Why Ethereum Is Not a Bubble

[tOKENCITY]

Hi everyone,
I invite you to read my analysis & thoughts on why ETH & BTC are not a bubble.

https://medium.com/@TOKENCITY/why-ethereum-btc-is-not-a-bubble-579941617bd5

I have written this as a response to people who don't possess necessary knowledge neither in economics nor blockchain/cryptocurrency,
yet feel entitled to speak as if they have expertise in the field.

In case you feel like sharing this with the others, I'd be very pleased, here is a link that you can share/retweet:
https://twitter.com/TOKENCITY/status/912677093166735362

Super keen to hear your thoughs on the matter!

Cheers
/tOKENCITY

[Beerwizzard]

Even Vitalik Buerin says that ICO is a big bubble for now. He looks like a guy that "posess necessary knowledge" in blockchain and cryptocurrencies. Most of the ICOs are held on Etherium so I would think that ETH is also a bubble (at least for now). Bitcoin seem better but such currency as Etherium have a strong affect on total crypto (inclufing btc) market cap.

[Nascor]

if any of the crypto's out there is not a bubble, then it's ETH

ETH actually has an entire ecosystem from different smaller economies (projects) and the highest adoption for dapps

all these projects have huge ETH amounts in their reserve and are well divided amonst them, which makes it overall less centralized and more secure

[tOKENCITY]

I agree with what you say Beerwizzard — as I state in the article, it's Ethereum that is backed by technology. Many of the ICO's within the platform indeed are not backed by anything, on the other hand them being bubble (or not) hardly affects the ETH rate, if only on the micro-scale. So I think you're right to a degree, but not so much re:Ethereum is a bubble because there are some bubbles within the platform. It's close to saying USD or EUR are not trustworthy, because these currencies are also used by scammers.

[allthingsluxury]

The potential for Ethereum is MASSIVE. Whether or not its short time price is in a bubble, only time will tell. But this does not affect the long term value and potential of this technology.

[yugyug]

Ethereum is not bubble but the most abused token the so called ERC 20 would likely to burst but since Ethereum and ERC are both run independently they are indirectly correlated, when ERC20 starts to burst ETH still continue to run. Most ICOs todays are taking advantage on the flexibility of ERC20 that's why it i easy for them to develop another ERC20 compatible shit coins. Sooner or later when ICOs starts to burst so as the ERC20 burst too.

[pinky]

The potential for Ethereum is MASSIVE. Whether or not its short time price is in a bubble, only time will tell. But this does not affect the long term value and potential of this technology.

Ethereum has very big advantages compared to other cryptocurrencies: Speed of transactions,low miners fee etc.It is obvious that,there will be almost new  ico compatible with ERC20 tokens for every week.

[h1h2h3_c]

The potential for Ethereum is MASSIVE. Whether or not its short time price is in a bubble, only time will tell. But this does not affect the long term value and potential of this technology.

ETH is quite great but look at the bitcoin price and ETH price both are rising i mean i'm confused that they are competitors or brothers that they are increasing together.

[Beerwizzard]

Just adding an article from inestopedia about Etherium for all those whi think that ICO is not a bubble: http://www.investopedia.com/news/ethereum-founder-cautions-ico-bubble-vitalek-buterin/
I'm not trying to predict apocalypse, you can think whatever you want but I would advise you to be cautious.

[karmamiu]

                       Honestly nobody can tell exactly if its a bubble or not. When we say nobody can tell, it only means time can only determine if this will remain as time passes by, so in short up until now there is no assurance that it will last long, but if you will look at the potential about these coin, yes it has really a long way to go.

[jondavis468]

bubble I sure. Like dotcom bubble at 2000.

[Hydrogen]

Here's a textbook depiction of some of the typical phases a bubble transitions through.



Here's a chart of ethereum as of june/july. Note how the chart of ethereum near perfectly matches the textbook chart of a bubble.



There's a possibility ethereum is a bubble.

The reason eth bubble hasn't popped could be bitcoin's price rising from $2,500 to $4,000 & dragging eth into stability with it.

[TheUltraElite]

The potential for Ethereum is MASSIVE. Whether or not its short time price is in a bubble, only time will tell. But this does not affect the long term value and potential of this technology.

I agree with you view. Ethereum does have a potential to become second to bitcoin. Currently price of ethereum is second to bitcoin and the price will rise more in future because ICOs are happening everyday and as they happen more and more people who were previously ignorant of ether and altcoin and even bitcoin will be exposed to the crypto market. Many of them will go the next step and invest in bitcoin and altcoins including ethereum. I think this is a good step for the future of crypto, bitcoin and that the traders are going to have some good profits in future.

[Tsuloid]

Some people have full confidence in fiat money, but who can tell with certainty what the liquidity of major currencies like the dollar and the euro are. The world economy is based on assumptions, which are studied and analyzed in depth by economists, but in this game are the mafias and the terrorist who could assure how much money they have?

I think that all cryptocurrencies have a known quantity (record point) and technology support that allow legal transactions and recognized by countries like Japan. Bubbles depend mainly on supply and demand and economic events that affect investor confidence.

If you can use bitcoin to buy and sell, you are inside the game.

[Loveydovey04]

I think all cryptocurrencies are bubbles. If you would look at the market history, indeed bubbles. Some will appear in peak heights then the other day puff out. Some comes in and some disappear. Everyday with up and down prices. That is only my opinion but they focus too much in bitcoin being a bubble because most are disappointed with its decline in value while they have less expectations on other cryptocurrencies.

[forkchain]

I think all cryptocurrencies are bubbles. If you would look at the market history, indeed bubbles. Some will appear in peak heights then the other day puff out. Some comes in and some disappear. Everyday with up and down prices. That is only my opinion but they focus too much in bitcoin being a bubble because most are disappointed with its decline in value while they have less expectations on other cryptocurrencies.

If it is about bitcoin. Bitcoin price always goes rise and people are coming to invest in bitcoin because bitcoin is giving opportunity to people while ETH is also go look at the recent market rate it is also goes viral.

[Youghoor]

Well i really think that almost all the altcoins that are on the market are just in a bubble stage, maybe that is because most of them made more than 1000% in just a few months, maybe less, but they made an extreme profit this year, and the market capitalization growed a lot, and that scares me a little. But there is everytime more people investing in bitcoin, and there are more buyers than sellers, so i think that if this is a bubble, then it will take some years to explode.

[hammo]

If it is bubble if won't pop with those ICO capitals. Those project collected money with ethereum and those project will save the ethereum project.

[triads]

An interesting side effect of the ETH ecosystem is that it's actually suppressed the
price somewhat. That's likely an effect of all the ICOs cashing out and lowering the
value. Pull up 6-month charts of BTC and compare it to ETH... you'll see how much
less inflated ETH is.  That's actually a good thing.

[skyline247]

I think all of crypto is in a bubble. You can't rise in price exponentially and expect there to never be a big crash at some point. We have seen it happen again and again and there is no reason to think otherwise this time.