bitcoin IS in a bubble

[xuv500]

Yet another worst scenario of the year for BTC, the market was okay till it went to $5k but crypto has changed its intention this time and want to give a scare for everyone who have Invested in this. Being strong still and have faith in BTC.

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[Heisenberg_Hunter]

What's this about intrinsic value? As I understand it, Bitcoin has no intrinsic value. It's only worth what the next person is willing to pay.

What makes Gold and other precious metals to be more valuable than other metals? Over times, people have accepted that to be store of value and buy them so that they would be worth something higher than what they have bought. Gold price is not based on what other people spend for it! People spend money to mine them and mining is not done free of cost!  Moreover, bitcoin is not something similar to a stock of a company to be worth enough or to be based on others traders buy orders! They are created for the purpose of serving as a digital money and in the future we will shift to them.

Bitcoin is similar to gold. Miners spend money in the form of electricity to mine btc which costs around $4500/btc at the current difficulty even in third world countries where electricity is literally cheaper. With ETF and newer regulations coming out in Q1 of 2019 it is expected to rise in price sooner. But ATM miners are at loss and whale movements prove to be a bad sign for the upcoming days in the market. Once btc is considered to be global payment system and new regulations rise up, we will see new highs. Till then bear continues to dominate the market.

Many people believed in DotCom Bubble but they got adapted as days passed by, such thing will happen with the digital money.

[gabmen]

Yet another worst scenario of the year for BTC, the market was okay till it went to $5k but crypto has changed its intention this time and want to give a scare for everyone who have Invested in this. Being strong still and have faith in BTC.

Lol. Detractors are having the time of their lives now saying "i told you so" 😆 the decline was sudden and steep and i don't think many were expecting it. The bubble popped, but i'm waiting for it to be inflated again.

[pooya87]

Yet another worst scenario of the year for BTC, the market was okay till it went to $5k but crypto has changed its intention this time and want to give a scare for everyone who have Invested in this. Being strong still and have faith in BTC.

Lol. Detractors are having the time of their lives now saying "i told you so" 😆 the decline was sudden and steep and i don't think many were expecting it. The bubble popped, but i'm waiting for it to be inflated again.

you can't call this a "bubble pop" and then also claim that "nobody was expecting it" and also "was sudden and steep". these two prove that it was manipulation not a natural drop. when majority of investors don't expect a drop, they buy and that was the consensus above $6k, everyone was accumulating then the dumps came out of nowhere.
hence my point of this being an inverse bubble or you can call it an "artificial low"

[GeoRW]

Yet another worst scenario of the year for BTC, the market was okay till it went to $5k but crypto has changed its intention this time and want to give a scare for everyone who have Invested in this. Being strong still and have faith in BTC.

Lol. Detractors are having the time of their lives now saying "i told you so" 😆 the decline was sudden and steep and i don't think many were expecting it. The bubble popped, but i'm waiting for it to be inflated again.

you can't call this a "bubble pop" and then also claim that "nobody was expecting it" and also "was sudden and steep". these two prove that it was manipulation not a natural drop. when majority of investors don't expect a drop, they buy and that was the consensus above $6k, everyone was accumulating then the dumps came out of nowhere.
hence my point of this being an inverse bubble or you can call it an "artificial low"

6k was nice example of a bull trap. Be prepared that your so called "inverse bubble" can continue for years. I still can't see any signs of recovery. There's major support at 3k now, but what will happen when we go close to it? There's probably a mine field of stop loss orders which can trigger another downwards explosion like we saw at 6k.

[figmentofmyass]

What makes Gold and other precious metals to be more valuable than other metals? Over times, people have accepted that to be store of value and buy them so that they would be worth something higher than what they have bought. Gold price is not based on what other people spend for it! People spend money to mine them and mining is not done free of cost!

it doesn't matter what it costs to mine gold. if people aren't willing to pay the cost of production, price will drop. this will eventually cause unprofitable mining operations to shut down, which will in turn cause less supply to come to market.

it all boils down to what the market is willing to pay. very few people will stop to consider the profitability of gold mines in south africa before they buy gold for value storage.

the same applies to bitcoin. nobody cares about the cost of mining. if price crashes, miners will follow the market by shutting down. that's exactly what's been happening over the last few weeks.

[okala]

people always think only if price goes up then it goes into a bubble. but they forget that that is not the only type of bubble that exists. of course that is the most common thing and also a popular concept which has a popular name.

a bubble is irrational and uncontrolled exhilaration which leads to irrational investment which pushes the price above intrinsic value of the asset.

but people forget about the less common term "reverse bubbles" which occur similarly to bubbles but instead of people focusing on the positive and buying, they are focusing on the negative and selling irrationally. the result is price being pushed below the intrinsic value of the asset.

right now bitcoin is in a Reverse Bubble and just like a bubble, it needs bursting before the market can become healthy again.

I just learned this for first time that even in bearish market we can still be in bubbles. This current market conditions and pricing is really an uncontrollable one and it seems no one have the market in mind for good. I have been in this market since 2016 and I have never see this type of falling in price before. I just hope the market recover soonest.

[exstasie]

I think a fair market price for bitcoin was the ~6500 that it was stabilizing at for a couple months before the BCH split chaos caused the crash, so yeah i'd say the price is depressed right now. Don't think I'd call it a reverse bubble, but if the market were to keep panic selling from here down to 2000s or 1000s then yes that'd be extreme I think you could call that a reverse bubble.

The "fair market price" is what the market says it is. On the way up, people say it's Tether printing or the Willy Bot. On the way down, they say it's whale manipulation, or now it's the BCH split. There's always a narrative.

I say it's just fear and greed, euphoria and despair, playing out. The explanations don't matter. Willy Bot or not, people were paying those prices at that time and that's what matters. That's the fair market price. The same thinking applies now.

[Jet Cash]

I call the FUD merchants FAGs - propagators of fear and greed. For example, every sale needs a buyer and a seller. When the price is going down, then reports are that massive numbers of Bitcoiners are selling, and when it is rising they are reported as buying. In fact the reality is that most of the coins are just being moved between wallets owned by the same person. It is the FAGs with their reports who create these false evaluations of the fundamentals.

[pooya87]

~
6k was nice example of a bull trap. Be prepared that your so called "inverse bubble" can continue for years. I still can't see any signs of recovery. There's major support at 3k now, but what will happen when we go close to it? There's probably a mine field of stop loss orders which can trigger another downwards explosion like we saw at 6k.

you are changing the discussion. being in a bubble or a reverse bubble is one discussion and how long they last is a different one. for example of bubble time, $15k was a bubble for bitcoin but that didn't mean it will burst then and there. it continued up to $20k and then burst and fell down and the fall down also took about 6-7 months. i never said the current price is the end of the reverse bubble (ATL) but any lower than it goes it will only increase the size and severity of this reverse bubble.

there is a similar story here too with the difference that during an inverse bubble people have to buy back for it to correct and people tend to do less "panic buying" compared to bubble bursts where they "panic sell". to the correction of a reverse bubble is always slower.

[glowing10]

Yet another worst scenario of the year for BTC, the market was okay till it went to $5k but crypto has changed its intention this time and want to give a scare for everyone who have Invested in this. Being strong still and have faith in BTC.

It is quite scary at the moment as market has being not showing some sign of respite. But seems we see something to happen soon and market may move up more stronger than it has before. Will it happen now or in 2019 is the only concern for now.