Bitcoins in 2014?

[retired_member36]

I know its difficult to predict, but whats your thoughts on the value in 2014? I read today that the Winklevoss twins predict each coin to be worth around $40k in the future (hmmmm), and more recently someone predicting them to be trading for $10 mid 2014

http://www.businessinsider.com/williams-bitcoin-meltdown-10-2013-12

 

[murph]

That's quite some crash it's just had $1200 to a low of $530.

 

[websaway]

Since I got my fingers burned with the tulips I am more cautious.


I only hope that the prime minister and the new governor are not personally invested, because then they will ignore the realities ( as evidently happens in those circumstances ).

An ex prime minister won't need to invest as he's bought up half the property in London, and is getting paid vast amounts of money for destroying the economy.

The people running everything are currently party to the dangers that are obvious to the capitalist system.

The banking collapse of 2008 has made the rich richer and that is frightening, you can't underpin failure, it undermines the system.

You can't soak the system, some can, but when too many do, the system collapses, and the world economy could not ride another crash so soon after the last one.

Control.... like it or not, is the only way for anything to work in the long term.

 

[disruptive]

I often tweet this on #bitcoinbubble. Look me up and follow me if you are interested. I think we could see prices plummet considerably and then currency might actually work rather than be a commodity which is how it is currently behaving.

 

[retired_member36]

I was looking at the coins on bitbargain the other week and was going to buy when they were at about 360, next morning they were at about 600+ so I left it. Just checked there and they are now just 300

 

[AssetDomains]

Lol its all my fault I sold a domain for some Bitcoin the other day ever since the value has taken a nose dive.
Seriously though think the Chinese government have dealt a big blow to it. Will be interesting to see if it rides the storm and rebounds at all.

 

[retired_member36]

Personally I think it will bounce back up, however much slower than it has done in the past. I bet there a lot of arses twitching for those who bought it at its most expensive.

 

[Retired_member41]

Anyone that talks up bit coins deserves to lose them all.

They will never become mainstream, all bit coin will do is go down in history as one of the biggest pyramid selling scams ever.

Any decent tech company could start a new currency tomorrow, selling digital goods and paying in them would soon have them propagated, then when the poor man in the street gets involved, they lose out as they will with bitcoins.

The world needs more ethical behavior, not less.

 

[Simon]

Just put a bit of credit on my namecheap account..

 

[websaway]

Why would anyone who understood the system trade something of known value for a currency that can halve in buying power in one day without any guarantee of support.
The mind boggles.

 

[disruptive]

Bitcoin is not so much a currency as a commodity and thats the danger. It's become like egold or one of very many ill feted currencies!

 

[Retired_Member38]

I know its difficult to predict, but whats your thoughts on the value in 2014? I read today that the Winklevoss twins predict each coin to be worth around $40k in the future (hmmmm), and more recently someone predicting them to be trading for $10 mid 2014

http://www.businessinsider.com/williams-bitcoin-meltdown-10-2013-12

I would ignore anything the Winklevoss twins have to say on the matter - they're massively invested in it and are not a reliable source of info. Unless of course you just want to try and ride the bubble and get back out before the crash comes.

 

[retired_member36]

I didn't invest in it Monkey, I was going to, but overnight the prices rocketed up beyond what I could afford to gamble so left it.

 

[EdwinEdwin is verified member.]

Bitcoin is not so much a currency as a commodity and thats the danger. It's become like egold or one of very many ill feted currencies!

Bitcoin is a figment of programmers' imaginations, nothing more. Commodities exist - they can be touched and used (eg coffee, copper, oil, gold etc.) There is nothing at all behind a Bitcoin, on the other hand. They're inherently worth exactly zero - everything above that is "froth" from tulip speculator-like behaviour!

 

[Retired_Member38]

A paper note not backed by anything could be worth zero. As could 'money' sitting in a bank account (see Cyprus).

I was seriously thinking about trying to time it right and buy some and get back out before the next crash.

