Bitcoin breaks above $20k for the first time ever
cnbc.com
cnbc.com
In other respects, ₿ is not even close to breaking all time highs, like the RHoDL indicator: https://studio.glassnode.com/metrics?a=BTC&category=indicato...
i don't envy the americans, they are not ready for what's about to come
insert_mushroom_emoji
ask yourself why people are leaving california for texas (center)
[0] https://kenkarlo.com/articles/the-scamming-of-tether-on-bitf...
[1] https://www.kalzumeus.com/2019/10/28/tether-and-bitfinex/
BTC and USDT is a common trading pair on crypto exchanges.
As a result, those behind USDT can print it and buy BTC to manipulate the price.
Don't get me started on exchanges allowing you to trade with yourself. This field is tainted with shady practices.
People are buying and selling tons of BTC with USDT and if it ends up being a fractional reserve and has been printing billions with nothing backing it up, how much of the BTC price might've come out of thin air?
USDT also trades freely on open markets against USD. If USDT was being printed without USD backing then those markets would decouple.
But it's not worth my time digging it up for you.
If you don't want to believe it, then don't. Doesn't make a difference to me.
Please verify your first claim and I'll admit I was wrong.
Pretty much every position pays more in the crypto space (with a huge exception being for VC backed startups, so just close the job board tab it doesn't apply here).
You can make more money just babysitting chatrooms.
And multiple orders of magnitude more than that doing actual development.
The price just reflects how much people want in and out.
It seems like many people expect the dollar to collapse, so many people want in. When all of those people have exchanged their dollars for bitcoins, who is going to exchange them next? If no more people are in line, the value will drop back to where it was at the beginning of the year.
The beauty of a fiat currency is that you can maintain its value simply by adjusting supply. Is there any sign that there is an over-supply of dollar which would justify leaving the dollar until it is crashed?
By that logic, there is no maximum either.
Usually, the value of all bitcoins combined shouldn't be able to exceed the value of all assets of all economies. What could you buy with those coins if not those assets?
You can achieve an arbitrary value though if somebody needs to buy an arbitrary small fraction of a bitcoin for some value. But that would only happen if e.g. someone's life depends on acquiring that small fraction.
This is a limited supply asset that inherits some properties of all other asset classes, some better now, some better after software updates.
Cyclical volatility is not controversial amongst commodities traders. Bitcoin happens to attract a lot of stock market traders though, who gain confidence by listening to other stock market traders, which is weird.
It's not going to be quick or easy even getting back to a balanced state, much less actually getting to the point where the money supply can shrink.
> The beauty of a fiat currency is that you can maintain it's value simply by adjusting supply.
There is very little attractive about the idea that a group can devalue currency on a whim. That's exactly why people opt in to Bitcoin.
> Is there any sign that there is an over-supply of dollar which would justify leaving the dollar until it is crashed?
Yes. Have you seen M1[1] this year?
[1] https://d3fy651gv2fhd3.cloudfront.net/embed/?s=unitedstamons...
You can turn this around: There is very much attractive about the idea that a group can maintain the value of a currency on a whim.
>> Is there any sign that there is an over-supply of dollar which would justify leaving the dollar until it is crashed?
> Yes. Have you seen M1[1] this year?
There is definitely more supply, but is it too much? Can't this be the result of decisions that maintain the value?
If that money is just somewhere on the books, but people don't have more money to spend, then the value of things remains stable.
The value of money depends not only on the amount of available money but also on the velocity with which it is spent. As far as I know, credit cards have increased the velocity by which people are spending money which increased the supply of money and stimulated the economy.
Now, during this crisis, do people spend money with the usual velocity? If not, then that reduced speed has to be compensated by supplying more money.