Is anyone worried how fast BTC is climbing in price?

[bennybong]

Waiting for that 26,000 btc dump to come along...

[Dangolbery]

This is my take:

Silk road gets taken down.

People wait a week to see if Bitcoin can exist without it.

Bitcoin does fine.

Oh shit, legit currency guys! BUY BUY BUY!

[Bitcopia]

Nope. Been here a few times before. Learned this is not like anything else in the world.

[thoughtfan]

This whole move started since Second Market entered the game. They can drive up price to 1k in no time as they have quite a few billionaire clients buying whatever they pitch and Bitcoin is their featured top investment right now.

I find it surprising people don't get it and come up with various crap explanations like "Silk road" this or "US gov shutdown" that.

Angry birds market cap sits at $7 billion. A revolutionary payment system like Bitcoin should sit somewhere at $200 billion atm and it barely touched $2billion. Bitcoin is hugely undervalued. Price should be somewhere around $20k/Bitcoin.

Bitcoin has a potential market cap in the trillions. Mastercoin built on top of it puts it at least at 5 trillion (Forex level). Readjust your calculations.

Potential sure, but I'm talking about its current market value, what a fair valuation should be.

I don't believe there is such a thing as a 'fair valuation' based upon 'fundamentals'.  There is an absolute minimum price that would be required so that the bitcoins in circulation (assuming all bitcoins mined to date minus those in lost wallets) were enough to facilitate today's day-to-day transactions.  My guess is that that is a tiny fraction of its current market value.  Everything above that is based on demand versus supply (new + old becoming available on the market) with every bitcoin saved/long-term-speculated reducing those available.  People's preparedness to pay a higher and higher price is based on their confidence (or lack thereof) of Bitcoin reaching anywhere near its potential.

Feel free to pick a 'fair valuation' of your choice and to act accordingly.  Nobody can say you're wrong, but neither can you really say somebody valuing it at a cent or a million dollars are wrong.

[Zangelbert Bingledack]

This is my take:

Silk road gets taken down.

People wait a week to see if Bitcoin can exist without it.

Bitcoin does fine.

Oh shit, legit currency guys! BUY BUY BUY!

This is a major one I think. There was a huge contingent of people who thought Bitcoin was powered by SR. Probably everyone suspected it to some degree. There was another big contingent in more official/business circles that worried about the SR association. The shutdown of SR greatly soothed the latter group's concerns and the price action following the shutdown pretty much obliterated the former group's concerns.

More big reasons.

[600watt]

Bitcoin millionares are worried about the price, for people have small amount of bitcoins, they hope the skyrocketing last long and long.

i like this reasoning. let´s get the smallest bitcoin wallet wealthy. 

[Zangelbert Bingledack]

There is a very large difference between jumping from $1 to $1.8 and jumping $100 from to $180. It requires many more people, much more effort, and often some differentiating factors to do the second.

The rising price and stronger infrastructure attract more people and capital in a self-feeding cycle of exponential growth. There are plenty more factors that have yet to open Bitcoin to the masses, such as wallet security (Trezor, etc.). Second Market opened exposure to the wealthy less than a month ago. A year ago Second Market wouldn't have done the BIT, because the price and infrastructure weren't there. Each achievement unlocks several doors and reveals many more. Almost everything in the Bitcoin world, most notably the price, is mutually reinforcing.

Differentiation-wise, it seems Bitcoin is differentiated out the wazoo from fiat currencies, so no issue there.

As for differentiation from altcoins, first there is network effects, history, first-mover advantage, the strength of the development team, and inertia (including standardization). Inertia can be disturbed in some extreme cases, history can eventually become relatively more equal but the speed at which that happens is very limited compared to the speed at which the cryptocurrency revolution is happening or the speed of network effects. Bitcoin has such an overwhelming lead in all these areas, and there is so little innovation in the altcoins so far (and any new ones would start with no history) that it would take an amazing development for one to overtake Bitcoin - and Bitcoin users would be better off in that case anyway, since they would be among the first to recognize the investment opportunity, as well as having a better system in the end. That's supposing its features weren't just incorporated into Bitcoin or added on top of it like Mastercoin.

