https://www.youtube.com/watch?v=XSj10n8jlgg
For as much as people talk about some Black Swan they’re anxiously awaiting, it has already happened: BitCoin. The proof is mathematical.
I’m just watching what looks like a countertrend bounce — 12% in 32 hours?
Isn’t that the kind of volatility we’re looking for in the miners? Only, unlike metals, it’s a market that’s actually trending. And even if the main part of the rise is complete, the volatility remains interesting.
Now, of course… what is the best vehicle to trade it?
- You mean to sell it I assume. That sucker is on the verge of crashing. Its get the hell out of Dodge time for Bitcoin owners because she’s going down hard.
- Ped, why do you say that?
Also, what is your perspective bor Bitcoin on the long term?- The chart structure warns of a serious price drop and because it has recently had a near vertical rise. It does not mean it cannot go higher yet but just be warned the signs are present for a potentially steep decline. You want to be on guard whenever you see a chart displaying certain characteristics that are commonly seen before a blow off top. Timing the top is never easy however but looks inevitable to me.
- It is ! The problem is, that nobody comprehends how blockchain structure, and the electronic mechanisms for trading leave it incredibly vulnerable to completely seizing up (i.e. all your so called value is permanently and forever locked, and can’t be converted to dollars or anything), or it can go down in price way faster than any other traded asset on the planet. The energy involved and bandwidth and capacity to mine it, is way beyond what anyone is imagining, and it will NEVER be suitable for the masses. Right now its going up merely on very small number of people actually using it compared to other mature currencies or metals or commodities. It truly has no more ‘worth’ than any fiat currency, and probably way more vulnerable bc there isn’t even a government or sovereign or any deep pockets backing it. Essentially if you tried to chart beanie babies back when they were in such demand and assigned prices to each one’s value, it would like Bitcoin’s chart does today. Now you can’t even give beany babies away. Same thing is going to happen, because Bitcoin’s inherent flaw is actually that its constructed using math that no one understands, and consumes infinitely more energy to produce and keep trading as the number of transactions increases. The cost of making pennies, or coins does not do that, the more you make of them, and nor does the cost of mining gold. It rises over time, but its gradual and not based on a flawed digital formula.
- The problem with bitcoin is too much volatility. No one wants to buy things in a currency that fluctuates that much…unless you’re buying contraband I suppose. Bitcoin needs to get some respect as a currency not as a mojo trading vehicle.
