Bitcoin Forum

Robert Shiller, professor of economics at Yale University and co-founder of the Case-Shiller Index, expressed his idea about cryptocurrency.

"I'm interested in bitcoin as a sort of bubble. It doesn't mean that it will disappear, that it'll burst forever. It may be with us for a while," said Shiller.

"To me, it's interesting as another example of faddish human behavior. It's glamorous," he added. The bitcoin craze reminds him of tulip mania in the 17th century, the event which is considered one of the first recorded speculative bubbles where a buying frenzy and lofty expectations replace rational justifications for an item's value.

The price of bitcoin grew so fast. The cryptocurrency hurtled above $1,000 in early 2017 after trading at less than a $1 at the beginning of the decade. It even hit an all-time high north of $20,000 in mid-December. (recommend FuninUSA for updated data about cryptocurrency)

A lot of people have benefited from the cryptocurrency investment. But Shiller would still like to see it as a psychology experiment. “It is more psychological than something that could be explained by the computer science department,” He said.

Bitcoin held above $8,000 on Friday morning after topping that level a day earlier. The two-day rally comes after a weak start to April likely tied to tax-related selling. Prices dipped below $7,000 earlier this month.

Will the bitcoin disappear? What's the true value of bitcoin? What essence in bitcoin are we paying for? ???

Yes investing in crypto market involves a psychological aspect also. But it’s wrong to address crypto only as a psychological experiment. It’s much more than that. I think crypto is definitely a serious investment because it needs a lot of experience and exposure to the market to trade profitably. Only experimenting with it will not yield favorable results. On the hand how much profit a trader can earn depends on the psychology of the investor like how he responds to the losses, etc.

Do you know why most of the time educated man is physically and mentally absence in reality? Because they have a world of its own. This is why most of the time they’re outdated and technologically ignorance. They’re mostly using book rather than ebooks or computers. Not all, but most of them.

If this man is my professor I would rather home study than hearing lectures that is in old fashion.

I hate those who give an expert opinion on things they don’t know or close minded because of self interest. Most probably he invested in stock market and find bitcoin as a threat.

I wouldn't be surprise such statement coming from a economist. We all know that they hate bitcoin and for them, anything that defies economic law is pure garbage and will not take off. However, crypto has been in existing for almost a decade now so I disagree with him that this is just a experiment. More people have been investing on it, yeah its a speculative assets but I'm sure that it has been a good investment instrument for most of us specially in the last 2 years or so.

He's literally grasping at one event, of the 2017 bull market. Obviously, after such huge surges in price, a bear market was bound to kick in and prices could not have been sustainable at such high levels. The crypto bull market was definitely fueled by fomo buying, as with any investment, even stocks. But bitcoin itself is not a "psychological experiment".

Its value comes from the fact that it is decentralized, and that nobody can manipulate with the supply, unlike fiat currencies.

I just simply don't see how a comparison of tulips to bitcoin is fair, when bitcoin is a practical currency that has already benefited a lot of people because of its convenience of sending money, and also as a store of value. Bitcoin is a serious investment, you'd be proven wrong if you think otherwise with time.

Bolded: it sounds like Robert Shiller is claiming blockchain has no real world application in computer science, security, finance or otherwise legitimate software engineering fields. Almost as if Shiller doesn't realize shipping firms and many others are utilizing blockchain technology in ledgers and banks are being forced to rollout faster transactions with lower fees to better compete with bitcoin, after decades of industry wide stagnation. Perhaps this serves as a real world example why armchair economists should not comment on things they do not understand or have experience with.  

It also sounds like Shiller is claiming neither bitcoin nor crypto currencies have anything of value to offer the world. As an economist he should appreciate the thought experiment bitcoin and crypto currencies offer in terms of decentralization, deflation, limited supply, algorithmically limited production of assets and other interesting and thought provoking discussions which bitcoin brings to the table.

Lastly, Shiller should appreciate the high growth of bitcoin/crypto users worldwide. Robinhood trading platform gained near to 1 million new sign ups after announcing crypto currency support.

Bitcoin could offer a safe haven for consumer wealth in the event of a worst case scenario where the dollar or euro default. They also offer financial services to many poor demographics who could not afford a bank account or platform which allows them to electronically execute transactions or transfer money.

 Shiller sound more like a youtuber who attacked bitcoin only because they were paid to than he does someone speaking as an objective and independent economist here. The same might be said of Paul Krugman and many other economists who have commented on bitcoin.

I barely disagree to the part where sir Robert Shiller said that cryptocurrency is more like a "psychology experiment", I think that is not an appropriate term. He was able to say those things maybe because crypto's ups and downs of price in the market  greatly affect our behavior as a person. Well, that's true and pretty obvious; panic seller is one of the good example. But technically speaking, crypto is definitely a serious investment and not directly related with psychological stuffs.

I do believe that bitcoin will not be with us for awhile but it's here to stay.
The true value of bitcoin depends on how big is the current market cap. The true value of bitcoin now for everyone is its worth isn't just a cryptocurrency but it's more of an asset now.
And about Robert Shiller, I guess he knows many things about bitcoin but he's giving his thought for his own interest just like what Dimon did.

