Is Bitcoin a bubble?
Yes. Of course it is.
What does it represent? It represents the money that has poured into the blockchain and cryptocurrency domain, in pursuit of get-quick-rich-schemes as well as the ventures with real-life application and future sustainable ideas.
The Bitcoin bubble represents a value on imagination - what could be.
The utility of Bitcoin has been outstripped, by other improved coins.
But it is still the gateway through which cryptocurrency users discover the space. And since most potential users are still on the side-lines, its value and adoption stand to grow.
I bought Bitcoin before I purchased anything else.
I decided it was a bubble and sold out just before that last ATH (at $4980).
But here it is again, at a new ATH, though coming off the boil a little as I type. Do I have any regrets about cashing in? No. As a newbie looking on, I was happy to take my winnings off the table. The volatility wasn't for me at that point. I learnt by having skin in the game. Have I put that money elsewhere?
Yes, I have. I put it into a few other cryptos that I thought had ideas that looked promising, including two ICOs.
And I think that is the key to their valuation - they look "promising".
In the same time that I have been invested into crypto, I have put exactly the same amount of money into an Australian Gold Junior - Artemis Resources (ARV:ASX). Next week, the first Australian financial journalist will be visiting Artemis's site near Karratha, in the Pilbara. So far, I have almost doubled my investment in the timeframe that I was invested. (Other gold holdings operating in the area, besides ARV:ASX, include Novo Resources, which operates on the Toronto Stock Exchange; DEG:ASX; KZR:ASX, etc. Gold exports were among the top Australian dollar earners last year contributing to GDP.)
If it weren't for my "investment" in NEO, my cryptocurrency investment overall would be in the red, whereas my investment in Artemis Resources is up 78.01% in the same timeframe (August - October 2017 - see image, below). It's down a little today, but should recoup that as buyers outnumber sellers.
Would I get back into Bitcoin? Yes, I would consider it.
I think that it is attractive as a gateway to exchanges to buy and sell other commodities, both in the space and potentially, wider afield. I also think that it presents a store of value for Bitcoin holders who have made their wealth by investing in ICOs, using their Bitcoin. So I see many, if not most, ICOs as bubbles fed by bubbles. It will last until the bubble bursts.
If any country "bans" any cryptocurrency, there are still the exchanges. If they ban the exchanges, well - how can they, really?
I could set up an exchange through Steemit. Steemit could be a meeting place for all sorts of ideas and exchanges of information to take place.
Nobody can stop this.
It makes sense to have a dedicated payment system. So long as any manner of cryptocurrencies are recognised, and securely set up on a blockchain, then any exchange can take place. Currently, all cryptocurrency are valued against their BTC/$USD value (with the exception perhaps of Golem, which is backed by gold).
As each ICO is released, the cryptocurrency space grows - and money pours into Bitcoin. It is also why I hope to invest in some of the exchanges very shortly.
I like Bitshares and I also like Waves - Waves because its interface is very user friendly. (Just checked online. Bitshares' DEX interface has improved and is much easier to navigate than previously. I see Waves is based in Moscow, so might stick to an intention to buy Bitshares.)
A platform like Steem is an invaluable resource which will only grow.
After two months on Steemit, the biggest lesson I have learnt to date - post only original work to my blog. I might appreciate others' work, but I have been clogging up my page with resteems.
Thank you for reading. I welcome comments to my page and endeavour to reply.
(References are to highly speculative gold stocks. A person should always carry out their own due diligence and research. Nothing written here constitutes a recommendation. I am merely adding my opinion to the space.)
image "Leprechaun's Gold" from: http://www.freakingnews.com/St-Patrick-s-Day-Pictures---1376.asp
Image of my holdings in ARV:ASX taken from my CommSec account, 19/10/2017 @ midday
