Quote from: Mota on July 19, 2013, 08:38:43 PM

Quote from: Shaltuum on July 19, 2013, 07:37:17 PM

Quote from: Mota on July 18, 2013, 05:50:50 PM

yes, you are. bitcoins have indeed a limited supply, and stability in the price does indeed raise demand which in turn raises the price.
BUT hughe price increases usually come with observable causes in the real world: more news being posted and switch from cpu to gpu was the first jump in price, since gpu sales in the high end market went through the roof. The second jump was cyprus declaring bank accounts to be frozen, and asicminers/fpga's coming into play.
Note that btc prices still rose independent from those jumps, but those jumps were clearly visible nonetheless. And the famous bubble bursts were not real bubble bursts; both were made artificially (the first mt.gox? being hacked and the second mt.gox inability to process the huge amount of new customers and the resulting downtime/delay driving fears of another hack ).

And if you watch the graphs a little you will notice that the "buuble bursts" have only driven the bitcoin prices to a little more or less than before the jumps.ss

I don't think Cyprus crisis had that much to do with 2nd BTC bubble, it as a factor sure, but after Cyprus most of the Bitcoin speculators where still in Canada and USA, and why would a banking collapse would cause people to adopt Bitcoin which is still less safe than keeping your money in the bank.
http://arstechnica.com/business/2013/03/experts-pour-cold-water-on-claim-that-cyprus-crisis-caused-bitcoin-boom/

bmdavi3Smack-Fu Master, in training:
It's probably true that those who live in Cyprus are not the ones directly responsible for driving up the price of Bitcoins right now, but that doesn't mean the Cyprus crisis isn't at least partly responsible for the rise. I live in the United States, but I read about what's happening in Cyprus just fine. I imagine lots of people do. When those who are on the fence about buying Bitcoin read about a story like this, I imagine "government / bank seizing / freezing bank accounts" might be enough to push them over the edge and make the purchase.

That statement makes more sense to me than the Quote from an "expert" on virtual worlds on the site...

So you think money is unsafe in a bank, so you move it into drastically less safe environment like Bitcoin economy, where it could be stolen by hackers or, more likely, have most of it's value wiped out by another lightning fast crash. I mean, 50% price drop in a matter of hours, if this would happen in Wall Street, you'd have flocks of people jumping from buildings.