Yup. Europeans market have been in the red for quite a few days also... and now the Americans (as in the true definition of the word).
Fun times.
Thanks, I didn't know about the European info (odd considering I'm in Germany).
I have heard from a few different sources (reliable with other stock market top calls) that the DOW will hit 16000 or so
max and then POP goes the weasel. That will also coincide with a fall of the dollar.
Not saying I believe that, but I am watching for that...
Devaluation of the Dollar is actually what drives the market up
I understand that quite well. I prefer to just call it inflation, soon to be hyperinflation if they keep doing what they are doing. They are printing 85 billion new dollars every month. The banks that receive this are investing some of those $$$ in the stock market. The Fed I believe has as much as said that they are involved in asset (stock market) allocation. People who have money in the bank, hurt by artificially low interest rates are also putting money in the stock market. So, we have a sideways to falling economy, decreasing productivity, very high unemployment rates, people working 2 or more jobs and often being completely overqualified for what they are doing = A rising stock market. I guess most folks believe CNN, FOX, etc.
Anyway, the thing that is keeping things going is that people believe in the money.
Money is essentially faith, we are seeing that with BTC. Intriniscally it has value for a few reasons, most notably its cryptographic security imo. Once people stop believing in the dollar, once they can't keep printing dollars to make the stock market go up (e.g. - worsening economy, rates that need to rise) = POP goes the weasel.
My point with the 16,000 level in the DOW was that, that is around when their game ends, regardless of printing more money or not.
No, we're not seeing "essentially faith" with bitcoin. It's more. I have to agree finally with Max Keiser: bitcoin
does have intrinsic value (I used to argue it was all pure faith). The intrinsic value of bitcoin is it's scarcity combined with the fact that you can send it through the internet anonymously. That's intrinsic value right there.
I did say it has value intrinsically and I did say for a few reasons (and I am VERY familiar with Keisser and like the guy). I am saying, you still need faith for a money to work. Whether or not you see it as primary or secondary is just semantics.
If BTC was scarce but not secure (cryptographically), it wouldn't matter much, now would it? Bitcoin isn't anonymous. I would say it is pseudoanonymous (experts seem to agree here). You really have to know what you are doing to make it anonymous. I can imagine that if BTC follows money regulations, they will probably go after those trying to be completely anonymous. Not saying I like that, but can't imagine them not at least trying, just like they have been with torrent for years (and failing of course).
And by faith, that is not a bad thing. That is the center of money, that is what keeps it going. We all know BTC is valuable intrinsically, but the number of people I have to explain to what money is (that have lots of it, use it, etc.) just shows you people have faith in it. They don't understand it. They really have no idea on basic things like fractional reserve banking and such.
