Max Keiser Is DEAD Wrong About Bitcoin and Altcoins

in dtube •  17 days ago 

If Litecoin out performed Bitcoin during the last two booms then why wouldn't someone assume that would happen again? What suddenly Bitcoin progressed technologically? NOPE..... every block is still full causing high fees. This next boom cycle the Bitcoin network will be even more unusable than the last time. People will still buy into it and mainly won't even been able to use it because of high fees. At some point we will have a crypto currency global takeover and these projects with actual usability will shine over Bitcoins ridiculously slow development and inability to scale. There will probably be $100 fees to send $3 of Bitcoin this next boom. That sounds real usable for citizens fleeing hyper inflation.

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Did Max really say that?
Did he add a context?

The thing about cryptos is we will see adoption.
And when we see adoption, the people will choose useable coins.

Bitcoin team have said so themselves, they are position as a store of value.

So... bitcoin will pump and pump and pump as institutional / big money people buy for greed or fear (of dollar devalue)

And this will spark the interest in cryptos for the populace, and they will choose coins based on useability. My guess is Litecoin, Bitcoin Cash and Digibyte.

Dash and Dogecoin have a chance...

but what really says that Max is wrong is the utility tokens. There are things that are going to need to be done on blockchain, and these utility tokens will become used, and then valuable. Things like payroll, tokenization, medical records, personal identification...

I mean he just had that tweet and showed XRP, Bitcoin Cash, and Ethereum losing ground to Bitcoin and then was saying they aren't coming back.

One of the most annoying things about the 2017 bull run is that moving Bitcoin was a complete nightmare and a total embarrassment. I remember when the pitch was how you could move funds cheaper than PayPal....... then everyone zipped their lips on that. It was pathetic .

I agree on Litecoin, Bitcoin Cash, Digibyte, Dash and Dogecoin.

Also Monero is the premier anon coin and with its low supply I honestly feel like it will go well past $1000 this next boom.

  ·  17 days ago (edited)

This next boom is likely to be driven mostly by institutions who basically only buy bitcoin at this point, as opposed to other coins. SegWit will also help in terms of transaction backlog/high fees this time around. Most of these institutions will be buying it for "schmuck insurance" as a portfolio hedge and non-correlated asset. Fees that are still cheaper (when moving millions of dollars) than using the legacy financial system doesn't matter much to them.

All that being said, it isn't impossible for some altcoin to have greater percentage gains than bitcoin. It might just not happen until after bitcoin peaks and starts to roll over first.

SegWit has been implemented for 2 years now and it isn't enough. The blocks are still full on a regular basis.

Also the last two Bitcoin bull runs Litecoin hit its peak pretty much within a day or two of when Bitcoin was peaking but was out pacing Bitcoin by a long shot percentage wise.

The theory about it being driven by institutional investors becomes questionable because a lot of them still think crypto is backed by nothing. They don't actually understand what it is.

Personally I think that a combination of hyper inflation in different countries and positive price action will suck 10 times as many retail investors in next time and suddenly if Bitcoin is $30,000 + it will seem inconceivable and out of range for most people so they will go for the others.

Also if all this is true then why have 173,158.554 STEEM ? STEEM has a terrible track history and can't even keep up with Bitcoin Gold.

  ·  17 days ago (edited)

Retail investors were burned badly during the 2017 run up and subsequent crash. Once bitten, twice shy.

Institutions are most certainly driving the recent rally and expected to continue to do so. There are numerous pieces of evidence for this. One being that google searches are still way down for bitcoin, often a very good retail indicator. Another is stuff like this:

Volumes are shrinking at the crypto exchanges, yet products like the CME futures (which are mostly traded by institutions) as well as OTC volumes continue to surge.

SegWit was not widely adopted/implemented at the time of the last price peak. This time would be slightly different. Though, I do agree that SegWit likely isn't enough, but I don't think it has to be. Bitcoin could easily hit $100k while still mostly being unusable as a currency, it is plenty attractive just as a store of value and non-correlated asset as a diversification tool for macro portfolios.

Retail investors are like fish. They quickly forget so even the ones that got burned likely realize their timing was bad and in another years time could be ready to get back in there. Also the amount of views on YouTube videos is exponentially higher than what it was in the 2015 time frame. There was virtually no one making videos about crypto in 2015. There are still retail investors out there knowing this is their one true shot.

Retail investors got burned bad in the dot com crash and the housing bubble crash but still eventually came back ..... typically with bad timing. They will still come out in droves for crypto and there will be a whole new set. 10 X what there was last time.

Even on STEEM I'm surprised how much activity there is despite depressed prices. People are still thugging it out because they knew that even small amounts of crypto can be worth a lot in a parabolic phase.

In Late 2016 and the first couple months of 2017 STEEM literally turned into a ghost town. There are still people on these other chains like BearShares and WEKU and we have no clue if that is going to be worth anything really.

People know deep down that if they keep stacking and can make it through this winter that unbelievable gains can be had.

I don't doubt that some retail eventually comes back. Though it remains to be seen to what extent. That will likely depend on how high bitcoin goes and how fast it gets there. Once that happens money will look for alpha in other tokens. Though I am not sure we will see all the top 500 cryptos go up together like we did last time. Who knows, we shall see. One thing to keep in mind is that it was much easier to manipulate prices in 2017 than it is now and will be in 2020 and beyond.

Well certainly there will be some people who won't jump back in but there is a whole new set of people finding out about this stuff for the first time that still have never invested. There are more and more on ramps and off ramps like the Coinstar machines in super markets and a larger Bitcoin ATM network and more offerings from the fiat gateway exchanges.....etc. Retail will be there. They will say "There's that Bitcoin thing again" Suddenly people are talking about the Moon and Lambos again and people flood in like World War Z

If BTC doesn’t get full lightning network support yeah it will probably become unusable as fees skyrocket and miners only concentrate on the larger transactions and stuff them into blocks but all crypto would suffer since most of it still flows from BTC first sadly

ETH will obviously be a second choice because of popularity but it has the same scaling issues and gas cost and it’s not really a currency.

I think dash with insant send looks like a good option to get into for when there will be chain haults

He’ll change his mind again!! Later!