Bitcoin crosses $15,000

I think it crossed $10,000 last week. It crossed $15,000 today. At the start of 2017, it was at about $1000.

I think it’s definitely a bubble and it’s getting bigger very fast now.

This week SQ announced that its rolling out Bitcoin trading to more customers:

https://www.marketwatch.com/story/square-stock-gains-after-c…

Square Inc. SQ, +0.03% shares are rising 2% in premarket trading Wednesday after CEO Jack Dorsey tweeted overnight that the company was “turning on bitcoin for a lot more Cash app folks right now.” A separate tweet from company’s Square Cash account said that capabilities would be going to “more of our most active customers.” Square said in November that it had started to allow a small number of users of its Square Cash peer-to-peer payments app to buy and sell bitcoin through the platform…

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It was reported that the first bitcoin transaction was 10,000 bit coin for a pizza. Bet that guy/gal wished they had those bitcoin back!

Rob

Just for fun let’s call a pizza $20. So each bitcoin was worth $0.002.

Those same 10,000 coins today would be worth $140,000,000.
That’s a 7,000,000 bagger!!!

There was a story about a sailor who ate a tulip bulb during the mania. I bet that tulip bulb wasn’t anywhere near as valuable as the pizza above. Of course, the pizza needed time to appreciate in bitcoin value whereas the tulip bulb was at its high price when consumed.

A.J.

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Years ago at Madison’s Grill in Portland, OR my nephew meet with a group of Bitcoin enthusiasts as it
was the first restaurant to accept Bitcoins there. He recently texted me about how he
would spend .5 BitCoin for a couple of meals taking his cousin out for lunch.

When the price crossed $600 one of his friends purchased several homes with Bitcoin proceeds.

He’s still sitting on a couple Bits.

JT

BTC just traced out a textbook H&S pattern on the 7-day chart. It re-tested the neckline and failed. We’ll see if it’s indicative of anything.

Bitcoin isa currency in deflation. Or am i understanding something incorectly?

There’s also a risk of shorting Bitcoin now. What if it gets up to 6 or even 7 figures before it crashes? You’d be right, but way too soon. Unless you could hang on to your short while it climbed much higher, you’d take a bath covering the short.

I did something similar selling naked calls on Yahoo stock back around 1999. When the price climbed, I was forced to short. I was right too soon, and short too many shares for my budget, so I ended up covering my short at a big loss.

Is there a way to estimate how much more Bitcoin could climb? Or could we just take a poll? My guess is that it will crash at a price well below $500,000. :slight_smile:

On the other hand, what would be a “reasonable” stable price? I’m going to guess under $10,000.

These estimates are off the top of my head, with very little pondering behind them. But they’re probably at least as good as any made by Jim Cramer. :slight_smile:


How much Bitcoin mining is being done by governments? I also imagine a bunch of people in various places with very powerful specialized computers connected to windmills or solar cells. Such people could be mining lots of different “major” cryptocurrencies. (I don’t think anyone is doing this at Berkshire Hathaway HQ, but who knows? Maybe they’re doing it at Apple?)

And none of it is useful activity for meeting basic human needs. The people doing that are generally underpaid.

One thing that meets the useful with the much less useful would be to figure out how to regulate finance to minimize the magnitude of bubbles, and somehow get those regulations in place. In our society, this could be one of the most useful activities, up there with preventing nuclear war. (My personal wild theory is that, in contrast with the usual “evil conspiracy” theories, there is a “good conspiracy” of competent people who work on such things.)

The point of bitcoin is to have no regulations on it!

BTC just traced out a textbook H&S pattern on the 7-day chart. It re-tested the neckline and failed. We’ll see if it’s indicative of anything.

Bitcoin down around $6k since the failed neckline. Fwiw.

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