[2017-08-09] Bitcoin’s Present Bubble Might Actually be the Beginning of Main...

[Diced90]

Bitcoin’s Present Bubble Might Actually be the Beginning of Mainstream Adoption

Bitcoin’s enthusiasts are torn between whether to celebrate Bitcoin’s arrival in the foothills of mass adoption, or to lament the upcoming burst that always happens with asset bubbles. There is evidence for both points-of-view, as some indicators point toward Bitcoin’s imminent mainstream arrival, while others suggest the price is in bubble territory.

Bitcoin’s price increase
Bitcoin entered a bull market in August 2016 at a price of about $550 per coin, according to data from Cryptowatch, leading the currency to surmount its previous all-time high back in March of this year. Since March, Bitcoin has been on quite a tear, rising from $880 to a high earlier this week of $3490.

Bubble territory
Such extremely rapid price appreciation is not usually considered normal in the investment world, and may presage an epic crash. Since one year ago, the Bitcoin price is up by 611%. Since March 2017, the price is up by 381%. This points to rapid, perhaps unsustainable, growth.

But what exactly is a bubble?

READMORE https://cointelegraph.com/news/bitcoins-present-bubble-might-actually-be-the-beginning-of-mainstream-adoption

[1715417757]

1715417757

[1715417757]

1715417757

[1715417757]

1715417757

[TravelMug]

If the price continue to rise then I would have agree that its getting into mainstream. However, with the price so unstable, how let say a merchant would accept bitcoin as mode of payment. This is one hindrance that I'm seeing bitcoin will be adopted globally specially by online merchants because of the volatility. I think when you say mainstream, people are putting a lot of money into the market as a means of investments or store of value. But to be used for micro transactions, I think bitcoin is not suitable for that kind of scenario.

[iamTom123]

I fully agree that there is a bubble in the present valuation of Bitcoin. All of these things are happening because we are all speculators here...all Bitcoin holders are expecting that Bitcoin will really rise...and when indeed the Bitcoin do rise as it is now many will be calling it a bubble so that a certain percentage of Bitcoin holders would be converting their Bitcoin into hard cash...and so that many can buy the Bitcoin at a lower price...and then because there would be an increase in demand the result is that Bitcoin would start to rise again.

So what's wrong with this cyclic story? There's something wrong here...and it is the fact that I don't hold that much Bitcoin.  I could have sold some when it hits a historical high and buy when it gets low.