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RE: BEWARE! Bitcoin Correction is NOT Over Yet!

in #bitcoin7 years ago

Determining value in a limiting/controlled environment is a supply-demand function predicated on the need/usefulness of the product or service. That is why some governments and now companies like Facebook are creating various methodologies to divert/minimize/stop the use of cryptos. Everyone should have seen this coming and it will intensify as the central banksters and multinationals formulate and implement additional methods of minimizing participation. You all know cryptos are a direct compeditor to fiat currencies and stock markets. I am not insinuation this is a bad thing, quite the contrary. I personally like the idea of cryptos as a competitor to the printing presses of fiat currencies and fractional lending.

My point here is value. How do you determine and thus increase value other then by increasing demand? Demand is limited to those who really need the cryptos to conduct commerce and trade. Investment is purely a function of trying to determine the social need. Investment for the reason of just return on investment creates a false sense of need in the market.

I was a real estate appraiser for some 20 years and now a realtor. It is why I am probably so fixated on evaluation price and value. The recent run-up in the prices of cryptos reminded me of the irrational exuberance of the middle 2000s in real estate. It is impossible in my opinion unless the need for the product is somehow stimulated and the pushback from fiat competitors is thawarted for anyone to know if the price will rise or fall. Flip a bitcoin and pray.

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