The market is plain silly currently. It either going to have a significant correction and consolidation at some level before the next rally, or just go into full throttle bubble mode. I'd prefer the former alternative but it's not up to me.
Actually, not really. Around Thanksgiving time, when it took 125 bitcoins to buy an ounce of gold, it was my opinion that fair value based on the underlying fundamentals and other metrics that it was undervalued and fair value was closer to 30 bitcoins per ounce of gold.
With Cyprus and the FinCEN news the Bitcoin price is just melting up to where it is more fairly valued; around 3-7 bitcoins per ounce of gold assuming there is not a material change in the rate of change of adoption but still discounting in the future growth from VCs that will be more comfortable and invest to build out infrastructure.
Remember, price is what you pay but value is what you get.
