Bitcoin crash coming? - Page 7

island911 · 04-14-2021, 08:38 PM

Pro BTC people point to the upward trending volatility and say; see... so smart to buy. -an investment. But that is not centered on the utility of BTC, or other crypto's.

Is anyone buying BTC for utility? -other than diversification of tulip bulbs.

I mean, it's not like a BTC holder can pay the pizza guy with BTC.

This reminds me of the pyramid schemes of the 80's. All the people who hold a position encouraging the easy money for others, buy in now!

The only thing you are buying is trust that someone else will buy your share of the nothing for more in the future. And buy, paradoxically, with USD.

speeder · speeder's Garage

You are not wrong but there is a chance that crypto will get a lot more popular in the foreseeable future if it stays untraceable and facilitates private and untaxed transactions. I've never personally used it but that is what I see as its appeal.

island911 · 04-15-2021, 06:21 AM

I get that it has some stealth, (so too a Swiss account, or handing over gold coins) but it's not untraceable now. And, as I understand, there is a transaction cost.

As far as it going up, sure. Just look at the valuation on Tesla stock. So many people looking for a place to park excess cash, that excess cash pumps up everything.. Again, that's pyramid building, IMO, not investment. Investment has tangible future utility.

Also, a *tell* is in the marketing of BitCoin as a gold coin, that people mine. - that imagery is to project a gold-standard backing on something with no such backing. (there is the opportunity) The BitCoin marketing subtext actually speaks to the "intrinsic value" of gold. --Imaging if these BitCoin where called BitTulip and had a picture of a dirty old tulip bulb.

Of course that is not to say that BitTulips could not see stratospheric rise in price. "investors" doncha know...

Brando · Brando's Garage

Quote:

Originally Posted by island911

As far as it going up, sure. Just look at the valuation on Tesla stock. So many people looking for a place to park excess cash, that excess cash pumps up everything.. Again, that's pyramid building, IMO, not investment. Investment has tangible future utility.

The other attractive thing about crypto currencies like BTC, ETH, etc. is that their supply is limited. Unlike fiat which governments continue to print more and more of. Cryptocurrency is Proof of Work (PoW) or Proof of Ownership (Staking). Some coins like Etherium or Hive have utility on their respective networks, others are just being created as cash sinks (Kanye's coin, Doge Coin, other ICOs). Some have actually done well to become commodities of exchange like Monero and Raven. They are growing in "value" rapidly because fiat currencies are decreasing in value.

We haven't had a "standard" which backed our currency in 5 decades. And given the popularity of cryptocurrency now having exchange value globally, it's no surprise that wealthy whales are are starting to shift cash value there.

island911 · 04-15-2021, 06:53 AM

Yeah, let me know when Buffet sells his rail to buy BTC.

Whales always dabble. Musk has money thrown at him ... he throws excess at various targets.

biosurfer1 · 04-15-2021, 07:19 AM

[QUOTE=island911;11297500]

I mean, it's not like a BTC holder can pay the pizza guy with BTC.
[QUOTE]

It's absolutely hilarious that you use that example to try and make your uneducated point😆

island911 · 04-15-2021, 07:27 AM

Quote:

Originally Posted by biosurfer1

Quote:

Originally Posted by island911

I mean, it's not like a BTC holder can pay the pizza guy with BTC.

It's absolutely hilarious that you use that example to try and make your uneducated point��

Please, expand your understanding. I would like to know the transaction cost.

Because as I understand it, there would be maybe a $20 transaction cost on that $16 pizza.

island911 · 07:35 AM

https://www.coindesk.com/saving-bitcoin-high-transaction-fees

Looks like a great way to pay for a pizza.

Quote:

Lately, the average bitcoin transaction fee has fluctuated between $24 and $31, according to data provider Bitinfocharts.

island911 · 04-15-2021, 07:43 AM

Quote:

Originally Posted by biosurfer1

...
It's absolutely hilarious that you use that example to try and make your uneducated point😆

hmmm... still nothing.

I'm beginning to think that biosurfer1 was just looking for an opportunity to hurl an uneducated barb. :-/

I mean, I'm certainly no expert on BTC. Never claimed to be. So if I (or anyone) posts something wrong here, correct it. Being a barb-hurling ass helps no one.

speeder · speeder's Garage

Mr. Biosurfer was referring to the famous $10M pizza, or whatever it would work out to now. The first transaction ever done w Bitcoin was a pizza purchase and the amount of BTC they gave the delivery guy would buy a house in Malibu now with enough left over to fill the garage w new Bugattis.

island911 · 04-15-2021, 07:59 AM

Thanks speeder, but how does that make my point (about transaction costs) uneducated?

