Again with the tulip bulbs? Surely you've had the time to research this argument by now...
The real intricacies of tulip mania don't matter. Who cares if it was not exactly the bubble we thought it was? It was still a bubble, with serious consequences to those exposed to it. Yes, it didn't move at the speed of the markets move now because markets then were much more slower and it only affected a bunch of businessmen.
So what? We use the analogy because we know markets sometimes go crazy around stocks and other assets, with no apparent justification other than thinking the price will continue to grow and usually based on not much more than faith. Tulip mania has become a proxy for that behavior because the absurdity of a flower bulb skyrocketing in price, but if you don't like it, you can certainly point to many bubbles we know existed, had more widespread effects and were equally based on nothing. Some of them are not even a decade old.
If this asset class would be trading at $10tn then the concerns would likely be valid.
Why not put a bit of money into the space and let things develop? If you're right, great, you haven't lost a lot. If you were wrong, you made a healthy return that is likely above any other investments you have access to.
I consider this a high risk binary investment -- either it will work, or it won't. Unless you're investing $100k+ (which for most people wouldn't be a small part of their portfolio) you should easily be able to exit positions. This was clear even during the last correction.
From a risk level, (In my view) I'm looking at an angel investment but with better upside odds. The potential upside is disproportionate to the downside, and I'm happy to take on that risk.
I agree with the poster above, BTC and others may be in a bubble but the bubble is tiny compared to other asset classes and previous bubbles.
Familiar with the FDIC?
Limited to 100k, that is extremely low for a lot of people looking for safe asset havens.