Quote from: error on August 03, 2011, 09:16:11 PM

Quote from: tomcollins on August 03, 2011, 08:53:10 PM

Quote from: error on August 03, 2011, 08:33:16 PM

Panic selling from irrational people. Buy them while they're cheap

This only works if you can find someone to sell them to at a higher price, or buy something useful with them.

The irrational people are the ones who expected this to hit $1000. They didn't realize that it was just a few rational people riding it up, and were rational enough to get out once the new money stopped coming in.

I can always buy something useful with bitcoins. There are plenty of merchants out there.

As for $1000, I don't expect to see that anytime before 2020. Though I could be wrong.

You folks forget that the bitcoin market cap is a tiny pin in the scheme of things. Any small amount of money coming into the market will drive the price up.

Just think about it, there is 1.5 quadrillion dollars in derivatives on planet Earth.

Just $10 billion would take bitcoin to $1000 each:

$100,000,000 = $10/btc
$1,000,000,000 = $100/btc
$10,000,000,000 = $1000/btc

The entire silver market is like 800,000,000 oz. x $41/oz = $32.8 billion and silver market is like 1% of the market cap of that of the gold market.

Money can move fast. There will always be more paper fiat than bitcoins so that means the likelihood of bitcoins staying > $1 or > 1 Euro etc is very likely.