Bitcoin Soars Towards $13,000

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Jeff Fx

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Yeah, that's bad for gamers, but since I had to buy a pre-built PC to get the latest and greatest i7 during a shortage, and I already had a 1080ti, it allows me to make back the cost of the 1070 that came with the PC.
 

Jeff Fx

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I think you're right. For cryptocurrencies to make it in the long-term, governments would have to collapse, and the Internet would somehow have to stay up in the chaos. This seems very unlikely. I just wish I knew when was the best time to sell.
 

TJ Hooker

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Are you saying that people will see the value of bitcoin which will inspire them to then buy GPUs to use as miners for other cryptocurrencies, or that new cryptocurrencies to mine will keep popping up in the wake of bitcoin's value? Because mining bitcoin with a GPU is long dead.
 

nitrium

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BitCoin (and other cryptos) are all set up as classic Ponzi schemes, where the founders and early adopters mined the low-hanging fruit, while the those late to party now bear all of the cost of the price increases with ever decreasing returns. Further, once all the coins are mined (or mining is no longer financially viable) who ultimately verifies the blockchain (which will be several TBs big by then) which is required for every transaction? If some sort of server farm takes over that role, where will it be located and how much will they charge for their services? And so much for the much vaunted anonymity then too, since said farm can (and will be) subpoenaed for transactions.
 

redgarl

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GPUs are not associated with Bitcoin mining, people should realize that. Ehterum and other cryptocurrencies are way more linked to the GPU frenzy. Unlike what others believes, I think new cryptocurrencies are still going to drive the GPU market. People who think it is going to go away are just wishful. Miners are jumping on other currencies that are more profitable and they are all exploding.

Bitcoin are only at that price because the organize crime are mainly using it. The day it is going to crash, it is going to crash hard. Bitcoin should be ban entirely. They are used for drugs, weapons, hitman and human traffic. It is all the wrong of humanity at this point.
 

shrapnel_indie

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Mining bitcoin using a GPU may be long dead, but obviously not everybody got the memo. Polaris based cards are still, for the most part above what they should be. Vega is above where it should be. Even some of NVidia's Pascal line (GTX-1060 mostly, 1070 somewhat) are still a bit above where they should be.
 

TJ Hooker

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The shortage/increased prices of GPUs we've been seeing in 2017 has nothing to do with bitcoin. It's because of the rise of ethereum, as well as some other cryptocurrencies.

"Bitcoin" and "cryptocurrency" are not synonymous.
 

shrapnel_indie

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Your argument sounds awfully like the arguments against torrents, but with different details. Bitcoin, in and of itself, isn't that much different in that it can be used to support evil, immoral, and/or unethical activities, just like torrents can be used for piracy, child-porn distribution, etc... Yet both can be used for positive things too. They are both just a "tool" that can be used for good or bad, depending on how people use them. I could argue that cars be banned because of one person in the NYC area who used one to plow people over and kill them... and in his own words continued to do so if he didn't wreck his rental. The rental car/truck was used for evil purposes instead of good that day. (There are other cases too, just not at the same level, or broadcasted as loudly since they aren't firearms.) Torrents can be used as an alternate distribution system for legally sold documents, media, and other software just as easily. The fact some businesses (Steam was one until they decided bitcoin was too unstable) accept it as legal payments also show that it can be used ethically, morally, and legally too.
 

shrapnel_indie

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True, they are not synonymous, not exactly anyway. Bitcoin, just like Ethereum, is a specific form of crypto-currency, they are not the only form though. Ethereum hasn't gone away, and it has also been rising in value again, along with other forms of crypto-currency. Bitcoin right now, is just an indicator for the rest, in a generalized way.
 

cherry blossoms

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Ah, yes, I believe nitrium indicated it well above for "Tulip Mania". The gains do look good "on paper".

Like ANY Fiat currency, it's value is only in other people's willingness to exchange it for goods/services. Volitility may make some step away. I see news stories that Steam has stopped accepting it. Will others follow? Part of the volatility. If you cash out and make money good for you. Does look like a classic bubble though, at least in bitcoin.
 

TJ Hooker

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Eh, as said in the article, it may be better to compare it to something like gold rather than fiat currency. No one is buying gold so they can exchange it for goods/services. They do it because they expect/hope the value of it will go up (or hold value better than currency in times of uncertainty), with value in this case being the amount of fiat currency people are willing to exchange for it. Sounds a lot like bitcoin, except with bitcoin being much more volatile.
 

Memhorder

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Actually in Canada you are taxed. Any Barter Transaction or Capital Gain is taxed. I'm sure US has rules about it too
 

shrapnel_indie

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Eh... Some are buying gold because they suspect that fiat currency will go belly-up (market crash, govt bankruptcies, other disasters, etc.) and figure gold as a precious metal will still have value even once standard fiat currency is worthless, so it's a bit more than gold just holding value better than currency.
 

TJ Hooker

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Ok, sure, maybe there are some preppers out there who are buying gold in anticipation of societal collapse or something. The point I was trying to make is that the value of a commodity doesn't necessarily depend on people's willingness to exchange it directly for goods/services (contrary to what was said above).
 

nitrium

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How many barter transactions are declared? I'd go as far to say it's very much approaching zero (otherwise, what's the point?).

 

AnonymousAndy

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Unfortunately, you are taxed double here in the states for mining crypto. You get taxed the value of the coin when you obtained it, and you have to get taxed on any capital gains you made by holding that coin. But luckily mining crypto currency is categorized as self employment here in the states as well, so I can write off my power-bill, internet cost, heating and cooling costs, square footage requirements, and most importantly the miners ;)
 

techy1966

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As someone else pointed out unless governments can find ways to make money from this at some point they will try to regulate it out of existence. My other thought is with no one really in control of it means that it has gotten way way over rated and valued 10000% above what it is actually worth. So at some point it will either be regulated to the point that it becomes worthless or the greedy will drive up it's value to the point that it will just do bye bye and no one will give a dam.
 

AnonymousAndy

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Yes, it does look like a future currency.
 

jeffwildron

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Hey Kevin, Do you think that Bitcoin is going to continue here or fizzle out? It reminds me of the cannabis craze we seen with publicly traded companies over the past few years, especially small caps. The only difference is, bitcoin just keeps going.

These guys on this message board seem to believe that Bitcoin is just getting started.
https://investorshangout.com/SHEEPWOLFS-100000000-JOURNEY-91662/

Thoughts?

Jeff
 

jeffwildron

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Hey Kevin, Bitcoin reminds me of the cannabis craze we seen with publicly traded companies over the past few years, especially small caps. The only difference is, bitcoin just keeps going and has, since you've posted this only 10 days ago now at 19,888 from 12500.

These guys on this message board seem to believe that Bitcoin is just getting started, but I don't know what to think.
https://investorshangout.com/SHEEPWOLFS-100000000-JOURNEY-91662/


Jeff
 

nitrium

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What you should be thinking is this is following the anatomy of a "bubble" almost perfectly. Until there some semblance of stability, I wouldn't go anywhere near this with money I couldn't afford to lose.
http://www.marketoracle.co.uk/Article60967.html
http://www.marketoracle.co.uk/Article61096.html
 
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