Quote from: tacotime on September 04, 2012, 06:37:09 AM

I think it'll go something like this

Mass dumps of BTC because everyone wants to earn as high a ROI as possible and ASIC miners are useless for anything other than SHA256 hashing. Falling BTC price will facilitate more mass dumping.
People GPU mining all move to LTC because BTC hash rate is too high.
LTC hash rate skyrockets, LTC goes up in value massively.

Right now I hold 50% BTC and 50% LTC. It's clear that the value of LTC is stable, as people (like me) are constantly dumping BTC mined into buying more LTC.

Quote

I think it will follow the same path as Namecoin after merged mining

Hash rate skyrockets -> people with coin of little use -> dump it like ugly prom date

All merged mine coins will fall into this trap because people acquire them for no extra cost and so just dump them. LTC will never be able to be merge mined with BTC, so it doesn't have that problem.

Even if there is cost to mine a coin doesn't mean people won't sell them, even at below cost. This all boils down to supply/demand, and the only demand i see is speculation.

Also hash rate usually lags price, not the other way around.