• Bitcoin reaches highest value since April, led by Chinese action
    41 replies, posted
[url]http://thegenesisblock.com/bitcoin-climbs-highest-price-since-april-led-cny-movement/[/url] [img]http://thegenesisblock.com/wp-content/uploads/2013/10/price-and-volatility2.png[/img] [quote]The last week has seen dramatic upwards price action in the bitcoin markets, driven by a series of macro and micro events across the globe. The fallout from Silk Road’s closure turned out to be but a blip in bitcoin’s price history, with significant gains since then. Turmoil in global financial markets and recent news of leading global websites accepting bitcoin may have bolstered enthusiasm for digital currency, but most interesting may be CNY’s definitive recent price leadership. ----- US Events A number of factors may be driving the latest climb. For one, bitcoin price increases are known to often coincide with media coverage. Accordingly, even the Silk Road closure which highlighted bitcoin’s use for illicit purposes may have helped drive new participants into the market as a result of the exposure gained. The recent Money 2020 conference in Las Vegas may have similarly driven interest from a number of established financial players. ---- Chinese Events Perhaps most important was the activity out of China. The Chinese government has recently been more vocal in its ongoing campaign to see the dollar removed from global reserve status. While such calls for an international reserve note are generally assumed to refer to Special Drawing Rights issued by the IMF, it may have bolstered enthusiasm for bitcoin’s apolitical nature. Also out of China was news that Baidu, the world’s fifth largest website, is now accepting bitcoin for certain services. [/quote] [B]More detail in the source.[/B] Here, have some graphs! [t]http://i.imgur.com/qZXWJtP.png[/t] [img]http://thegenesisblock.com/wp-content/uploads/2013/10/btc-vs-search-2.png[/img] [img]http://thegenesisblock.com/wp-content/uploads/2013/10/cny-vs-usd2.png[/img] It's very likely that BTC is about to enter into another bubble.
damn, I really should have invested when the bubble burst the second time.
I've noticed this as well. I plan on buying in as soon as the bubble pops, as I'm pretty sure that's exactly what this is.
Geez, and I remember when it hit $30. Should of bought some.
It's one of the more "successful" pyramid schemes.
And now we wait for the drop.
[QUOTE=SPESSMEHREN;42591827]damn, I really should have invested when the bubble burst the second time.[/QUOTE] Bitcoins in a nutshell. Every time the bubble burst I thought it would burst for good. Hindsight is always 20/20. If it would burst again now you bet I would be too scared to buy.
kinda funny how it's being treated more like stock and less like currency at this point.
[QUOTE=Sobotnik;42591953]It's one of the more "successful" pyramid schemes.[/QUOTE] ... what
I'm glad to see collectable baseball cards for libertarians is gearing up for another bubble
I'm still very depressed the day my friends kept telling me to sell my bitcoins at $17, and I had 3.41BTC. If I still had them I could've bought a PS4.
[QUOTE=Brt5470;42592210]... what[/QUOTE] Sobotnik loves to shit up bitcoin threads.
Yeah remember when those Tulips were only 15 Dutch Guilders? Gosh what a fool I was not investing earlier!
Dude I invested $500 back when they were $15 a pop. Everyone called me crazy. [editline]20th October 2013[/editline] [QUOTE=Lonestriper;42592245]Yeah remember when those Tulips were only 15 Dutch Guilders? Gosh what a fool I was not investing earlier![/QUOTE] Can we make an exception to the Godwin law but with tulips and bit coins?
bitcoins are probably not going to burst like they did back before they were in the news, mainly i think because the goverment probably started using them for their covert shit (FBI's bitcoin wallet comes to mind) and millionares are sinking a couple mill into them and leaving the coins on a flash drive in a safety deposite box incase they ever loose it all.
I bought a pizza with a bitcoin when they were worth like 20bux tell me how big of a mistake it was
[QUOTE=breakyourfac;42592274]Can we make an exception to the Godwin law but with tulips and bit coins?[/QUOTE] Probably good idea, lots of good people work hard to cultivate tulips and I shouldn't be conflating their work with a cargo-cult
[QUOTE=Squarebob;42592377]I bought a pizza with a bitcoin when they were worth like 20bux tell me how big of a mistake it was[/QUOTE] There's actually a notable case early in bitcoin's history where a guy going bought $25 bucks worth of pizza for 10k of bitcoin. At current market prices, he overpaid by nearly two million dollars.
[QUOTE=Lonestriper;42592409]Probably good idea, lots of good people work hard to cultivate tulips and I shouldn't be conflating their work with a cargo-cult[/QUOTE] You seem bitter towards bit coins man, did they kill and rape your mother in that order or something?