Tulips had absolutely no technology backing them. They were not a useful mode of payment. Bitcoin just not comparable to the tulip mania, as much as people want to make comparisons here.

Bitcoin will not disappear, as long as people are using the network, Bitcoin will exist.

The pumps last year may have been a speculative bubble, but that doesn't mean that bitcoin itself is a psychological experiment. It's a currency.

Bitcoin's value comes from the fact that you need to use it to transact on the bitcoin network. It is a long term store of value, it is decentralised, it is disinflationary unlike fiat currencies. Like Hydrogen mentioned, he is completely ignoring the economic benefits that bitcoin brings to the table. Instead, he is treating it as if it was merely an investment scheme, which it is not.

I think all cryptocurrency investment has a strong tie to psychology. The price of bitcoin is based on what we believe the price should be based on how it's being bought and sold. There's nothing holding its value; it's mainly just held down by the opinions of multiple investors. With that, we see a lot of backlash saying that since bitcoin doesn't really have a backing, it shouldn't have a value. However, this is not true. The value comes solely from what people think the value should be and that's what makes Bitcoin so unique. Without that concept, there would be no cryptocurrency markets anyway, and seeing as Bitcoin is valued at over 7,900 USD currently, I think there is a strong argument FOR bitcoin.

He's probably trying to say that Bitcoin is only a figment of one's imagination, making it psychological. I don't see where he gets it from and what makes him think that Bitcoin has no application in computer science, but it's obvious that he lacks knowledge about bitcoin. Many even suggest that it's the other way around and that bitcoin has nothing to do with economics but is more technological because it involves coding. Before making such statements, he should do his homework first.

investment is another word for experiment. we tend to gamble with the outcome of putting money on bitcoin, it will definitely not going to be a bubble as long as bitcoin can be converted into cash which can be use to purchase online, having millions worth of money invested on bitcoin seems serious to me, having users around the world seems serious to me, the fact is, bitcoin today is not just an investments, but a potential financial power of an individual users with freedom on how to spend it and when to earn more from it.

Well. everything in this realm is psychological... even money (fiat). When a group of people believes or agrees about something, revolution happens. Bitcoin did not get people's attention instantly, it took time before the people bought it. Why? probably because they (or we) have already agreed (mutually) that bitcoin and fiat are not far from each other - bitcoins could also be used just like how we use fiat. And that is psycho, isn't that?

Those who said these things certainly did not invest in Bitcoin. Lol
As for Bitcoin's bubble, then take the example of a tulip. Anyway, I haven't seen the tulip bubble. I have only seen fiat currency bubble for decades.
As for economics, I believe that Bitcoin is very much in line with F A Hayek's ideal currency. Although Robert Shiller is also a well-known economist, Bitcoin is not merely an economic issue. It also involves politics. I think that considering it only from the perspective of economics is relatively narrow.

The price appreciation might very well be due to psychological reasons, but that doesn’t take away the fact that Bitcoin represents a breakthrough in technology. The bubble may burst, but bitcoin will continue to be used. If this is an experiment, I definitely want to be part of it.

I just hope this is not another FUD indirect, but it's a good thing to know that he said that he stated that bitcoin will stay with us for a while. And also, nobody knows if bitcoin will disappear or not, just like many things is unpredictable in cryptocurrency. And also, the true value of bitcoin is also unknown too, but keep in mind that its value and price will keep on increasing immensely. 

I know that Robert Shiller is a Nobel prize winning economist, but one thing he specializes is human behavior in economics and investment and may be that the reason he is referring it as tulip mania, but with that reference we can very well tell that he does not have a clue what he is talking about, if he is talking about the entire alt coin market then it might be true, but it cannot be true with bitcoin as it is limited in circulation and there is no way you can compare it to tulip mania .

Faddish human behavior/psychology is driving the market; it's true to an extent.
 
The computer science department part is a bit confusing. Couple of his past statements:


Cryptography/Blockchain technology is the story that is driving the market.


He also said that there is a political side:


I wouldn't call it political. People's distrust in the government is driving the Bitcoin market, now doesn't that make Bitcoin a socio-economic experiment?

Robert Schiller did said that Bitcoin is the best example of a bubble, tulip mania and it's collapse was imminent and then changed his opinion to cryptocurrencies could linger on for a good long time and now faddish human behavior, but at the same time consideringthe decentralized socio-economic angle of Bitcoin. He seems a tad bit confused and he did said that he doesn't know what to make of Bitcoin ultimately.

What we are really paying for is the fact that we can easily make payment anywhere in the world without a third party, and the fact that it is meant to be a decentralized and deflationary currency. Nevertheless, let's face it, that idea is more like hitting the drain as most people now consider it more as a speculative asset than a currency and unless we start seeing mainstream adoption as a currency, it is always going to end up being more like a bubbled price than having a real value. Bitcoin itself is not a bubble, but the value at a present point in time can end up being a bubble.

I think the other way. Bitcoin is not psychological experiment but a virtual reality which can not be explained with such terms. It is real because it usage the real energy and it creates valuable assets after complex maths solving and stuff like that. Thats not even close to psychological experiments. People are not having fun here but doing some serious coding so that blockchain can work and we can use it to transform the way transactions and money circulation works! Where is the psychology here? The prices that are increasing in this market is a result of the investment, new tech approaches and people putting their money into it just like they do for the stocks and golds.