Good money drives out bad when there is a free market, so the best coin will always be dominant, and the great importance of track record in the cryptocurrency world will ensure that the leader cannot change easily.

EDIT: Here's a decent summary of why altcoins aren't anything to be worried about.

[afbitcoins]

And no, looking in log-scale is not "cheating".  Going from 1 to 1.8 is just as spectacular as going from 100 to 180.

This is false. Think about it in terms of "people involved" and "money volume necessary to cause a price level increase", and you will see $100 to $180 is much different than $1 to $1.8

Think about it in terms of exponential growth, as in exponential amount of an "people involved" each bringing along individual "money volume necessary to cause a price level increase", and you will see $100 to $180 is actually pretty similar to $1 to $1.8

Exponential increases in people and money flow are not easy things to accomplish. Such occurences are the exception, not the rule (don't fall prey to survivor bias). That isn't to say it won't happen, just acknowledging the facts.

The entire monetary system depends on constant exponential growth, because the money to pay interest on debts doesn't exist until new debts are created. This sort of thing was a useful system during past eras when humans were expanding and colonising new continents. Now that we are faced with exponential requirements for our economy and simultaneously hitting finite limits of resources and commodities we are stuck with a system which no longer works to our benefit and  is beginning to fail.

Bitcoin is a much better model for the worlds finances going forwards.

Not too nervous yet, but can feel a bit of greed kicking in, fear will be the crash after the next euphoric bubble, which might be just getting going now ?

[applelover]

I'm wondering.. Maybe it's not that BTC appreciate that much, but maybe more poeples are understanding that the actual fiat-printing-currency system is on the verge of total faillure (currently slowly falling appart).

this is the main reason why i personally am buying bitcoins

[wasserman99]

I'm wondering.. Maybe it's not that BTC appreciate that much, but maybe more poeples are understanding that the actual fiat-printing-currency system is on the verge of total faillure (currently slowly falling appart).

this is the main reason why i personally am buying bitcoins

that's a pipe dream, fiat has a long way to go, btc will rise for other reasons

[fleabag]

This is my take:

Silk road gets taken down.

People wait a week to see if Bitcoin can exist without it.

Bitcoin does fine.

Oh shit, legit currency guys! BUY BUY BUY!

LOLOLOLOLLOLOLOLOLOL!

Silk road was a huge part of it but if you really want to know why bitcoin is doing fine, its because mt gox bitstamp btc-e dont want it to fail. They can do whatever they want with the price. there are no rules or regulations that they have to abide by. They are smart business owners. Why would you let the golden goose die? As long as there are more suckers out there that jump on board it will keep going.

[cheech300]

This is my take:

Silk road gets taken down.

People wait a week to see if Bitcoin can exist without it.

Bitcoin does fine.

Oh shit, legit currency guys! BUY BUY BUY!

LOLOLOLOLLOLOLOLOLOL!

Silk road was a huge part of it but if you really want to know why bitcoin is doing fine, its because mt gox bitstamp btc-e dont want it to fail. They can do whatever they want with the price. there are no rules or regulations that they have to abide by. They are smart business owners. Why would you let the golden goose die? As long as there are more suckers out there that jump on board it will keep going.

??
Cool, nice to get insidernews! Ah ok, now i got it! Mtgox and bitstamp are the Head of the ponzischeme....seems that i'm one of those suckers... You don't own Bitcoins? U are the Lucky one!

[theonewhowaskazu]

So,

Like 150 a day after difficulty goes up, 180 2 days later, heavy volume on MTgOX.

Is this not worrying anyone?

Who is injecting all this money anyway? 

Is the ASIC producers in China trying to keep the value up to sell the miners?

It's looking like quite a bubble.  And so far there is very little "Technical Analysis" type chart formatiations in the past.  Maybe the daytraders are taking over?

We are losing stability here, I think.

I'm worried about how fast BTC is climbing in price because I need more BTC and now I can't get them.

First time I've legitimately been in a "panic buy" type situation.

