Bitcoin: is it a bubble waiting to burst or a good investment?

[mayuri27]

Bitcoin is the fastest-growing asset in the world this year, but the virtual currency does not appear to have many users in London’s tech district. It has been more than a month since bitcoin was used to buy a flat white or craft beer sold at the Old Shoreditch Station, according to the hospitality manager at the east London bar.
Louis Chauvin admits he cannot find the iPad that is used by staff for processing bitcoin payments, as he resumes serving customers queueing to pay with their contactless bank cards. Although the establishment sits in the capital’s buzzing tech hub, and is advertised online as one of the few retailers in London accepting the hipster-cum-computer nerds’ currency, as few as 20 people have asked to pay with it in the two years he has worked there.

Over the same period, the value of a single bitcoin has rocketed from around $300 to more than $11,000 this week. On Friday, the currency was trading at $10,700.

Chauvin says bitcoin’s increasing value – and media coverage – has not escaped customers. More people have come in asking how it works, thinking of using it in their own shop, rather than actually paying with it, he says, adding: “It’s cool, it attracts some people. But for now it’s niche.”

[deadshot21]

given the somewhat outdated technology of bitcoin, I think we can say that it is both at the same time, a good investment in a bubble ahha

[player514]

Bitcoin is the fastest-growing asset in the world this year, but the virtual currency does not appear to have many users in London’s tech district. It has been more than a month since bitcoin was used to buy a flat white or craft beer sold at the Old Shoreditch Station, according to the hospitality manager at the east London bar.
Louis Chauvin admits he cannot find the iPad that is used by staff for processing bitcoin payments, as he resumes serving customers queueing to pay with their contactless bank cards. Although the establishment sits in the capital’s buzzing tech hub, and is advertised online as one of the few retailers in London accepting the hipster-cum-computer nerds’ currency, as few as 20 people have asked to pay with it in the two years he has worked there.

Over the same period, the value of a single bitcoin has rocketed from around $300 to more than $11,000 this week. On Friday, the currency was trading at $10,700.

Chauvin says bitcoin’s increasing value – and media coverage – has not escaped customers. More people have come in asking how it works, thinking of using it in their own shop, rather than actually paying with it, he says, adding: “It’s cool, it attracts some people. But for now it’s niche.”

It's hard to see what it really is, and I'm sure no one really has the ability to see when a drop or rise is coming up other than those who control it. I think bitcoin is both a bubble but also a good investment due to how many whales are involved now. They've started a cycle of dropping and rising the price, but if you get in now, you can make the best out a few of those cycles.

[pushups44]

Bitcoin will experience the same phenomenon the internet companies went through, with similar cycles or waves in price, given its transformative role in society. I think we are far too early to talk about the peak but when it comes it will be violent. The positive thing for investors is that bitcoin is scarce.

[Avdotiy]

My opinion, it behave like bubble, but you still can earn a lot of money on it..
We have to control situation with our money, because it becomes more and more risky every day

[HabBear]

Bitcoin is the fastest-growing asset in the world this year

You answered your own question! It's been a great investment. It will continue yo be a great investment because supply is finite.

You're using the wrong data for your analysis. London's Tech Center means nothing in thr global Bitcoin marjet. Silicon Valley's opinion means something, Bitcoin was born out of this community.

The fact that ppl are 't using it for transactions at your local pub just means that it's not being used as a currency, it says nothing about its value as an investment asset.

There will certainly be down days, weeks, months, but Bitcoin hasa lot more growing to do. If you don't investtoday you'll just be one day older when you do!

[swaptaker]

Bitcoin is the fastest-growing asset in the world this year

You answered your own question! It's been a great investment. It will continue yo be a great investment because supply is finite.

You're using the wrong data for your analysis. London's Tech Center means nothing in thr global Bitcoin marjet. Silicon Valley's opinion means something, Bitcoin was born out of this community.

The fact that ppl are 't using it for transactions at your local pub just means that it's not being used as a currency, it says nothing about its value as an investment asset.

There will certainly be down days, weeks, months, but Bitcoin hasa lot more growing to do. If you don't investtoday you'll just be one day older when you do!

We really need experienced users like you but some people are very panicking by seeing bitcoin as a bubble. Bitcoin is actually not a bubble. It only undergoes hard speculation and its price reacted this very harshly.

[salterious]

It is considered niche among those who are big investors? Man well that ever be a thing of the past after 2018 because I don't see a price tag being under 25k once all these funds start getting in this coming year. I doubt it will be niche after that the exposure will be absolutely massive.

[Slark]

Bitcoin is on the brink of mainstream adoption and we can see with our own eyes that network effect starting to kick in.
At the same time, it is still niche, an unknown phenomenon and nerd money for a majority of 'normal' people.
I am not surprised that people are not asking about bitcoin payments because even bitcoins users assume that no brick and mortar shop accepts BTC so there is no use to even ask.

[NUFCrichard]

Bitcoin is on the brink of mainstream adoption and we can see with our own eyes that network effect starting to kick in.
At the same time, it is still niche, an unknown phenomenon and nerd money for a majority of 'normal' people.
I am not surprised that people are not asking about bitcoin payments because even bitcoins users assume that no brick and mortar shop accepts BTC so there is no use to even ask.

So it isn't actually used, but it has a higher value than the total number of GBP or Rubles that are in circulation?