I really wonder why the comparison to tulip mania always pops up in discussions like these, as though Bitcoin has absolutely no real-world value.
I mean, here you have a professor of economics who appears not to have done any basic research on the underlying technology of Bitcoin.

Just gets a bit old reading the same shit over and over again, especially when it's so easily dis-proven.

This guy sure has the right to express his opinion, but witth all due respect I believe he is wrong. Bitcoin is not a bubble. I mean, its price might be more than it deserves, but blockchain tech is real and potentially useful in many situations. Blockchain can cooperate with neuron networks to help with recognition, identification of solid and fake products etc. Not to mantion that it embodies the idea of the free economy, when it is up to people to decide the prices with all thw advantages and disanvantages it leads to.
There already was a thread about tulip mania once on bitcointalk and people there wee explaining the differences of bitcoin from that phenomenon. I think among the obvious differences is that fact that tulips differ from each other a lot less than fiat from cryptocurrencies. The fashion of btc might not be justified, but the product is kind of real and thus shouldn't be treated as a merely weird psychological phenomenon.

And there we go again, with some old men trying to school us what they have no idea about. I wouldn't blame them, since they have been so accustomed to the traditional system anyway and it takes a lot getting used to the new age since it is not what they can easily get to learn about by just visiting the library.

It baffles me though that they call themselves expert and only tend to look at one side without looking at the other before making a case. He may be an economics expert, but not a technology expert and comparing bitcoin to tulip bubble is just way absurd. Apparently, there was no doubt we had a bubbled price last year, and we have even had before then, but that does not make bitcoin a bubble. As long as bitcoin is giving solution to the problem centralization has caused, that gives it a real value and that would get it sustained in the long run which is a characteristics a bubble can never have. Maybe it is high time they started getting that to their old thick skulls before sharing their opinions.

Indeed, I feel that as long as it is a transactional investment, it is a psychological experiment, because all investment operations in the trading category are personal psychological battles.

I do not agree if bitcoin investment is considered a psychological experiment. Investment of any form requires a psychological analysis because with such analysis a trader or investor can make speculation about the price to come. We will not know the price will move in any direction without us knowing the most emotional person when looking at the current price conditions. But, if bitcoin is regarded as a psychological experiment merely it impressed as an investor's psychic game alone and that's a bad thing for an investment.

His point about "Computer Science department not being able to explain it" is probably just harmless jesting or simply an off-handed comment. The kind we have come to accept from the  Noble prize fraternity (https://bitcointalk.org/index.php?topic=3254761.msg34293885#msg34293885) (shameless URL to one of my posts).

As can be seen from his past statement of "It’s such a wonderful story. If it were only true.”, He has used this belittling tone before. I view him calling it a psychological experiment an improvement. Bitcoin must be getting on his nerves because the student community and young people are so fascinated by it.

On his cue, we should expect more statements from the Nobel fraternity (mentioned earlier) in the near future. You cannot just expect them to turn around their views at once. They have to do this gradually. If they turn it around suddenly, they'd look like fools for their earlier statements. This is just them putting the fut through the door to our side.. 8)

I was reading an interesting book regarding bubbles recently and he actually highlighted the positive aspects. The hype and speculation brings with it huge investment in infrastructure, once the bubble pops people buy up the infrastructure at a much lower price and build from the foundations. He also highlighted the mental infrastructure that is left behind, in the sense that all the crazy marketing campaigns trying to raise awareness. He says this goes nowhere and more often than not money eventually falls back into the valuable projects.

True it could be like a psychological experiment than merely an investment because some would jump into investing bitcoin without any knowledge or whatsoever and because of its popularity. We must admit that's how our society deals with almost anything lately. And anything you see on the news or internet or whatever is hyped a lot, people would swarm in and join it. I think that's what Shiller probably had in mind, so if the hype goes off then most probably bitcoin and the other cryptocurrencies would be far gone as well.

Certainly,  it is not a psychological experiment rather it is an investment that assured investors  that their money would return. When we say it is an experiment it is sort of a trial and error but with cryptocurrency we know what we are doing and where we are heading.  We don't need to have hypothesis to conclude whay will happen with our investment. Thus,  it is a serious investment that needs us to be knowledgeable and capable of investing in. An investment that is not a bubble.

What is the connection of psychological experiment through the essence of cryptocurrency?
Essentially, cryptocurrency is a serious investment. We lend our money, time and effort not just to experiment whether we gain or lose it. We applied technical analysis to predict the price because we want to earn. And a mentality of earning is not a psychological experiment rather it is talking to a serious investment.

No bitcoin will not disappear after looking at the huge investment that is being made into it in the first place. The volume that drives into it daily is crazy enough to change the face of bitcoin forever. Its also already happening and we can see the major changes into its use. The time wont be long when the real use of bitcoin will be made by the government itself and lets not forget about the block chain on what it really working. Thats the leading role which we should be looking after and the bitcoin will follow and its real value will follow too.

Now speaking about your main point, whether bitcoin is psychological one or not? Off course no.

Exactly. Sometimes this type of person prioritizes their opinions than others opinion, in fact not 100% of what they say is accurate even though they are experts in their field, and also their prediction is something that maybe can't happen.