This BTC thing is overly complex and expensive to transact, but at least it's highly volatile.

biosurfer1 · 04-15-2021, 08:09 AM

Quote:

Originally Posted by island911

https://www.coindesk.com/saving-bitcoin-high-transaction-fees

Looks like a great way to pay for a pizza.

What was the average transaction fee a year ago? $0.39

The transaction fee fluctuates depending on volume, it's only high right now because of mass hysteria around bitcoin currently.

The price of lumber currently makes building a house out of wood look like stupid way to go, but of course that price is artificially inflated right now too.

biosurfer1 · 04-15-2021, 08:10 AM

Quote:

Originally Posted by island911

hmmm... still nothing.

I'm beginning to think that biosurfer1 was just looking for an opportunity to hurl an uneducated barb. :-/

I mean, I'm certainly no expert on BTC. Never claimed to be. So if I (or anyone) posts something wrong here, correct it. Being a barb-hurling ass helps no one.

No, I just have a job and can't be a non-stop post whore like some people🙄

biosurfer1 · 04-15-2021, 08:11 AM

Quote:

Originally Posted by island911

Thanks speeder, but how does that make my point (about transaction costs) uneducated?

This BTC thing is overly complex and expensive to transact, but at least it's highly volatile.

It was hilarious because the most famous bitcoin transaction ever was a pizza delivery.

What about gold? You see a lot of pizza delivery guys accepting gold for payment?

island911 · 04-15-2021, 08:11 AM

Quote:

Originally Posted by biosurfer1

What was the average transaction fee a year ago? $0.39

The transaction fee fluctuates depending on volume, it's only high right now because of mass hysteria around bitcoin currently.

The price of lumber currently makes building a house out of wood look like stupid way to go, but of course that price is artificially inflated right now too.

So... transactions cost a lot because people are transacting a lot . . because it is a good investment, because in the future, people will be using it to make lots of transactions...

Can you spot the flaw?

biosurfer1 · 04-15-2021, 08:18 AM

Quote:

Originally Posted by island911

Can you spot the flaw?

Can you spot the solution?

island911 · 04-15-2021, 08:30 AM

Quote:

Originally Posted by biosurfer1

Can you spot the solution?

LOL

so you CAN spot the flaw, but chose to pretend that you didn't lose the point/argument.

Some 1995 vendor putting up a sign for a minimum purchase... Seriously?

First, No one does that anymore. CC transaction fees have evolved. And even then, it was not a $10 transaction fee on a pack of gum. BTC has transaction fees based on transaction volume. THAT is a fatal flaw.

But not for U Bio.. U should buy up as much as U can. So very smrat!

McLovin · 04-15-2021, 08:38 AM

I’m neither pro nor con on Bitcoin.
I am pro making money, and for that I thank Bitcoin

But long term, I’m skeptical.
I don’t see how the govt can in the long run allow a currency that competes with the govt currency. The US govt’s main business is now printing currency. All of its power and control comes from that. I hardly think that will be relinquished.

McLovin · 04-15-2021, 08:39 AM

So, yes, although I hold a boatload of Bitcoins, I do believe a crash is coming.
The question, as always, is when?

Skillet83 · 04-15-2021, 08:42 AM

Quote:

Originally Posted by island911

Thanks speeder, but how does that make my point (about transaction costs) uneducated?

This BTC thing is overly complex and expensive to transact, but at least it's highly volatile.

Island, BTC is a chit way to purchase anything and not meant as a efficient way to purchase. BTC is a long term hold that will continue to appreciate. MC has broken 1.1T.
What if you wanted to send $10,000 to your Mom in Germany. Good luck, will take about 3 days for her to see her funds, cost about 7% and a chit ton of paper work. Enter Stellar (XLM). Take a minute to send from your desktop, boom, hits her account in a matter of seconds (half way across the planet) for a fractions of a penny. Take a look at stellar.org or ripple.com (XRP). You have the major card companies joining up with these companies and tech to process payments because it fast and cheap. DeFi has the banks by the nads now and they have admitted change is coming.
I keep mentioning, but it is still early in the game. There are so many things happening outside of BTC. Fun times
One more thing speaking of defi, how would you like to earn 10%-50% on your money? Take a look at AAVE, Compound Finance, Yearn. You can purchase crypto, put it out there to lend short term or long and get paid serious returns. I am still learning, but my returns are spectacular. Keep in mind, I started messing around with play money doing this, into 6 figures now.