[young3dvard]

Yes, the faster the daily price increase, the higher chance of crash. Simple as this

[the joint]

This is my take:

Silk road gets taken down.

People wait a week to see if Bitcoin can exist without it.

Bitcoin does fine.

Oh shit, legit currency guys! BUY BUY BUY!

LOLOLOLOLLOLOLOLOLOL!

Silk road was a huge part of it but if you really want to know why bitcoin is doing fine, its because mt gox bitstamp btc-e dont want it to fail. They can do whatever they want with the price. there are no rules or regulations that they have to abide by. They are smart business owners. Why would you let the golden goose die? As long as there are more suckers out there that jump on board it will keep going.

Hey fleabag, nice post history.  Not sure why you're so bitter, though... 

[Anon136]

So,

Like 150 a day after difficulty goes up, 180 2 days later, heavy volume on MTgOX.

Is this not worrying anyone?

Who is injecting all this money anyway?  

Is the ASIC producers in China trying to keep the value up to sell the miners?

It's looking like quite a bubble.  And so far there is very little "Technical Analysis" type chart formatiations in the past.  Maybe the daytraders are taking over?

We are losing stability here, I think.

I'm worried about how fast BTC is climbing in price because I need more BTC and now I can't get them.

First time I've legitimately been in a "panic buy" type situation.

i know the feeling. i set a nominal goal for myself denominated in btc and started buying in at 20 dollars. then the price just started going up and up and up and it felt like i was on an escalator that was increasing in speed while also increasing in the rate of increase in speed. i did finally manage to reach my goal though, it ended up costing me 4 times as much as initially expected it, but over all i'm WAY up on the investment and now its over and cool as a cucumber, just sitting back and watching the show.

[theonewhowaskazu]

So,

Like 150 a day after difficulty goes up, 180 2 days later, heavy volume on MTgOX.

Is this not worrying anyone?

Who is injecting all this money anyway?  

Is the ASIC producers in China trying to keep the value up to sell the miners?

It's looking like quite a bubble.  And so far there is very little "Technical Analysis" type chart formatiations in the past.  Maybe the daytraders are taking over?

We are losing stability here, I think.

I'm worried about how fast BTC is climbing in price because I need more BTC and now I can't get them.

First time I've legitimately been in a "panic buy" type situation.

i know the feeling. i set a nominal goal for myself denominated in btc and started buying in at 20 dollars. then the price just started going up and up and up and it felt like i was on an escalator that was increasing in speed while also increasing in the rate of increase in speed. i did finally manage to reach my goal though, it ended up costing me 4 times as much as initially expected it, but over all i'm WAY up on the investment and now its over and cool as a cucumber, just sitting back and watching the show.

Yea, that's the worst. I sold in the march 11 crash and have been trying to catch up ever since.

If you denominate all my profits in USD, though, I'm still in the green, so I suppose I shouldn't be complaining.

[fleabag]

This is my take:

Silk road gets taken down.

People wait a week to see if Bitcoin can exist without it.

Bitcoin does fine.

Oh shit, legit currency guys! BUY BUY BUY!

LOLOLOLOLLOLOLOLOLOL!

Silk road was a huge part of it but if you really want to know why bitcoin is doing fine, its because mt gox bitstamp btc-e dont want it to fail. They can do whatever they want with the price. there are no rules or regulations that they have to abide by. They are smart business owners. Why would you let the golden goose die? As long as there are more suckers out there that jump on board it will keep going.

Hey fleabag, nice post history.  Not sure why you're so bitter, though... 

THE TRUTH HURTS HUH? SO TELL ME THERE IS GOING TO BE THOUSANDS AND THOUSANDS OF NEW MILLIONAIRES IN THE NEXT 10 TO 20 YRS? SURE. ALL THE WEALTH IN THE WORLD IS GOING TO BE REDISTRIBUTED BECAUSE OF BITCOINS?

[wobber]

I am kinda worried that we're gonna go parabolic again and then CRASH.

[Herp]

I am kinda worried that we're gonna go parabolic again and then CRASH.

So lay down your weak hands and sell. What you're waiting for?!