What is an investor? An investment operation is one which upon thorough analysis promises safety of principle and an adequate return. Operations not meeting these requirements are speculative.
The DOTCOM bubble started around 1997, peaked around 2000 and ultimately burst in 2002. The bubble revolved around speculative investment in internet companies. In that time investors were so excited about new tech that they invested in almost any tech company without even caring if that company is profitable or not. COMMONSENSE BEGAN RARITY. After the bubble burst only some companies survived example amazon.com.
THE CONCLUSION IS SIMPLE: THE DOTCOM BUBBLE IS A FACINATING HUMAN NATURE LESSON.
Every nonprofessional who buys a “hot” common stock issue, or make purchase in any way similar thereto, is either speculating or gambling. Speculation is always fascinating, and it can be a lot fun while you are ahead of game. If you want to try your luck at it, put aside a portion, the smaller the better.
So what I am trying to say is, if you understand bitcoin by core, you know how it works, how it’s made, what are it’s competitors, is the price too high for me to buy, why it has any value and why this value will keep growing then you are an investor, however if you are buying or selling it because others are doing then it’s pure gambling.
As Warren buffet Says: youtube.com/watch?v=ewMYbX47-IE “Stay away from it” From my point of view, I will not invest in bitcoin as I do not understand it and I do not want to be a speculator. I find MCD a better investment for long term than BTC.
bitcoin has lost around -$1000 (20%) of its value, I wonder when this bubble will burst. I don't know how high will it go temporarily. Lossing 20% of value in few days is very unstable and very risky investment.
I think many do not understand the entire space, and I agree with you pertaining to if you do not understand the space and your buying your gambling not investing, however the market overall is in its infancy, and I’m not sure 300 billion is bubble territory where Cisco alone had a market cap that exceeded the entire crypto space at its peak. I researched for months the space before investing. And like you state I’m cost averaging over time. But what was the final article I read was one in fortune magazine in 2014 titles “why the banks fear bitcoin”. That was it for me and the more I understand and learn the more I realize we are still in the beginning. Many are looking at the chart not on a log scale and it is deceiving. If you were an early venture capitalist in Cisco prior to the IPO your returns were huge.
Wave-Expert
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@goldbug1, THANKS FOR YOUR COMMENT. "If you were an early venture capitalist in Cisco prior to the IPO your returns were huge." This reminds me of a chapter in a book "The Intelligent Investor" written by Benjamin Graham, the mentor of Warren Buffet. The paragraph said something like this " People will look at past and will say if you would have invested in IPO of Microsoft, you would have been a billionaire by now. While you could be a billionaire by investing in IPO of Microsoft you could also go broke/bankrupt by investing in countless other IPO released into the market the same year. People often reject the knowledge which dissatisfies them. People back then could not see that IPO of Microsoft was next thing ...can you see ? Well than find an IPO of a company released this year which will be the next Microsoft"
crypt0whale
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Current crypto market cap September 2017:
~$120 Billion
DotCom Bloomberg US Internet Index at peak in 2000: $2.948 TRILLION or $4.19 TRILLION adjusted for inflation...
Crypto market cap today is a TINY fraction of what the DotCom bubble was. We are talking about less than $0.2 TRILLION.
So let's look at this....
< $0.2 TRILLION dollar market cap for crypto as a whole
Vs
$4.19 TRILLION dollar market cap at peak of DotCom bubble (US Internet Index in the year 2000)
If that's not enough to convince you that we are just getting started...
Crypto is more global, easier to enter, and has just as powerful of a social impact as the internet did in the 90s.
They're something you are missing completely and I'm afraid you'll be left behind if you don't open your mind.
Do your homework. First you learn and then you remove the L. Stop living in a box in the way society has programmed you to do so.
Wake up dude!
crypt0whale
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There* not they're*** typo
CryptoAddict77
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Make a screen capture of this chart and come back next year. You will be shocked that your analysis was very bad.
Wave-Expert
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@hubavka, I will not lose anything since I will not invest. but my best wishes to you for your view about btc
@Jorgea.Nino, risk SMART to win, buy when undervalued, not buy when overvalued
CryptoAddict77
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@Wave-Expert, You will actually use a lot. So far USD lost 98% against BTC. Your fiat currency will not be able to buy you much in a few years. If you have any money to invest that is.
crypt0whale
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@Wave-Expert, My portfolio since May 12, 2017 is up over 20,000%. Name me one market, outside of cryptocurrencies, where you can do that...
You are missing out on so much money yet you sit here and talk absolute nonsense. You're going to completely miss the train and feel so left out in the coming years.