Wall street grows ever more certain Bitcoin is a bubble. I can't even say they're wrong. Flirting with $6000 per coin and low economic utility? For as dumb as Jamie Dimon sounds every time he says anything about Bitcoin, the tulip bubble analogy looks less and less inappropriate all the time.
In a note to clients published on Thursday, analysts at UBS took a long look at Bitcoin, cryptocurrencies, and the blockchain technology that underwrites this whole enterprise.
Looking only at pricing, UBS said that, a twenty-fold increase in bitcoin prices in just two years, and an absence of any fundamental economic backing, cryptocurrency prices are almost certainly a bubble.
Blockchain utility doesn't make crypto not a bubble. That'll be important to remember for people buying now expecting to make big gains at this cost basis, and there's real risk there.
In what we saw this last December, Bitcoin went booming it went up so rapidly that everyone jumped into it and as well as other cryptocurrencies, but as its rapidly increasing movement which lasted for a whole year, it suddenly went down rapidly as well, if I could not call it a bubble then I dont know what to call what happened. For me, it looks like a bubble, but the thing is, its value didnt lose at all, and its price is actually still really high, so I cant call it a bubble totally.