Crypto bubble? He wrote this article a few years too soon...
My friend forwarded me an article on Bloomberg: https://www.bloomberg.com/news/features/2018-03-09/bitcoin-is-ridiculous-blockchain-is-dangerous-paul-ford
Why do I bring this up?
Because you might be interested in my response. I'd also love to hear your thoughts - would you comment below?
Basically, the writer, Paul Ford, thinks the recent crytpo bust is basically like the bursting of the dot-com bubble. I've heard a lot of these kinds of comparisons, all basically claiming that crypto (bitcoin specifically) is dead. This particular writer uses his own personal experience as basis for his assertion, which is novel, and worth reading.
Here was my response to him:
Whoa!
He wrote this article a few years too soon. If this were comparable to the dot.com boom, I'd guess we're in 1996. See this image? Anatomy of a Bubble?
Source
Look at the dip in '96. There's always a little boom and bust before the big boom and bust. I'm sure you're seen this image:
Source
Until the mainstream media gets behind, not against cryptos, we aren't in boom.
Cryptos have crashed a few times, but this was the first time that average people like us knew about it (only smart people like [a mutual friend] got whacked by the earlier busts). People just don't understand it enough, it's too hard to buy, and there's nothing tangible they can look at, like a website or an email address. And even at it's peak, the entire crypto market had a capitalization worth a fraction of the DJIA. We're very early.
I have a feeling the next boom, whenever it comes, will be nuts. Goldman Sachs just bought a crypto exchange. VC partnerships are starting left and right. Mainstream companies are deploying cryptos -- e.g., Visa will soon offer a LTC-based alternative to its payment processing system, Purdue Farms will test Shipchain later this year, and a consortium of tech giants are working to use XLM for all sorts of transactions. And that's all happening AFTER this most recent crash.
We're a long way from over.
For future viewers: price of bitcoin at the moment of posting is 7598.70USD
Can't agree more. Right now the weak hands are folding, the smart are accumulating and researching the best projects to invest in. The market capitalization of all crypto currencies is less than the amount of cash Apple has on hand. It's ridiculously small. A bubble would likely be 14 figures or more, the internet bubble was multitudes larger, when the worlds money supply was much smaller before the quantatative easing of the past decade. It's becoming easier and easier to use this technology and in the next few years, it will likely be incorporated into many parts of our lives. Most large companies are already investing all at the same time they are calling it a scam. Yes many coins are scams, but it doesn't take too much research to avoid the worst of them.
Preach on, brother! 7 steps forward, 6 steps back.