Interesting FT article: Epidemiology tells you not to write bitcoin off

Discussion in 'Alternative Investments' started by Brendan Burgess, Apr 14, 2018.

  1. Brendan Burgess

    Brendan Burgess Founder

    Posts:
    35,471
    https://www.ft.com/content/d22f2350...S96vVOmd6R4CYPz0kTnTgYm7thtbri&sharetype=gift

    In a recent stab at valuing cryptocurrencies, Barclays analysts drew on epidemiology to explain the bubble-like price behaviour.

    In this analogy, the cryptocurrency disease spreads effectively when a rush of new buyers catches the fever and enter the market, pushing up the price of the asset. This creates more infections as the susceptible population, fearing that they are missing out on the next Amazon, also starts buying bitcoin. Determined bitcoin holders, known among cryptocurrency afficionados as “hodlers”, expect prices to continue rising and do not sell.



    Plus, the susceptible population is still huge. Like the MRSA superbug or tuberculosis in Russian prisons, it would be hard to bet against bitcoin continuing to show considerable microbial resistance.
     
  2. MrEarl

    MrEarl Frequent Poster

    Posts:
    1,626
    Hello Mr. Burgess,

    That article cannot be read without subscribing to the FT.

    Any chance you might please do a "copy and paste" so we can all read it ?

    Many thanks,
     
  3. TheBigShort

    TheBigShort Frequent Poster

    Posts:
    2,736
    That would decentralise the power that paid subscribers have in dangling such premium knowledge that the rest of us know is generally without real value.
     
    MrEarl likes this.
  4. MrEarl

    MrEarl Frequent Poster

    Posts:
    1,626
    :D

    I must admit, I'm more than a little curious to know what might have recently inspired the rush of new buyers to enter the market, given how much prices have increased in recent days.... :)
     
    TheBigShort likes this.
  5. Brendan Burgess

    Brendan Burgess Founder

    Posts:
    35,471
    Hi Mr Earl

    Unfortunately, it is copyright. We don't allow posting entire articles, just quotes and summaries.

    Brendan
     
    MrEarl likes this.