Why is Bitcoin "digital gold" crashing right now?

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Tecate,

I would treat the JPM note in context rather than a fact. I am not disagreeing with the opinion, I'll wait until I get the full note to formulate that. What I am pointing out is that every bank has a research team, and those research articles present an opinion on the topic most commonly in equities with a Buy / Sell / Hold rating. Not every prediction becomes a reality and they are often wrong.

What is more important than the content of the note is in support of your argument that Bitcoin is becoming more institutionalized and the JPM note is a recognition of the further legitimizing Bitcoin as a store of value for Wall Street.
 
Dublinbay12 said:
I would treat the JPM note in context rather than a fact.
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Absolutely - in this space above any other, there's a need for a healthy cynicism.

Dublinbay12 said:
What I am pointing out is that every bank has a research team, and those research articles present an opinion on the topic most commonly in equities with a Buy / Sell / Hold rating. Not every prediction becomes a reality and they are often wrong.
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Agreed.
Dublinbay12 said:
What is more important than the content of the note is in support of your argument that Bitcoin is becoming more institutionalized and the JPM note is a recognition of the further legitimizing Bitcoin as a store of value for Wall Street.
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If this was an isolated instance, then I'd be inclined to be more wary of the intent behind it. However, there seems to be an emerging consistent view along the lines of their note.
 
tecate said:
Do you see this advisory from JPMorgan then as treachery? Is this their honest appraisal or a ruse to suck in the feeble of mind such as myself?
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Why would I see it as treachery? That is a bizarre comment. Does it relate to something I said? I am mystified by it.

The analyst who wrote that note is clearly wrong. And they are often wrong.

Brendan
 
Speaking of the Madness of Crowds, surely to keep repeating the same BOHA argument over and over, in the face of bitcoin price doubling since this thread began, falls into that category?
 
Wolfie

Have you read the book?

It's about how crowds get deluded. You and the rest are deluded into thinking that a bag of hot air is worth something.

This delusion can persist for a surprisingly long time.

Brendan
 
Brendan Burgess said:
Max
I was responding to tecate's use of the term.

The point is that it's the same age group who chase the latest investment fad and get burnt badly.


Brendan
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Talking of getting burned, the generations that chased property, stocks, commodities, etc got burned repeatedly, once every number of years.

So far in crypto, only the people that bought from september to november 2017 got burned, maybe BOHA is the way to go then...
 
Brendan Burgess said:
Wolfie

Have you read the book?

It's about how crowds get deluded. You and the rest are deluded into thinking that a bag of hot air is worth something.

This delusion can persist for a surprisingly long time.

Brendan
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Did it ever cross your mind for a split second that the deluded crowds might include you?

I’m not saying you are, but it is still a possibility, isn’t it?
 
Gus1970 said:
the generations that chased property, stocks, commodities,
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Hi Gus

These items all have value. From time to time they are overvalued and so people who invest in them might see them fall, but they usually recover.

But tulips, ponzi schemes, and Bitcoin have no value. It's not a question of well they are worth x but the overenthusiasm prices them at 2x. Bitcoin is a sham which is worth nothing.

Brendan
 
DazedInPontoon said:
This huge MicroStrategy buy-in is wild. I actually think the podcast he did here https://www.youtube.com/watch?v=JibXLTDaj50&ab_channel=StephanLivera is better than the one tecate linked. It's more to the point and he's goes into more detail on some of the aspects.
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According to its earnings call earlier today, MicroStrategy plans on buying more bitcoin with excess cash as the company goes forward.

ElXrGiGWoAIbl70
 
Brendan Burgess said:
These items all have value. From time to time they are overvalued and so people who invest in them might see them fall, but they usually recover.
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You are being disingenuous here Brendan. Yes, the prices of these items tend to recover over time, but not necessarily the people who got burnt. I don't have figures to hand but I suspect there is a correlation between asset bubble crashes and suicide, mental illness, unemployment, bankruptcies, homelessness etc.

Btw, tulips do have value, that is why there is a market for them.

Tulips
 
WolfeTone said:
Yes, the prices of these items tend to recover over time, but not necessarily the people who got burnt.
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Fully agree with you. So not sure why you are saying I am disingenuous.

Many people who bought Bitcoin and who will sell out before it crashes to zero, will make money on it. That does not mean that it is not a bag of hot air.

By telling you that it will crash to zero does not mean that everyone who ever bought it will lose money.

Brendan
 
tecate said:
According to its earnings call earlier today, MicroStrategy plans on buying more bitcoin with excess cash as the company goes forward.

ElXrGiGWoAIbl70
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*subject to market conditions and business needs. They also note that they will run the business day to day with Cash.

It will be interesting to see if they sell any if the price continues to rise, they are currently sitting on a ~22% profit.
 
Brendan Burgess said:
So not sure why you are saying I am disingenuous.
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Well, you are making the distinction that assets such a property and stocks tend to recover over time, but for bitcoin that is not the case.
However, bitcoin price is at €11,000+ having crashed to less than €3,000 after its all time high in 2017.

Bitcoin is showing very similar characteristics to any other asset price recovery, unlike tulips. There is no dispute, the market price for bitcoin today is €11,631.

Until some new information emerges, or some other technological development, or a fundamental flaw emerges (BOHA has not resonated with the market despite the views of some revered economists) that returns bitcoin to zero, then the market is saying that the value of bitcoin today is €11,631. The market cannot be wrong, can it?
 
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Dublinbay12 said:
It will be interesting to see if they sell any if the price continues to rise, they are currently sitting on a ~22% profit.
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Indeed, it will. He's just stated that he owns $200 million worth of bitcoin personally so he'll have that decision to make personally also.
In an interview with Raoul Pal last week, he said this ->

“This is not a speculation, nor a hedge. It is a deliberate corporate strategy to adopt the Bitcoin Standard.”

@WolfeTone : Hardly anyone runs with the Tulip analogy anymore. It's been well and truly outed. i.e. Tulips don't have any of the universally accepted characteristics of what makes for either a good store of value or a means of exchange. Bitcoin on the other hand does.
 
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WolfeTone said:
Well, you are making the distinction that assets such a property and stocks tend to recover over time, but for bitcoin that is not the case.
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Hi Wolfie

You are saying that I am wrong. I don't mind you saying that.

But by accusing me of being disingenuous you are saying that I am trying to deceive. I do mind you saying that.

Brendan
 
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