 

[disruptive]

Bitcoin is a figment of programmers' imaginations, nothing more. Commodities exist - they can be touched and used (eg coffee, copper, oil, gold etc.) There is nothing at all behind a Bitcoin, on the other hand. They're inherently worth exactly zero - everything above that is "froth" from tulip speculator-like behaviour!

I'm not saying Bitcoin is a commodity, but its certainly behaving as one. It's a massive speculation vehicle.

 

[martin-s]

Bitcoin is a figment of programmers' imaginations, nothing more. Commodities exist - they can be touched and used (eg coffee, copper, oil, gold etc.) There is nothing at all behind a Bitcoin, on the other hand. They're inherently worth exactly zero - everything above that is "froth" from tulip speculator-like behaviour!

I don't agree. There's a lot of potential value in a widely accepted digital currency:

* Minimal processing costs for business (no banks)
* Global currency without cross-border exchange costs
* Closer to cash in terms of trackability than current options (crime-friendly currencies have always done well!)

The current bubble is obviously just that, but there's no reason it can't normalise and become commonplace.

 

[disruptive]

I don't agree. There's a lot of potential value in a widely accepted digital currency:

1. Minimal processing costs for business (no banks)
2. Global currency without cross-border exchange costs
* Closer to cash in terms of trackability than current options (crime-friendly currencies have always done well!)

The current bubble is obviously just that, but there's no reason it can't normalise and become commonplace.

Here is my view based as an ex-miner:

1. Processing costs are there in terms of time, it's not as frictionless as people make out. I.e. validation can take sometime and because the payment is irreversible someone can walk out of the door with the goods. It's unlikely but the possibility is there. Also there is cost with performing any transaction (paid to miners).

That's just a drop in the ocean compared to the 'currency risk' opened up by retailers accepting bitcoin due to the wild swings in value. Worth £1000 this morning, now worth £500. Not a good proposition for a free flowing currency.

Getting money in and out of BC is still a very very large problem - look at the huge spreads on the exchanges and in fact where those exchanges are located. They operate beyond the scope of legal jurisdiction - do business at your own risk with no come back. Additionally look at the spread on the exchange - you'll lose a lot, if you just pushed your $ into BC and back into $. Also you'll need to do various currency transfer £ to $ to BC. So it's a crazy user experience.

2. Brokers such as Transferwise exist to allow pretty low cost currency conversions between a spectrum of currency pairs and very low cost - and its always in cash. You don't have to convert your hard earned £ into BTC and then back again. Granted if we got paid in BTC, spent it all in BTC it might have a chance but with such a deflationary currency its going to be hard to spread it around to become the global platform.

3. It is close to cash. But just remember right now, there is no promise legally backed up anywhere to accept it - so you accept the freewill of retailers to accept it. Cash is legal tender which means it has to be accepted - by LAW.

I don't use cash - I have a contactless credit card which is working pretty well. I hardly use cash these days at all. My money transfers use Transferwise and I pay a tiny fraction < 1% for swapping between currencies. So I really have no need for it.

I think eventually we will have a "Global Currency" but I don't think it'll be BitCoin, Litecoin or any of the other Alt-coins.

 

[websaway]

I don't agree. There's a lot of potential value in a widely accepted digital currency:

* Minimal processing costs for business (no banks)
* Global currency without cross-border exchange costs
* Closer to cash in terms of trackability than current options (crime-friendly currencies have always done well!)

The current bubble is obviously just that, but there's no reason it can't normalise and become commonplace.

Surely in order not to go back to the dark ages it has to be guaranteed by something or someone.

---I promise to pay the bearer---

Otherwise we would just be using gold as a method of purchase and sale.

I think if any method that could work is introduced it will be through Governments not by some guy in the Far East.

 

[diablo]

Bitcoin is a figment of programmers' imaginations, nothing more. Commodities exist - they can be touched and used (eg coffee, copper, oil, gold etc.) There is nothing at all behind a Bitcoin, on the other hand. They're inherently worth exactly zero - everything above that is "froth" from tulip speculator-like behaviour!

I think you are confusing commodity and currency. Bitcoin isn't a commodity.