He said bitcoin is more psychological rather than a serious investment, I'm really sorry I disagree with this statement the reason why bitcoin is still alive because bitcoin bring innovation to the world.

For thoughts like this, the only explanation would be based on perception and there are some valid assumptions made here but one thing I have come to know is that aside from the Tulip Mania in the 17th Century that he made reference to, since I was not there and haven't read any literature on it, I have not seen any ponzi scheme that have survived for a decade and covered the amount of grounds that bitcoin covered in such short time. The most successful of them have been the one that spends one year while others crashed in a matter of months.

On the issue of psychological experiment, I think that he was ill advised because he focused on only the currency part of bitcoin without considering technology behind it which is real and not a figment of imaginations this has been attested to be one of the best invention in the 21st century. I have even read about PWC opening a new line of audit based on blockchain and they already have clients in that field.

Any financial instrument has a psychological impact on participants. All that is associated with the receipt of prizes or winnings or income due to psychological stress. This is how the human psyche works. Therefore, a good investor can only be a person with a stable psyche. But bitcoin attracts many different people. Therefore, we often witness panic in the market.

I myself I don't believe that Crypto is a psychological experiment. Psychological maybe because of the volatility of Bitcoin. As the exchange rate goes up it also has bear trend. That is why you have to be good at hodl. For you not to lost your investment we have to be good at hodl. Check the flow, check the market, set your time frame and see when is the right time to exchange  to have a profit. For me I'm seeing it as a investment. I always set my goal as I invest. I think it is not right to compare Bitcoin to tulip mania. Bitcoin is Bitcoin, we are all winners here.

Well, Shiller may be right. The whole blockchain thing started as an experiment (psychologically) by Satoshi. But we can't say it is still driven by mere psychology now as several investments have taken to the blockchain tech and are achieving results. It is an investment but surely it will take more years for this to sync and sink in with people. Cryptocurrency is the new business module and just like what the E-mail did to the postal services, it will expectedly do same to banks.

Youre getting harsh to the old man,lets show some respect as we dont know the man will be gone for tomorrow lol..

This is why i hate reading those "damn expert opinion"because they talked as if they really know everything and what comes to theyre mind will become reality..

Now in listening to my instincts atleast if i fail i have no one to blame..

I'd say interpreting it like that is a stretch. He was talking about cryptocurrencies specifically, and while it is a product of computer science, it's more of an application of a technology rather than the technology, which is the blockchain. He's also probably commenting about its effect as a speculative asset on people (as evidenced by his theory that it's a bubble and a mania), rather than its application as a technology -- in which case, he's correct that it cannot be explained by computer science. Even the most rabid Bitcoin fan can't deny that it's being treated more like a speculative asset/investment vehicle rather than its intended use of a currency by most people, so it's not like his opinion doesn't hold water.

Not that I agree with him of course, but this argument has already been beaten to death by other traditional economists and some very influential people on both sides of the fence. I personally don't believe it's a fad nor a bubble, but only time will really tell who's correct.

the tulip mania thing is soooo damn tired, but overall i think he's right.

the only thing fueling this is the desire to sell for more than you paid for it. that's why 99% or more of the people here are here. hardly anyone understands it or why it's important.

hopefully before everyone gets bored and goes away there are gonna be some very compelling real use cases that attracts a large amount of people who have a genuine purpose for it. if not then things could get a little rocky.

But who said that Bitcoin is a serious investment. Bitcoin is a way of transferring money from P2P as well as being a currency at the same time.
If Bitcoin is not an investment tool "serious investment" from which it draws its high value?
The strength of the algorithm built on it, the trust of users and the willingness of people to buy Bitcoin are the reasons why bitcoin sold with this high price. This high price is what turned it into an investment tool.
It is not expected to end any of the factors that made the Bitcoin valuable so there is no risk of a return to zero, but this is does not mean it is a powerful investment tool.

some of people might be called bitcoin as psychological experiment because our mentally is tested here that volatility of the price always being the common thing in crypto world because we even never know when the price starting to fall and when the price starting to rise up and for those who don't have good mentally they will never last long to investing at bitcoin

Sometimes, I always wonder if these so called professors decided to limit their level of knowledge for a reason or they have just decided to leave their brains in the library most of the time when they are about to utter stuffs like this. Sure, what we had last year was a bubble but that does not make bitcoin in itself a bubble.

It has real life value and that should be based on real demand, not just because some people are looking for ways to get rich overnight. If we are referring to psychology here, human's greed should be what he should go pay attention to rather than uttering nonsense.

I think it is seen as bubble because it is not used as currency, it is hodl rather than spend coin so the price rises in the long term.

Psychological Experiment? Like how we behave as its price move within the property of being unstable, we are like being monitored or observed by ourselves on how we react on the growth of our investment. There are good green gains where we could act more in greedy way or act more of a wise and careful trader. This is why there are panics happening in here. It is simply their behavior on crashes, while being pessimistic at the same time. I'm pretty sure this is both experiment and a serious investment.

We can relate it to the decision making thing. Either it is trading or investing, people have to involve the emotional balance for better results. But majority of the traders and investors don’t have that grip to control their mind. For that reason, their decision making power become paralyzed and the results are totally damaging. This is a tremendous psychological experiment.

