Post
Topic
Board Bitcoin Discussion
Re: Stop Calling It A Bubble.
by
Herbert2020
on 07/06/2017, 06:49:48 UTC
A bubble is when everyone is talking about cryptos, e.g. your taxi driver, the bellboy, etc. Outside of my close circle of tech colleagues zero people are talking about Bitcoin.

that is a wrong definition of a bubble. it has nothing to do with who and how many are talking about it.
the correct definition is this:
"A bubble is an economic cycle characterized by rapid escalation of asset prices followed by a contraction. It is created by a surge in asset prices unwarranted by the fundamentals of the asset and driven by exuberant market behavior."

there is no easy way to say what price is the intrinsic values are so it is hard to say for sure that if it is a bubble or not.

is bitcoin in a bubble? maybe, but if it is, that bubble is not that big because we have already seen a lot of price drops (correction, contraction, crash, dump or whatever you want to call it) some of which have been big and they corrected the price and after that price is still rising.

are altcoins in a bubble? i say yes. there is no reason for most of them to rise and it is purely "exuberant market behavior" leading to a fake price.