transaction have the potential to move to Bitcoin instead.

If we assume that the valuation of all credit card related companies are 300 billion dollars, Bitcoins valuation should be 7,5 Billion dollars. Since it is in growth we should discount for greater user base in the future so the valuation can be several times greater than established credit card companies - 7,5 x 3 = 22,5 Billion dollars = 1071$/ BTC.

But the way is not straight - I assume we will have many crashes to 1000$. Right now I wouldnt be surprised if bitcoin would crash to 20-30$ before stabilizing.


Conclusion

-Buy bitcoin on huge dips with money you can afford to lose.
-Buy Bitcoin regulary every month if you can
-1000 $/BTC is a realistic target if Bitcoin increases in popularity and a growing ecosystem of bitcoin shops.

http://www.youtube.com/watch?v=jllJ-HeErjU

Not a bubble just a bear trap.

There is no bitcoin bubble. People who say this are generally speaking without any knowledge of bitcoin at all. People who know the fundamentals of bitcoin can see that the only way it is going to be destroyed is by a severe fault of some sort. not because someone wants to sell heaps of bitcoins and the buy demand isn't there at the exact time. Bitcoin will work it's way maybe slowly but it will succeeded the $75. mark.     

It would explode yesterday (23/03/2013)
Losing 30% of its value in few hours and than recover means the value is valid, don't you guys think so?

Although people tend forget that 30% decrease out of 75 is 52.5 while 30% decrease out of 20 is 14 the latter doesn't looks that scary as the first one