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Topic: what is bubble? - page 3. (Read 746 times)

newbie
Activity: 11
Merit: 0
October 25, 2017, 11:14:18 PM
#2
It's called a bubble when something is hugely overvalued. Usually this happens when lots of people are so excited about something that they put a lot more money into it than it is really worth. At some point, the market realizes that the actual worth of this thing is really a lot lower and people start selling it off. That's when the bubble pops. The financial crises of 2008 was also a bubble, caused by too many people buying into real estate (facilitated by shady practices of banks). Some people say Bitcoin is in a bubble because the excitement over it is huge and a lot of money is flowing into it. Hope that helps.
member
Activity: 266
Merit: 10
October 25, 2017, 10:21:10 PM
#1
Few years ago some economic specialist says Bitcoin is a huge bubble.
why they said it? and what is the meaning of the bubble?
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