The0retical said:What I really need is for this cryptocurrency craze to end so I can pick AMD stock up again for 2 bucks ride it to 15 short and repeat.
LOL. I hope it doesn't go to $2. I bought in the high tens and I'm still sitting on mine. I also bought a Ryzen processor, and so should everyone who reads this!
GameboyRMH said:^Well it looks like the peak is at 65x for BTC, and if you divide $15k by 65 you get $230, which is far from zero or any early trading number. So the graph is actually being quite soft on BTC.
That doesn't actually make me feel better, it only reinforces my point. The "start" of the "bubble" is a pretty random data point.
In reply to T.J. :
No disclaimer necessary. BitCoin is crazy, regardless of whether the chart makes sense or not. Your opinion is completely valid.
Australia's central bank has figured it out:
Could this rouse the biggest banhammer of them all from its slumber?
http://money.cnn.com/2017/12/14/news/economy/senator-treasury-bitcoin/index.html
I think what many like about cryptocurrencies is the relative ease of getting into someone wildly scoffed at by the mainstream. It's like finding that tiny little company that is growing by tens of thousands per day, and all the mainstream investors are saying "haha you're stupid" but that company continues to grow the point where the mainstream folks are now saying "it's a bubble...that I want in on."
I'd love to invest in some companies in Africa or Asia or Eastern Europe, but how I do that without just buying "emerging markets" funds?
Bitcoin represents an easy way people can say "I like where this going, here's a few bucks." We can't do that with a small company in Namibia no matter how fast they are growing. We can't buy in at "ground zero" as easily as we can with cryptos.
With most stocks that are so easily traded, the returns are so little and the hoops so countless it makes traditional investing far more difficult.
I just bought $100 Ripple this morning. They're cheap. It's kind of fun to be honest.
I threw $150 at Bitcoin on December first. It's currently at $230 and change, but it jumps around throughout the day. I'll only throw expendable money at it, but so far, so good.
It is kinda fun, and the bubble won't burst until folks quit buying it---- which I don't think will happen for a while.
GameboyRMH said:Could this rouse the biggest banhammer of them all from its slumber?
http://money.cnn.com/2017/12/14/news/economy/senator-treasury-bitcoin/index.html
There was an article today on Quartz talking about how India's tax collectors are getting ready to knock on doors for taxes owned on the sale of commodities. These crypto currencies have drawn a lot of attention to themselves and someone finally did some simple math and figured there's a bunch of tax revenue to be had.
I have nothing against playing around with it as long as everyone understands the risks, Joe Public rarely does though. It's akin to like playing around with penny stocks in the 80's. You know someone is manipulating the price but can you short soon enough?
On the topic of gambles, has anyone tried any of the startup investing platforms like AngelList, SeedInvest, CircleUp, FundersClub, WeFunder?
This hilariously popped up yesterday.
The layperson and AI that controls the market doesn't understand the underlying tech. Also the price tanked 30% last night to $15k around midnight (oh look its $11.3k right now @9:35 EST)
In reply to The0retical :
The top 100 tanked this morning. I'm buying more Ripple 
The0retical said:This hilariously popped up yesterday.
The layperson and AI that controls the market doesn't understand the underlying tech. Also the price tanked 30% last night to $15k around midnight (oh look its $11.3k right now @9:35 EST)
Well, if you ever needed proof that the short term stock market is run by a bunch of idiots, I can't think of a better example. So funny!
In my limited experience as a conservative investor, I've noticed that once you start seeing signs on the side of the road advertising how to do something to make money, the opportunity is over.
The time to have bought cryptocurrency was five years ago. It is one huge pump-n-dump scheme at this point in my opinion.
Now come on, cryptocurrency is just correcting down to form a solid base…once it gets down to its intrinsic value and the weak money has been run out of town, it’ll offer an excellent entry point.
So, what is its intrinsic value…how low does it need to go to run the weak money out of town (you know, the point where all the remaining investors are disciplined individuals that are behaving rationally)…oh, E36 M3
In reply to RX Reven' :
I'm just interested where that point is. Bitcoin in and of its self seems most useful as a way to legitimize dark money. Not exactly something most people want to be associated with. Right now it's too volatile to serve as an exchange medium but if it ever evens out I can understand the allure.
The underlying blockchain tech would be useful for distributed record keeping (escrow, loans, et.al).
I just thought that the result of crossing out your company name then writing in "blockchain" with a crayon underneath to increase your market valuation by 503% was something you guys would find funny.
I heard on the radio that bitcoin dropped 30% last night, and nobody really knows why.
gearheadmb said:I heard on the radio that bitcoin dropped 30% last night, and nobody really knows why.
Some people regained their sanity?
Also a possibility - a bunch of the early miners are quietly selling off a significant amount of their stash while it’s valued really high, and bringing supply upwards. I’m not sure if that is something that can actually be tracked by outsiders, though. Another issue with bitcoin - trading volume for stocks is easy to see, how about for bitcoin transactions?
The0retical said:In reply to RX Reven' :
I'm just interested where that point is. Bitcoin in and of its self seems most useful as a way to legitimize dark money. Not exactly something most people want to be associated with. Right now it's too volatile to serve as an exchange medium but if it ever evens out I can understand the allure.
The underlying blockchain tech would be useful for distributed record keeping (escrow, loans, et.al).
I just thought that the result of crossing out your company name then writing in "blockchain" with a crayon underneath to increase your market valuation by 503% was something you guys would find funny.
Hi TheOretical,
If I put out a number, it’d just be a guess…there is real value in the encryption aspect but given that ~100 alternatives have quickly sprung up, we can infer that 1) the current tech can’t be patented and 2) few barriers to entry exist so I wouldn’t put much value on it…maybe five cents on the dollar from where we’re currently trading.
Keep in mind that a huge amount of dirty money has been laundered through cryptocurrency. That pent-up demand to move easy money into the daylight has mostly been blown out so now the valuations need to be supported by money that people actually worked hard for; whole different story.
Apparently, this is the 6th time in 2017 that Bitcoin has experienced a 30% drop. Each time, it has recovered and climbed much higher. Will this time be the same? Do you feel lucky?
I noticed this option while searching CL tonight. They seem to think cryptocurrency will be a thing I guess.
In reply to paranoid_android :
Saw that about a week ago. Nothing like combining two of the sketchiest services human kind has come up with.
Saying it may account for the precipitous drop in the digital currency, financial experts on Friday told reporters that the recent plunge in bitcoin value could reveal vulnerabilities in crazy imaginary internet money.
https://www.theonion.com/bitcoin-plunge-reveals-possible-vulnerabilities-in-craz-1821134169
That article should be in the WSJ, not The Onion.
Update: I'm calling it now, the cryptocurrency death spiral has begun. Sell it if you got it. South Korea's about to ban it, and more and more services that used to deal in it are dropping it (MS & Steam, and even some cryptocurrency exchanges stopped trading BTC):
From what I read yesterday (albeit on Zero Hedge, so take it with a large salt lick), China is "convincing" miners to exit cryptocurrency mining pretty soon. Seems to have something to do with them gobbling up tons of electricity that the state thinks could be used for more productive things.
If they succeed in that, a lot of the mining capacity will go away, which will make Bitcoin even more useless as an exchange medium as it'll bump up transaction costs and timeframes even further.
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