I am now of the opinion that bitcoins are a Ponzi. As in most of the gains are coming from new investors and not from any economic activity.
It is hard for me to conceive of enough drugs, gambling and Alpaca socks to justify all this value. Then again if I really think about it is hard for me to believe that there are seven billion people in the world.
Common mistake is to assess market price based only on current value without taking into account estimations of future value. You shouldn't make investment decisions considering only the bubble that is the present.