Topic: What is really backing the price? (Read 3148 times)
You forgot the ASIC manufacturers investing in BTC.
tulip bulbs are backing the price
where's #5? you missed the US gvt investing and NSA and CIA mainframes mining bitcoin to pay us debt. 
Another ridiculous comment! I didnt think there would be more
I think you should read this. If that gets throug to your control center, read David Graeber - Debt: the First 5000 Years.
The May 2011 bubble went from 2 to 31 back to 2. Then there was 1.5 years of relative price stablility in the the 5-15 range that ended in Jan 2013 printing a value of 13.50. The next bubble was from there to 266 briefly. The resulting crash saw a low of 65 on July 1 and then relative price stability between 100-150 for awhile. Now BTC has printed an ATH at 272.52 just last night and if you think this is a bubble I would disagree, barring a catastrohpic failure or the like the next bubble will be in the 500 range with subsequent price stability around 300 for a few months.
It's clearly a bubble. $20-30 price rises every day are not sustainable. It is going to pop and a lot of people will loose money.
I agree about the bubble, but you might look at it the other way, some people will profit nicely
Only those who buy high and sell cheap loose money
Is BTC new world order currency?
I hope not. I think New World Order currency will be a chip embedded in your flesh which controls how much credit you are allowed. ie Fiat and debt based just like now, except with different branding. They might need to partially back with gold or something for a little while to get confidence restored.
Unless you are one of the elite in which case gold is the money, always has been and always will be.
It's clearly a bubble. $20-30 price rises every day are not sustainable. It is going to pop and a lot of people will loose money.
Only if they buy high sell cheap.... they can always wait for it to stabilize back above the price they entered. Could happen.
It's clearly a bubble. $20-30 price rises every day are not sustainable. It is going to pop and a lot of people will loose money.
You forget the most important factor : Paper printer FED & ECB
Quote
The supply is fixed. Nobody can 'regulate' it for us in their own best interest."
BTC is backed up by the only thing that ever backs up a price:
demand.
demand.
Is there any published information or reports on whether the majority of bitcoins are concentrated in the hands of a small number of accounts?
Also, I don't understand how the miners could potentially be a part of price manipulation other than possibly hoarding the currency, which would seem to make it so that they cannot recover their investments any time soon.
Also, I don't understand how the miners could potentially be a part of price manipulation other than possibly hoarding the currency, which would seem to make it so that they cannot recover their investments any time soon.
Maybe this helps:
https://bitcointalksearch.org/topic/bitcoin-top-500-richest-321265
and if interest some known facts:
https://bitcointalksearch.org/topic/m.3346240
Some good points..though I expected more disassembly of my "analysis"
Don't get me wrong I have invested a bit but it feels more like gambling than investing.
Bitcoin: Tulips of the 21st century?
Don't get me wrong I have invested a bit but it feels more like gambling than investing.
Bitcoin: Tulips of the 21st century?
Is there any published information or reports on whether the majority of bitcoins are concentrated in the hands of a small number of accounts?
Also, I don't understand how the miners could potentially be a part of price manipulation other than possibly hoarding the currency, which would seem to make it so that they cannot recover their investments any time soon.
Also, I don't understand how the miners could potentially be a part of price manipulation other than possibly hoarding the currency, which would seem to make it so that they cannot recover their investments any time soon.
Right now at this very moment the fiat price of 1BTC is rallying, and i highly suspect it's because of the number of speuclators entering. I think most people would think that it's a 'bubble' or a bubble is taking place however we have to take note that if more and more people know about BTC and decides to adopt it, the value of 1BTC will continually rise to ranges like 1k-10k without any real limitations.
Warran Buffet might be the one backing the price,who knows
You forget the most important factor : Paper printer FED & ECB
It is backed by its advantages as an online currency.
Some of the properties inherent in bitcoin and lacking from all the alternatives (except perhaps other cryptocoins) are the basis for the believe that it will be a currency of importance in the future.
This therefore creates demand and the price is then determined via the usual demand/supply mechanisms.
- You can send it virtually instantly to anyone across the planet without needing a third party service (but miners)
- Transactions are transparant and final
- The supply is fixed. Nobody can 'regulate' it for us in their own best interest.
- It can't be counterfeited
- It is essentially impossible to steal if your wallets are encrypted well.
- You can safely store it in many locations simultaneously
- It takes up no space
etc. These things have been discussed ad tedium.
Some of the properties inherent in bitcoin and lacking from all the alternatives (except perhaps other cryptocoins) are the basis for the believe that it will be a currency of importance in the future.
This therefore creates demand and the price is then determined via the usual demand/supply mechanisms.
- You can send it virtually instantly to anyone across the planet without needing a third party service (but miners)
- Transactions are transparant and final
- The supply is fixed. Nobody can 'regulate' it for us in their own best interest.
- It can't be counterfeited
- It is essentially impossible to steal if your wallets are encrypted well.
- You can safely store it in many locations simultaneously
- It takes up no space
etc. These things have been discussed ad tedium.
Well here is some interesting info:
https://bitcointalksearch.org/topic/m.3346240
Also i can buy anything i want, but only for a bitcoin at the atm to i need to provide my fingerprint. WTF
http://www.youtube.com/watch?v=PFqBtvLVRpY&feature=youtu.be
Its only the beginning, its a step by step process and at times ahead your blockchain data locks like a spider-web with all your transactions visible for everyone for ever. Cash on the other hand is truly anonymous and will be illegal as soon as possible.
https://bitcointalksearch.org/topic/m.3346240
Also i can buy anything i want, but only for a bitcoin at the atm to i need to provide my fingerprint. WTF
http://www.youtube.com/watch?v=PFqBtvLVRpY&feature=youtu.be
Its only the beginning, its a step by step process and at times ahead your blockchain data locks like a spider-web with all your transactions visible for everyone for ever. Cash on the other hand is truly anonymous and will be illegal as soon as possible.
Bitcoin is the fastest and cheapest means to do international value transfer. In a time when governments are restricting people's ability to transact, an uncensorable transfer mechanism is quite valuable, even before it beats the banks on fees and speed.
As is currently being demonstrated by MTGox and its banks.
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