Unnatural Bitcoin Price Growth Cannot Be Sustained Indefinitely

Ruhtilg

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Quote from: trickshot22 on June 23, 2016, 05:49:53 PM

Quote from: X-ray on June 23, 2016, 05:29:55 PM

Quote from: alyssa85 on June 17, 2016, 10:26:55 AM

Quote from: Wendigo on June 17, 2016, 05:40:51 AM

I think a lot of people are using Bitcoin as a store of their wealth and not as a digital currency and that's why we are seeing such abnormal jumps in the price.

Yes - the consensus now is that bitcoin is an asset not a currency, and as a result it is behaving very similarly to gold.

even bitcoin became salary for they living, bitcoin became their main jobs to have a living. but exactly as you said a lot of people using bitcoin became an asset,rarely to find people who using it become a currency.

i think we still have a really long time to go until we will reach such a bitcoin popularity that would allow people to work for bitcoins only and to gain their wage only in bitcoins

thats true that after such a huge grow it is impossible that the price will be stable because people are dumping their bitcoins at a very rapid pace then in order to make big profit

There was a big dump then. But things are stable now. The bitcoin price is trading between $600 and 700 now.

trickshot22

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Quote from: X-ray on June 23, 2016, 05:29:55 PM

Quote from: alyssa85 on June 17, 2016, 10:26:55 AM

Quote from: Wendigo on June 17, 2016, 05:40:51 AM

I think a lot of people are using Bitcoin as a store of their wealth and not as a digital currency and that's why we are seeing such abnormal jumps in the price.

Yes - the consensus now is that bitcoin is an asset not a currency, and as a result it is behaving very similarly to gold.

even bitcoin became salary for they living, bitcoin became their main jobs to have a living. but exactly as you said a lot of people using bitcoin became an asset,rarely to find people who using it become a currency.

i think we still have a really long time to go until we will reach such a bitcoin popularity that would allow people to work for bitcoins only and to gain their wage only in bitcoins

thats true that after such a huge grow it is impossible that the price will be stable because people are dumping their bitcoins at a very rapid pace then in order to make big profit

X-ray

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Quote from: alyssa85 on June 17, 2016, 10:26:55 AM

Quote from: Wendigo on June 17, 2016, 05:40:51 AM

I think a lot of people are using Bitcoin as a store of their wealth and not as a digital currency and that's why we are seeing such abnormal jumps in the price.

Yes - the consensus now is that bitcoin is an asset not a currency, and as a result it is behaving very similarly to gold.

even bitcoin became salary for they living, bitcoin became their main jobs to have a living. but exactly as you said a lot of people using bitcoin became an asset,rarely to find people who using it become a currency.

upsidedown75

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Quote from: helloeverybody on June 23, 2016, 09:12:35 AM

Quote from: Ruhtilg on June 23, 2016, 09:09:09 AM

The price has risen too fast in the last months. So there is a big price drop. I think the price needs some correction.

Hopefully the correction is over and £400 is the new floor but the bonus is, if it drops back down to 300 its going to seem like it's cheap. So cheap bitcoins for all if we continue at this rate.

If value goes down again, expect heavy dumps from big holders because they may lose their trust to bitcoins. But there will be those, especially the ones new to bitcoins, who will see the drop of value a very large opportunity to get their hands on bitcoins while it's at it's cheapest possible price.

helloeverybody

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Quote from: Ruhtilg on June 23, 2016, 09:09:09 AM

The price has risen too fast in the last months. So there is a big price drop. I think the price needs some correction.

Hopefully the correction is over and £400 is the new floor but the bonus is, if it drops back down to 300 its going to seem like it's cheap. So cheap bitcoins for all if we continue at this rate.

Ruhtilg

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The price has risen too fast in the last months. So there is a big price drop. I think the price needs some correction.

serjent05

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Quote from: Cryptonitex on June 21, 2016, 11:57:58 AM

Quote from: Snorek on June 17, 2016, 04:55:35 AM

Do you think that bitcoin is undervalued, but we should wait for larger scale adoption, develop infrastructure and services around it first, before pushing it?

Could be a little bit of both, but I think this a bit more. Wait for bitcoin to have it's infrastructure first, and the price will follow after that.

I agree. Infrastracture and development give ways to value increase. Even a rural area for example can significantly increase it's value once infrastracture have been develop in that area. Likely, as what the article wants to convey, BTC price had been pushe upward too fast, that with the current development being the same. I do agree that a sudden inflation will just always be followed by deflation.

Cryptonitex

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Quote from: Snorek on June 17, 2016, 04:55:35 AM

Do you think that bitcoin is undervalued, but we should wait for larger scale adoption, develop infrastructure and services around it first, before pushing it?

Could be a little bit of both, but I think this a bit more. Wait for bitcoin to have it's infrastructure first, and the price will follow after that.

alyssa85

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Quote from: alyssa85 on June 19, 2016, 10:02:41 AM

Just remember that just like gold, prices go up and down. The price of gold was very high in 1979 - and then dropped and didn't recover it's previous highs till about 2005. That is a long time to be underwater. If people have made profits, then cash out an amount to your initial investment, and that way, if it tanks you haven't lost money and if it continues to soar, what you still have invested should be very profitable.

I hope people took my advice and protected some of their profits...