Yes, I agree with your wording that crypto is related to a psychological aspect also, but it will not be right to say that it is related to psychological aspects alone because crypto market is really big and people come here when they are in amateur level and then they practice enough to make some profit and by this way they slowly moves towards the experts level in the market and so here even the manipulation is also playing a major role which indicates us that crypto is really a serious investment if you take it seriously. Here the people have already earned millions of profits from the crypto market and still the counting is going on. And the earning part depends on the investor's psychology, capability, and on his trading skills like he manage the trades.

There there.. Why such gloom?? He is Professor Shiller. He is just preparing the background to start shilling bitcoin..LOL..

And yeah, we do need people to find real use but I don't think enough people are going to get bored. Interest in money or promise of riches doesn't get subdued so easily. Even if the majority loses interest, there'll still be a core group of people who will find the idea of p2p transactions worth exploring. And then there is the technology itself. A lot of Computer majors are going to show continued interest in this for a pretty long while.

If he considers bitcoin as a figment of imagination, then fiat in cash is also a figment of imagination. The problem with this set of people is they look on the outside and judge based on that.

The fact that they cannot see the real value from the little and unnecessary hype in price that happened last year has made them to now think everything that goes up hugely and come back down hugely is a bubble. The value was hyped and that might be considered a bubble, and the aftermath is what we are experiencing, but calling bitcoin itself a psychological experiment with no real value is just dumb.

I am making transactions to my merchants globally within split of second without a third party, which is a value even the fiat system could not give. Maybe he should ask those in Zimbabwe and Venezuela how they perceive bitcoin.

I strongly agree with this.Thanks to bitcoin I made a lot of power in psychology.I used to be very excited.I could forgive this excitement.I've been earning since I could.

In my own reason, I think it is called a bubble because they feel it does not occupy a reality for them and won't stand for long. It is not because it is held and even if it is held in the wallet, it is eventually converted to fiat and it is money.

Meanwhile, I'm not surprised if economist refer to it that way though.

Its normal because there are different occurence on the entire nation and it can affect the market positively or negatively just like how the governments is reacting to cryptocurrency today.

These are very wise words said by professor and are in line with my definition of bitcoin. Yes, people are making lot of money from it and it is indeed a psychology experiment. But coming back to conventional trading, people often do pump and dump over there too in form of inside trading. There have been so many frauds linked to insider trading that government had to run a crackdown on those. We all should give more time to this market to become more stable and then we can re evaluate whether it is still a psychology experiment or not.

Oh no another professor claiming Bitcoin is a bubble and comparing it to Tulips! What will I ever do with myself now?! ::)

But what did you expect? Of course a professor of economy is going to say that, if bitcoin takes over as the dominant currency around the world there will be a lot less jobs for economists, the economy will be easier to regulate since the emission of bitcoin is known in advance thanks to the algorithm that satoshi created that adjust the difficulty of bitcoin every two weeks so we will not need economist anymore.

Yes a lot of people always compare bitcoin with the tulip mania, maybe the professor make the statement because btc still in early stage and many question still left unanswered, so he consider it as psychological experiment, but for most of us bitcoin already through a various phase and it can be consider as stable investment, most of us that already understand bitcoin completely always think as serious investment for the future

I've seen news like this quite a lot. The number of skeptical people on Bitcoin also increased.
Since 2009 I'm sure there are many experts who predict Bitcoin will experience a bubble. But in fact, until now Bitcoin still exist.
The coins or tokens might be gone or experiencing a bubble. But I think not for Blockchain technology.

indeed bitcoin shape our psychology to be orderly. with bitcoin we must be able to control the psychology to face a fluctuating market, and if we can control it then financial freedom is in front of the eye

Probably their expertise has so made them blind from reality like you said and they feel people will always listen to their opinion no matter how stupid it sounds. It is highly unfortunate that people like this call themselves professors and in the real sense, they do not even know how to do some research before even coming to back up whatever they are saying. They are archaic and outdated that they find it hard to believe this is an evolution and there is a great value it serves. However, they cannot see that since they are so rotten with the traditional system.

this is exactly as I think, I am still looking for what we buy from that cryto what ..

I have not seen a real use like a good.

does anyone can explain ??

I do not agree if bitcoin investment is considered as a psychological experiment. Investment of any form/kind requires a psychological analysis because with such analysis a trader or investor can make speculation about the price to come. We will not know the price will move in any direction without us knowing the most emotional person when looking at the current price conditions.

Not really. There are economic theories which talk about 'efficient markets' and 'rational investors'. These apply to a certain extent to liquid markets like equities and bonds. In the case of crypto markets, the markets are far from efficient. They are susceptible to market manipulation and impulsive behaviour by emotional investors.

Lol,his name is Shiller. ;D
Bitcoin will not disappear.
There is no true value of bitcoin,because of its volatility.
Essence? Just because bitcoin is intangible doesn't mean it has a particular essence. You are paying for something called a cryptocurrency. You can buy and sell it,for anyother cryptocurrency or fiat,

Understandably cryptocurrency could be seen as an experient on our psyche, but I don't think that's what its purpose was created for. Just like many other things that effect our human behaviors and mentality, Cryptocurency produces many emotions during trading and when the price of bitcoin rises and falls. So in that sense I would agree that it could be an experiment on how we handle certain situations, but really cryptocurrency is much more than that.