[QUOTE=Sableye;42592362]bitcoins are probably not going to burst like they did back before they were in the news, mainly i think because the goverment probably started using them for their covert shit (FBI's bitcoin wallet comes to mind) and millionares are sinking a couple mill into them and leaving the coins on a flash drive in a safety deposite box incase they ever loose it all.[/QUOTE] I think unless a major jump % happens like it did in april (from $30 to $260) except at the current price level there's a very good chance it'll burst big time FWI that would mean the price needs to spike to around $500/btc or so, which is pretty unlikely. The problem is BTC jumped up so much back in april because nobody took it seriously as an investment platform until the bubble started. Thats when it started attracting real attention, which brought on more buyers and caused the bubble until the crash. Now an exponential jump in price until a crash can happen again but the baseline price is now much higher, everyone remembers the previous bubble, and there are many many investors in bitcoin now (including some with tens of thousands of dollars they trade with). I think its far more likely we'll see a bubble, a bit of a burst but the bubble won't be to the insane gains that the last one did in such a short time (and will avoid the insane losses too). It'll still drop big time though when the bubble bursts.
[QUOTE=breakyourfac;42592440]You seem bitter towards bit coins man, did they kill and rape your mother in that order or something?[/QUOTE] No not really, I just don't like it when such a large hype emerges around something which is technically interesting but deeply flawed to the detriment of people who are misled into thinking they can make a quick buck out of it. Which is why I do agree when Sobotnik calls it one of the more successful pyramid schemes. Also some of the more committed bitcoiners do come up with some genuinely hilarious things.
[QUOTE=Brt5470;42592210]... what[/QUOTE] It's being treated as a commodity instead of a currency. The only reason people use it is because they think bigger idiots than themselves are going to invest into it. People can only become so stupid and risk-taking, so eventually once you've run out of the biggest idiots and risk takers to pour money into it. Bitcoins are not a replacement currency, but a risky investment. Now I'm hypocritical when it comes to it, but that shit isn't a currency, nobody treats it like one.
The ideal behind a pyramid scheme is that you need continuous investment to ensure payment to the previous and eventually you run out of money and no one gets paid. Bitcoins are nothing like this
[QUOTE=Antdawg;42592135]kinda funny how it's being treated more like stock and less like currency at this point.[/QUOTE] It kind of is really, I mean, Bitcoins don't have any sort of denominations, so it's not really fantastic as a currency in that regard, since if you want to buy something with it, you're giving away the entire value of the bitcoin for whatever you're purchasing.
[QUOTE=areolop;42592673]The ideal behind a pyramid scheme is that you need continuous investment to ensure payment to the previous and eventually you run out of money and no one gets paid. Bitcoins are nothing like this[/QUOTE] That is how bitcoins operate. They have no intrinsic return or value in themselves. You can't "invest" into bitcoin normally. Instead all you can do is A: Mint, or B: buy coins. Of course, here comes the problem. In order to give value to these coins, people must initially give wealth to them. In order to encourage people to do that, there is "mining" that lets you mine bitcoins. So now you have bitcoins being created, but where is the wealth coming from? Well, a number of people do genuinely use bitcoins for rather clandestine activities, but this is small scale shit in comparison to the total volume of trade. Where is all the money coming from? The answer is that people buy or mine bitcoins with the assumption that the price of them will rise. Given that most bitcoins in existence are held by tiny numbers of people, it's rather obvious whats going to happen. People buy bitcoins, prices rise, people begin investing into it on the basis that future people will invest into it. The system is fundamentally flawed because it doesn't give any returns beyond what other people put into it, plus the fact it's not even being used as a currency.
[QUOTE=Antdawg;42592135]kinda funny how it's being treated more like stock and less like currency at this point.[/QUOTE] It's more like a get rich quick scheme for me, pretty much everyone who claims to be interested in it just wants to mine it and trade it off for tons of money and not actually buy and trade goods with it.
[QUOTE=SPESSMEHREN;42591827]damn, I really should have invested when the bubble burst the second time.[/QUOTE] I mined about 1.25 btc back when the difficulty wasn't retarded high. Glad I waited till there was another bubble, I was able to get a motherboard, 8 GB of RAM, an A8-5600K and a block erupter for shits and giggles.
If people buy into it, it's a success, currency is only worth what someone is willing to pay for it.
[QUOTE=Antdawg;42592135]kinda funny how it's being treated more like stock and less like currency at this point.[/QUOTE] It's honestly a mix of both. All fiat currencies are like that though.
If I understood this whole Bitcoin thing, I would've invested ages ago, but it seems so utterly confusing.
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