I am pretty sure that the GBP and Ruble are actually used everyday by a very large number of people, Bitcoin is used by a few people but is generally just used as a store of value.

A store of value is all good and well, but actually given what Bitcoin is, that is all just based on trust, and that can go down a lot. 

Bitcoin can't be used as a currency, it isn't fast enough or have enough capacity to do so, that could change if improvements are made, that is IF improvements are made, who knows if and when that will happen.  I definitely think we are nearer to the top of the price curve than the bottom now, it's rising very quickly for no real reason,

[Rousse]

For me it's like a niche investement, can create a lot of profit and will certainely not die in an hour !!

Anyway, never invest what you can't lose.

[Parodium]

Bitcoin is on the brink of mainstream adoption and we can see with our own eyes that network effect starting to kick in.
At the same time, it is still niche, an unknown phenomenon and nerd money for a majority of 'normal' people.
I am not surprised that people are not asking about bitcoin payments because even bitcoins users assume that no brick and mortar shop accepts BTC so there is no use to even ask.

So it isn't actually used, but it has a higher value than the total number of GBP or Rubles that are in circulation?

I am pretty sure that the GBP and Ruble are actually used everyday by a very large number of people, Bitcoin is used by a few people but is generally just used as a store of value.

A store of value is all good and well, but actually given what Bitcoin is, that is all just based on trust, and that can go down a lot. 

Bitcoin can't be used as a currency, it isn't fast enough or have enough capacity to do so, that could change if improvements are made, that is IF improvements are made, who knows if and when that will happen.  I definitely think we are nearer to the top of the price curve than the bottom now, it's rising very quickly for no real reason,

It appears to me that bitcoin is rising simply because it is used as an investment, I think in order for it to break the $50-100k mark there will need to be improvements in the block size and release of a functional lightning network, which will prompt adoption by bigger corporations.

[lizardbtc]

Bitcoin will experience the same phenomenon the internet companies went through, with similar cycles or waves in price, given its transformative role in society. I think we are far too early to talk about the peak but when it comes it will be violent. The positive thing for investors is that bitcoin is scarce.

If you look at it in that way way bitcoin will survive but lots of alts (bad ICOs) will fail and some major cryptocurrencies will survive, like ebay, google and others stayed long after the market crush

I agree that anyway it hasn't reached its full peak as we see more and more people want to invest for the first time wich can create bigger price until some point when most people will want to "get out", but if we look at bitcoin it is acctually a currency thats why in my opinion, it doesn't behave like stocks and other form of assets. Since you can use it as a currency and you don't need to really sell it when its value go up. But we all know that many people have bitcoins so that they can turn fiat later on.. we will see

[benjamin11]

You can't really tell. But for me, you can gain money in bitcoin as long as you invest early. For sure it will reach a certain wherein the only option after that is to go down. But that value is uncertain.

[Eternu]

There are certain things that needs to be deal with before Bitcoin could grow even more, and that is making possible for bitcoin to be used almost anywhere, for day to day things. At the moment I think that bitcoin is both bubble and good investment. Without risk there is no good profit and that is what makes bitcoin good investment. There are new people entering world of bitcoin with idea to get rich and they all buy bitcoin, so because of that bitcoins price sky rocketed. And that is busting price so fast and so high... and because little number of those people use bitcoin as an currency, it is just a matter of time before price drop to its original value. At least that is what i think.

[ajmapalo22]

Bitcoin already proven that it is not a bubble for almost a decade now everytime the value of bitcoin pump everybody thinks it's just a bubble that anytime can suddenly burst and lose its value without realizing that's just a fluctuations that is already part of bitcoin cycle. Bitcoin is a good investment for me especially a long term investment to consider. Sooner those people who thinks bitcoin is a bubble will probably change their mind when they see the value bitcoin will have in the coming years.

[jak3]

I am one of the oldest Bitcoin around here I have seen the Mt gox exchange crash, and many more incidents but in the topics about Bitcoin bubble then I know what to say. Bitcoin is always just unpredictable but still it keeps Rising so I guess all the previous Bitcoin bubbles or not fake Bitcoin today last $10,000 and still it has potentiality to grow even more and by the way people have just started using it for real so it is going to increase a lot and the coming 2018.

[50ouncebrew]

Why can't Bitcoin be both a bubble waiting to burst, AND a good investment?

There is no doubt we are in a bubble. The masses are confused as to what Bitcoin is. People are asking and just don't understand it. It is so simple, what isn't to understand?

On the flipside, Bitcoin is an amzing investment. Tell me any other investment where you get 1,000% ROI in under a year?

[MakeMoneyBtc]

We can already see Bitcoin is not a bubble. A lot of people,including popular millionaires, said in the past that Bitcoin is just a bubble and it will soon crack and disappear. This obviously didnt happened and I am pretty sure it is not going to happen, at least in the near future.

We can say it is a good investment and in the same time a hidden bubble that is close to crack, but we cant know for sure. For now all we can do is to invest and wait to see what is going to happen. We have enough time to invest and make huge profits until bitcoin is going to have problems.

[xBitHodler]

Some people claim that Bitcoin is a bubble because they think that it has no value at all. They don't understand the idea of Bitcoin and they see it as a few numbers in a computer which anyone can modify. Also, banksters won't die that easily. They will defend banks and their money to the bitter end. Bitcoin value is increasing due to more and more people investing in it. People believe that Bitcoin will continue to increase and so do I.