I think crypto is definitely a serious investment because it requires a lot of experience and exposure to the market to trade profitable. Just experimenting with it will not produce profitable results. In the hands of how much profit a trader can get depends on the psychology of investors such as how he responds to losses. That's in my opinion.

Well there are always nay sayers when it comes to bitcoin. Heck, even a century old fact that the earth is a sphere still has nay sayers. Then again, it's a matter of letting others voice out their opinion and having a rational smart discussion about all of these.i just hope that BTC is not a bubble and will ultimately become the currency we want it to be.

I answer your questions:
1) Bitcoin will not disappear from our world.
2) The true value of bitcoin is the one you now see on the screen (it is constantly changing and this is its charm)
3) You do not need to compare crypto-currencies with tulip-mania, first you have to carefully study this question.

I do agree on that, there is a news on that before where a student commit suicide because he cannot handle the price of his coin that is dumping in the market and because of that he commit suicide, it can always affect the persons capability of thinking depending on how much he invest because there is always a risk.

for me that opinion is interesting and very rational opinion, considering the crypto become one of the investor's goal to invest its capital, being in my opinion, crypto one of alternative of economic and technological bridge, and the view which is conveyed in my opinion also true, but not close the possibility that crypto be one of the achievements is also the gate of the future of the economy, whether crypto will disappear I think eliminate crypto is very difficult because if eliminated the same undo the intention to open the door of the modern future, both transactions, values ​​and forms of investment the value of bitcoin price is not there is able to manage but there is a limit of each sale or buy transactions, my prediction crypto will be fine and will find pengunanya as an alternative form of the value of money, all depending on the users of each, although all there is positive consequences da n negative, may be useful and successful for all of us

I do not agree about crypto being a psychological experiment and practical involvement in the crypto market. In my opinion, calling it a psychological experiment takes it a bit away from the real world to what some people also call it a scam. I believe it is more like a practical game rather than a psychological game because you have to stay and act actively in the market and hold or sell at times favorable for the motto of profit maximization.

I dont think bitcoin is just a psychological experiment.Why do we need some test?investing your money just for having an experiment?Thats totally crazy.Investment is not a joke or a play because its all about money.Your money that came from your hardwork.Why we will let our money taken without an assurance?So psychological experiment sounds crazy.All investors here in bitcoin are aiming for good profit and they are not just having a psychological experiment just to test or prove something.

I am completely disagreeing with the above stated statement that “crypto is more like a psychological experiment rather than a serious one”. I think one should first understand the potential and the good deeds that has crypto did till now and is still doing. For instance bitcoin has always provided employment to millions of people and all those countries who has legalised bitcoin is now experiencing very high development so it’s very innovative and very serious investment of Satoshi Nakamoto.

Crypto currency is investment is not by any means a "Psychological Experiment", if this so i don't think investors, traders,HODL will participate in investing into crypto market, A digital, decentralized crypto transaction with a growing market capital investment amounting to Millions of US Dollar a "psychological experiment"? i don't think people would ever participate into an investment such like this crypto for an experiment. Some are losing money or gained profits in crypto investment. It maybe virtual currency transaction but it is real and very real.

It seems to me that buying cryptocurrency is not an investment. I am more inclined to consider investments in ICO as investments. Buying bitcoins is a speculative operation. Unfortunately bitcoin has all the signs of the pyramid. I hope I'm wrong. But I recognize this only after the bitcoin will be used in all stores as payment.

Yup, he may be right, but all that matters is what you are making from it. In every business there are people who are making profit and there are also people that are not making even a single profit, you can call them the losers. So I suggest that if you are not achieving anything from this, you have only two options: to improve your skills and get better or you can quit.

They can go ahead and call it a bubble, but this so called “a bubble” has changed my life in lots of ways. I can at least start up my own business, pay my rents/bills and buy myself a meal🙂.

The professor is absolutely right, this is an experiment. The goal is to see the results, how you can control a completely digital society. When the creators of this experiment get their results, a single world currency will be introduced. And this will be the digital currency, the crypto currency. And the name is not so important. Bitcoin, Phoenix ... Think of the magazine "Economist", 1988 ...

Well that's your opinion, investing on cryptocurrency is still very profitable today because the market price is very low, bitcoins to use on online stores is just one of its advantage aside from it was good for long term investment.

It is arguably said that bitcoin is more than a serious investment. As a matter of fact, people always get panicked as if this is the end of the world. Bitcoin has been playing with their mind for such a long time. It is as if it is manipulating them, and that is exactly what is going on. The moment bitcoin ceases to exist, you will just see people going mad. I do not blame them. Everyone wants to win and have good profits. But they also need to calm and be patient.

Yes, that's right. I also think crypto is a psychological test. Investors have patience will earn money, and those who do not have the patience will go bankrupt when investing in the crypto market.