Mandoy

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Quote from: Snorek on June 17, 2016, 04:55:35 AM

"Bitcoin is still undervalued by quite a margin, but we should not run the marathon before we can take our first steps either."

That is the main thought of this article: http://www.newsbtc.com/2016/06/13/unnatural-bitcoin-price-growth-cannot-sustained-indefinitely/

And here is my question. Do you think that bitcoin is undervalued, but we should wait for larger scale adoption, develop infrastructure and services around it first, before pushing it?

or

Bitcoin is undervalued, so it is perfectly fine as it is now and all we need is higher price to push it to the next level and adoption, recognition and userbase will come with it?

Right now bitcoin is still undervalued. Its value price will still go up skyrocketing but we do not know until when will it rise. Later on the future there will be a massive dropdown on bitcoins price. But if bitcoin stocks is still less compared to demands it will continue to increase until 2017 maybe 2018. 2019 and beyond is another story that we cannot predict though.

md1120

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It is priced almost double within 2-3 weeks. Sad thing I only have a small amount of btc, I didn't buy when it's cheap

Cuidler

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Quote from: Daniel91 on June 19, 2016, 10:04:56 AM

Quote from: Kprawn on June 17, 2016, 04:11:42 PM

We will once again see a more stable Bitcoin price, at around $500.. anyone want to quote me on that?

After halving prices will fall to realistic limits, based on supply and demand in the Bitcoin market.
After that, when it happens again some extraordinary event, and demand for Bitcoin suddenly increases, the price will again increase significantly.

After halving the Bitcoin supply is decreased as miners can mine only half of what they are mining now. So its very likely today price is sustainable after halving. But still almost a month till halving, and I believe if correction comes its more likely before halving when the supply is higher rather than after halving with reducted supply.

Daniel91

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Quote from: Kprawn on June 17, 2016, 04:11:42 PM

The rapid price growth will not go on indefinitely... This comes as a direct response from different things going on at the same time... The ETH pumpers are running back to Bitcoin. Roll Eyes

.. and the

coming Halving creating a speculative environment for the Chinese markets. Things will go back to normal after the Halving happened, IF there are not other external environmental things pushing it

any further. We will once again see a more stable Bitcoin price, at around $500.. anyone want to quote me on that?

Yes, I want to quote you on that

In fact, you shared very good reasons for the rapid price growth of Bitcoin.
It logical and normal that such price growth can't last forever.
After halving prices will fall to realistic limits, based on supply and demand in the Bitcoin market.
After that, when it happens again some extraordinary event, and demand for Bitcoin suddenly increases, the price will again increase significantly.
We saw it so many times already

alyssa85

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Quote from: Whosdaddy on June 18, 2016, 03:18:05 PM

Quote from: alyssa85 on June 17, 2016, 10:26:55 AM

Quote from: Wendigo on June 17, 2016, 05:40:51 AM

I think a lot of people are using Bitcoin as a store of their wealth and not as a digital currency and that's why we are seeing such abnormal jumps in the price.

Yes - the consensus now is that bitcoin is an asset not a currency, and as a result it is behaving very similarly to gold.

Yes. Bitcoin is not just crypto based currency, its crypto based digital gold. People just hold their bitcoin for profit like as people reserve gold. A currency is not for holding, currency is a system of money in general circulation. What ever will be the price of bitcoin near future, the price will be not sustainable IMHO.

Just remember that just like gold, prices go up and down. The price of gold was very high in 1979 - and then dropped and didn't recover it's previous highs till about 2005. That is a long time to be underwater. If people have made profits, then cash out an amount to your initial investment, and that way, if it tanks you haven't lost money and if it continues to soar, what you still have invested should be very profitable.

2double0

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This pump is just the start, and negatives are in with their criticism.
But I can say that we will still see a big rise before it ends up back in the garbage prices.
And mind well, don't get trapped.

Whosdaddy

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Quote from: alyssa85 on June 17, 2016, 10:26:55 AM

Quote from: Wendigo on June 17, 2016, 05:40:51 AM

I think a lot of people are using Bitcoin as a store of their wealth and not as a digital currency and that's why we are seeing such abnormal jumps in the price.

Yes - the consensus now is that bitcoin is an asset not a currency, and as a result it is behaving very similarly to gold.

Yes. Bitcoin is not just crypto based currency, its crypto based digital gold. People just hold their bitcoin for profit like as people reserve gold. A currency is not for holding, currency is a system of money in general circulation. What ever will be the price of bitcoin near future, the price will be not sustainable IMHO.

countryfree

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I expect BTC price growth to last indefinitely. That's part of the plan. The market rules and it makes no sense saying BTC is undervalued or overvaled, but the rise we've seen this past 3 weeks is grossly overdone. Change should not be so fast.

mkc

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I think Bitcoin price is due for a pull back. In the long run, it probably will make new high, but for now, it will back to 600 level.

GreenBits

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Quote from: crazyivan on June 17, 2016, 04:08:11 PM

We ve seen this kind of growth before and we all know what happened. So, this growth, this fast, lots of pumping for sure.

On the other hand, I think BTC can reach $1.5k by the end of next year.

I agree, but I wonder if this isn't a price correction so much as a pump. Mining companies will lose out if the price doesn't stay at this level, there is a strong incentive to let the market rise for the time being Wink

Ruhtilg

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The value of bitcoin should increase as more people use it. It is related to the usage, but there is no formular to determine the exact value.

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