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(not an investor nor a banker) "At its peak, in November 2017, it briefly hit $19,783 - which means the price has fallen by about 75%." If this were a real st

(not an investor nor a banker) "At its peak, in November 2017, it briefly hit $19,783 - which means the price has fallen by about 75%." If this were a real stock market and those were real $$$s, isn't that the kind of crash that causes great depressions or investors jumping out of windows (movie trope, but not really) How can something so volatile possibly be worth pursuing or investing in, other then get rich quick schemes.

adamnemecek 8y ago
It's the first one. The fact that it was able to gain that much value and mind share is astounding.
aboodman 8y ago
I think you have your answer: the stock market has had massive declines, and yet people still pursue and invest in stocks.
dqpb 8y ago
Surely the speculative value of bitcoin is independent of the inherent value of cryptocurrency technology. You wouldn't argue that cash isn't viable because some countries economies have crashed.
- dragonwriter 8y ago
  > You wouldn't argue that cash isn't viable because some countries economies have crashed. That's actually exactly the argument I've seen from many Bitcoin proponents, ironically enough.
- fisherjeff 8y ago
  > You wouldn't argue that cash isn't viable because some countries economies have crashed On the other hand, I would say a country's economy weren't viable if their cash had crashed.
superfrank 8y ago
I agree that I think crypto is pretty much dead in the water, but comparing it's volatility to the stock market as a whole is kind of silly. Sure, if the S&P/Dow/Nasdaq fell 75% people would be jumping out the window, but it's also never risen 300% in a few months like crypto did. Crypto needs to be evaluated against other speculative investments and not against a long term vehicle like a major index.
- jki275 8y ago
  300? Try 2000%, not 300%. High volatility makes people rich -- that's the attraction. It also makes people poor.
nostrademons 8y ago
The real stock market actually has those kind of moves, approximately once a decade. Peak Akamai, for example, was $327/share on Dec 1 1999. I bought in at $1.90 in May 2002, the bottom was $0.90 4 months later, and it's currently at $68.53. Folks who invested in the dot-com boom are still 80% underwater (much worse than any Bitcoin investor), while folks who invested 3 years later are sitting on a comfortable 60-bagger. Investors in GM & Chrysler (considered blue-chip value stocks at the time) saw their investments go to zero when the companies declared bankruptcy in the 2009 Financial Crisis. The S&P 500 dropped 50% in the same period. PG&E stock dropped by 53% in one day last week when it was revealed that they may be responsible for the California wildfires. Pretty much everything worth investing in is that volatile. You just either need to be greedy when other people are fearful and vice versa, or have long enough time horizons for it not to matter.
- deleted 8y ago
  [deleted]
sunshiney 8y ago
I've been trading it since last suummer and doing just fine, thank you. But years and years and years of trading under my so-called belt. I'm not alone, though. There is a way to trade a bear market...safely... The folks that got hurt were holders and those who went nuts in Dec. and thought "green" meant "buy."

adamnemecek 8y ago

It's the first one. The fact that it was able to gain that much value and mind share is astounding.

aboodman 8y ago

I think you have your answer: the stock market has had massive declines, and yet people still pursue and invest in stocks.

dqpb 8y ago

Surely the speculative value of bitcoin is independent of the inherent value of cryptocurrency technology. You wouldn't argue that cash isn't viable because some countries economies have crashed.

dragonwriter 8y ago
> You wouldn't argue that cash isn't viable because some countries economies have crashed. That's actually exactly the argument I've seen from many Bitcoin proponents, ironically enough.
fisherjeff 8y ago
> You wouldn't argue that cash isn't viable because some countries economies have crashed On the other hand, I would say a country's economy weren't viable if their cash had crashed.

superfrank 8y ago

I agree that I think crypto is pretty much dead in the water, but comparing it's volatility to the stock market as a whole is kind of silly. Sure, if the S&P/Dow/Nasdaq fell 75% people would be jumping out the window, but it's also never risen 300% in a few months like crypto did. Crypto needs to be evaluated against other speculative investments and not against a long term vehicle like a major index.

jki275 8y ago
300? Try 2000%, not 300%. High volatility makes people rich -- that's the attraction. It also makes people poor.

nostrademons 8y ago

The real stock market actually has those kind of moves, approximately once a decade. Peak Akamai, for example, was $327/share on Dec 1 1999. I bought in at $1.90 in May 2002, the bottom was $0.90 4 months later, and it's currently at $68.53. Folks who invested in the dot-com boom are still 80% underwater (much worse than any Bitcoin investor), while folks who invested 3 years later are sitting on a comfortable 60-bagger. Investors in GM & Chrysler (considered blue-chip value stocks at the time) saw their investments go to zero when the companies declared bankruptcy in the 2009 Financial Crisis. The S&P 500 dropped 50% in the same period. PG&E stock dropped by 53% in one day last week when it was revealed that they may be responsible for the California wildfires. Pretty much everything worth investing in is that volatile. You just either need to be greedy when other people are fearful and vice versa, or have long enough time horizons for it not to matter.

deleted 8y ago
[deleted]

sunshiney 8y ago

I've been trading it since last suummer and doing just fine, thank you. But years and years and years of trading under my so-called belt. I'm not alone, though. There is a way to trade a bear market...safely... The folks that got hurt were holders and those who went nuts in Dec. and thought "green" meant "buy."