People should treat Bitcoin less as an investment and start using it more as currency. Bitcoin itself is stronger than ever despite the price that has gone down from its speculative peak. I can't wait for the day that the price becomes stable and the crazy speculation becomes less important. Everyone hopes for the price to moon, but that's just an empty thought that will never satisfy you. I very much dislike Roger Ver with everything he's doing and saying, but his consistent support for the currency (cash) aspect is admirable. Merchants accept Bitcoin but almost no one is using it as such.  ::)

Does someone know if someone is saving all of those articles so when bitcoin succeeds far beyond our wildest dreams we can show to all of those experts what they thought at the moment and make them eat their words? It is incredible that someone that should know a thing or two about economics does not understand the strong fundamentals of bitcoin, but since bitcoin is hard money similar to gold and most of the current theory goes against that I can more or less understand why current economists do not understand bitcoin.

talk about will bitcoin disappear? what value do we buy from bitcoin and what essence is paid?
I try to argue, from the first whether bitcoin will disappear, my consideration of simple bitcoin disappears not a problem but when crypto disappears I think not but if evolved and continue to grow I think yes with the name of the term even other systems, what essence we pay and what value purchased, for bitcoin so far that I feel the ease of access wherever and whatever privacy without any mixture of other parties eg the government associated with taxes, is for the value purchased ie on the privacy system and the amount of volume of coin, security and convenience of access in transact in the market , may be useful and successful for all of us

The tulipmania is obviously not something he was reminded of haha, it's often mentioned by critics allongside crypto-currencies.. but there is only really a superficial link between them. Crypto solves a very real economical and societal problem and some people just don't like that. Also the term "serious investment" is hyperbolic.. no one invests really without the intention at least of it being serious..

I think trying to say it as a psychological experiment, is something that needs to be proven first, ifnwe take a look at fiat, we can also say it is a psychilogical experiment, the more you have, the more you feel rich, thus the reason it was being counterfeit by a lot of people during the days, and also it is being controlled by central banks and governments, however for crypto, youbare giving power back to those people that government and banks had screwede up,.since what they are giving to people is only bank notes, it is not backed up by anything, unlike before, it is backed up by gold, for crypto on the other hand, it is backed by information, since we live today in the infornation age, data or information is much more expensive than gold.

  ICrypto is like "a psychological test rather than a serious investment," I suppose it is serious practice if you seriously accept it if you invest seriously it is also the right direction for you

It merely means a psychological is the first thought before we make a certain decision or how we appreciate and treat every little things in investment. You don't want to be srious in investing you need to be serious in your psychological thinking and that will be the best result that you may have done in investing.

Thats a nice piece of write up there. I think bitcoin plunged to 20K USD was big mistake and that is why it is coming down. A mistake, in terms of artificial pump and people considering it the natural pump. However they related later events with the fall of bitcoin such as, Mt Gox event, Two major exchanger getting hacked and recently bithumb hacks etc. However its really about the bitcoin correction thats been followed. If this hypothesis is correct then I am 100% we will see bitcoin going down to 5K USD the same prices which it had last year around the same months as we are in.

You may be right. But I do not regret what happened last year. I managed to recover the value of my investment in Fiat and now I am absolutely calm. Whatever the price of bitcoin is, I will be profitable. on the other hand, we got a chance. Someone did not take advantage of this but the pump provoked a large increase in the popularity of cryptocurrencies. Perhaps this will bring a positive result in the future.

I think it's not as psychological experiment but more of the currency, bitcoin was created to become a decentralised currency that can be used for global transaction, it never intended for investment, but because of the increasing value people used it for investment

,people had their own perception on things and we could not also blame him for having his own point of view on crypto most specially bitcoin. as time goes by bitcoin becomes a store of value but at the same time it is still being used as a currency. nobody knows also if it is a bubnle or not, maybe he is only conducting an experiment but it has been proved so many times that bitcoin wont just popped out and begone.

The link is very tenuous, the only thing common to them is that the huge price increases in both assets was caused by the will of the public and not the government, but maybe we should remind all of those economist that think they have figured out the way to print fiat currency in an unlimited way that every single fiat currency has gone to zero and the US dollar is not going to be an exception.

For me bitcoin is serious investment that need a full attention and need to study about this how to manage well and the strategy you make to your investments.  But on the other hand this there's a psychological in this situation.

In this world everyone is independent to expose his feelings and thinking regarding particular things , so here you have putted your opinion .
But here mine opinion is different from yours one , here the best thing that I know is that bitcoin can't be disappear because here as we have more trust with the banking system than over the bitcoin and bitcoin sector intelligence clearly declared that blockchain technology is more better then banking system technology , so Ofcourse here we are more secured and safe with the bitcoin and bitcoin can't be disappear easily .
And here Investment in cryptourrency is not a psychological Investment because here all depends upon us that how we treat himself towards the market and how we take advantage of dump and pump at perfect timing .
Otherwise if you will see another practical life things like gold and silver then in that case there is more chances to loss than profit , so don't make thinking like this about cryptourrency in such ways .

Everything is possible. but it is a fact that some earn money, others lose money.
how long will this experiment continue? what do they try? what are their purposes?
The answer to these questions is important to me. otherwise, the determinations made have no meaning.

the problem with some people is that they see bitcoin as valuable only as an investment, they are just looking at one side of what truly bitcoins is, they only see it at an asset intended for investing only but it is just one side of bitcoin, originally, bitcoin was intended as a tool to purchase online, but sooner, as it developed, because of its high demand, it developed into an asset that eventually became expensive, of course it is a psychological experiment because it involves the behavioral pattern of users whether to sell or buy depending on the trend, and the fact that is an investment, any investment requires the capacity of every owner's psychological and social response to market demands. but it doesn't mean a multi million trader is not serious in his investments in bitcoin, it involves money, of course its serious. 

