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EternalUsenet | 2 years ago

Just as a friendly reminder, if you bought any major crypto when Matt Damon told you “Fortune favors the brave”, you’re still technically down on your initial purchase.

This is probably the media trying to get some bags pumped.

discuss

order

EGreg|2 years ago

No, this is the bitcoin halving event coming up in April 2024 and also the Jan announcement of ETFs in USA which open the door to institutional investment.

The graph of the price of bitcoin has been going up exponentially since it launched. Every four years starting one year before the halving event it shoots up for a year and then falls:

https://www.monochrome.au/research/articles/why-do-people-lo...

EternalUsenet|2 years ago

The ETF angle makes no sense to me. An ETF is designed to be based against a basket of securities. A bitcoin ETF seems really pointless. Why not just gamble on the token itself?

I see this as a means to sucker more retail cash in and have the early adopters of Bitcoin hoover it up.

For the record, my statement as of right now is still true. Remember that Bitcoin peaked at nearly 69k a piece and it’s currently at around $42k a piece.

EternalUsenet|2 years ago

For some reason, I am unable to reply to the original thread I was on and I need to start another one here. Probably too far down the tree?

At any rate, one consideration folks don’t seem to have for the halvening is the reduction in rewards for miners.

As mining becomes more expensive and transaction fees increase exponentially, I see more and more smaller miners dropping out of the pool as it becomes too expensive for them to operate (and we are in a high interest rate environment, so capital for borrowing is much more expensive to acquire). Then the miners that are left start to concentrate and potentially cause a security concern. It becomes too top heavy.

I’m not sure why alarm bells aren’t going off for Bitcoiners?

nytesky|2 years ago

You act like this behavior makes sense, but no other asset acts like this, except maybe penny stocks?