Well, i would have to agree. Until BTC could be used for something and not just an investment to convert your fiat into then it will remain as an investment that will only last until midterm. To be a longer term valuable investment, it should have projects so it would do the purpose it was created for, a better option than cash.

I dont believe bitcoin is a buble. Bitcoin offering new economy model and can fix our economy system. Current economy system always depending on central banks to push economy growth but in other side, its increasing inflation because central banks always pumping fiat money.
Bitcoin existence want to make a good system with limited supply and its like binding our economy system with gold

how well to throw poorly thought out statements under the cover of Yel's degree. No factology, no historical analysis of the financial behavior of a person, nothing. Only empty words closed in the beautiful shell of the Ivy League.

Wellif this is a psychological experiment and from nine years of existence i should say this is a successful experiment,we do spread all over the world and had invested almost a trillion dollar from 2017 December and until now continuously growing and bringing life to many people that needed a financial support those who has denied of work and living

 I think that this is awesome, yes this period of time is not the best for long-term holding or investing, but for traders it's a dream time,  when you really can just turn your monthly income in a day.

Many use that kind of thinking to describe bitcoin as some sort of ponzi scheme but that is not true because if that was enough to call something a ponzi scheme then all the stocks, bonds precious metals and even daily products that we use will have to be called to be a ponzi scheme and that is simply not true, just remember that when you decided to invest with the hopes of earning money you also accepted the fact you can lose money as well.

Bitcoin won't disappear and the common words that you will hear from the crypto community is that "Bitcoin is here to stay".

This professor is either no coiner or wants to see bitcoin at the bottom so that he can start picking up the weak handlers coin at a very low price. It's common when someone wants a lower price of bitcoin, they will call the media and cover their opinion which creates bad view though they don't have bitcoin to hold.

many people assume cryptocurrency play is different everybody has a difference if you think bitcoin like that is up to you but obviously bitcoin is not bubble but more like wave.

While some people may be dumb as, there are still lots of people that are making lots of money from it. Some people who are millionaires today, were able to do so through what they achieved from Bitcoin. So whatever anyone has to say, all that matters is if you’re making money.

Not everyone would make money in this business, it’s somehow like all these pyramids’ or whatever they are being called. When someone is making profit another person is out there making loss.

It is really the best of the option as people have become millionaire and billionaire last year and their life has changed a lot from their on. Things changes when you do such type of investment and it yield you serious benefits of it. Keep investing and let the world know that you can make money from it as well.

I feel like crypto investment is a very serious investment because you need to be very precise and wise while investing into bitcoin like when you need to buy bitcoin and in what amount and when to hold them or when to sell them so I think this thing requires very wise ness and serious ness but yes bitcoin investment also requires some sort of psychology also in fact investing into crypto currencies is a combination of many things and you need a great presence of mind while investing into bitcoin.

I don't want to dispute what the professor has said. There is a possibility of what ever he said coming true. Bitcoin was created by humans, and as the saying goes, nothing lasts forever. But I am quite sure that Bitcoin may well be a recognized global currency in the far future. But its future performance or value is what may be difficult to predict by anyone.

You obviously don't know anything about Robert Shiller. He's a Nobel winning economist who's work has focused on the tendency of capital markets to inefficiently price assets and create bubbles. He predicted the Nasdaq bubble and the housing bubble, and he says that Bitcoin displays the same characteristics common to bubbles. Shiller doesn't go out to the press badmouthing Bitcoin because he wants to buy it cheaper, reporters and economists constantly ask his opinion of it because they are familiar with his work on the creation of asset bubbles, so he tells them his opinions. What's more is that we know at this point that Bitcoin was a bubble. It crashed from $19,000 to $6,000 in a rapid collapse. The only thing left to determine is if it is still a bubble at these prices.

This market is no different than the competition and the psychological challenge investors as well as users. It can measure the emotional level of each participant. There will be joy and confusion of emotions hard to describe, but in general have participated in this market, most people have little profit and except those who are too greedy, impatient.

Another criticism which is based only on personal dislike. Today, criticism can be called a breakthrough in the global economy and it means fighting with the obvious. About a single European currency, too, once thought of as a utopia

It is true. people can be frustrated or disappointed when crypto prices continue to fall and do not improve. so that makes investors frustrated and investors to sell so as to lose. we as investors should be able to overcome our psychological when it happens and we must be patient to wait for a long time.

I do not think so. Investing in the Cryptocurrency market is not a lottery game. I do not deny that investments in the Cryptocurrency market are risky, and often do not follow the normal investment rules. But investing without research and strategy, you will almost certainly fail. If you want to experience the psychology of chance, you play bingo. If you want to be an investor in a new market, try to be an investor in the Cryptocurrency market.

Maybe that is true ,that is really happenning, it is more than a serious investment because your mind are always in use whenever there are something happenning in your investment ,your mind will be disturb on how you do to make your
Investment be in good condition always.