BitCoin
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Hello everybody, Does anybody have any recommendation for crypto currencies ? I have been considering to invest in some bitcoin but seeing how it dropped 3000 thousand dollars in 3 days is a little worrysome. I just want to see what cryptocurrencies people are investing in and why.
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Investing is not something you can even do at this point. You can't even get into "farming" at this point either. As you're investment into hardware or the rental of hardware will set you back at least 6 figures.
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@dustinb3403
Your saying this for just bitcoin but what about other cryptocurrencies ? -
@dustinb3403 said in BitCoin:
Investing is not something you can even do at this point.
Umm, no that is not how investing works. You can get into investing at anytime for anything. You simply research options and make a guess by buying into something that you think will increase in value.
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@dustinb3403 said in BitCoin:
You can't even get into "farming" at this point either. As you're investment into hardware or the rental of hardware will set you back at least 6 figures.
This is true of bitcoin, but not other crypto currencies.
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You don't really "invest" in currency. Remember this is FOREX, not equities. You are gambling against exchange rates. That you are worried that BC came down 30% this week means you are not understanding how FOREX works. You need your currencies to go up and down to make stable money investing in the market. FOREX is something that you do every day, every minute, not a long term holding like equities.
Right now people are gambling on new currencies to gain traction and are investing in the hope that their chosen currency sticks. It's a massive gamble.
I come from a decade on Wall St. working specifically in FOREX.
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So what cryptocurrencies are you saying is profitable since there are hundreds....
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@castellanosjc said in BitCoin:
@dustinb3403
Your saying this for just bitcoin but what about other cryptocurrencies ?The problem is, that by the time you've heard about a currency, it's already pretty late in its investment cycle at this point.
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@castellanosjc said in BitCoin:
So what cryptocurrencies are you saying is profitable since there are hundreds....
The cost of any currency is the value that the market sees in it today. If there were any that were obviously worth more, they'd already be trading at that higher value.
That there are hundreds almost guarantees that most of them will be worth nothing in not too long. Only so many can reasonably survive.
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Unless you're going to do something like mining coins on a web-site with lots of visitors, mining coins doesn't make much sense at the moment. I did a short write up on the dark side of the subject recently: https://www.travisdh1.net/cryptocurrencymining
Investment wise, Bitcoin itself isn't great at the moment (oh, how I wish I would've kept the 5 I had years ago now!) Litecoin and Monero might be worth considering.
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@scottalanmiller
Make sense, but have you "invested" in a cryptocurrency that you have faith will be of some worth down the line. Also what term would you use other that investment? -
@travisdh1
Thank you for the recommendation!! I'll look up research on them. -
Also why did BitCoin spike so aggressively ?
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@travisdh1 said in BitCoin:
Unless you're going to do something like mining coins on a web-site with lots of visitors, mining coins doesn't make much sense at the moment. I did a short write up on the dark side of the subject recently: https://www.travisdh1.net/cryptocurrencymining
Investment wise, Bitcoin itself isn't great at the moment (oh, how I wish I would've kept the 5 I had years ago now!) Litecoin and Monero might be worth considering.
You also do not really know what you are talking about.
There are multiple types of crypto currency that mine in various forms. Monero is an example of one that works like you say, but Bitcoin is one that does not.
You cannot generalize things like this.
But again, mining does not have a damned thing to do with investing.
FFS people.
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@castellanosjc said in BitCoin:
Also why did BitCoin spike so aggressively ?
The obvious answer is because that's what people will buy a BitCoin for. As to why people suddenly thought they're worth so much more, I don't know.
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@castellanosjc said in BitCoin:
Also why did BitCoin spike so aggressively ?
The general population heard about it and did what the general population does. First they create a bubble thinking that money is magic (pyramid scheme mentality) then they panic and cause a crash.
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@castellanosjc said in BitCoin:
@scottalanmiller
Make sense, but have you "invested" in a cryptocurrency that you have faith will be of some worth down the line. Also what term would you use other that investment?Heck no, I think it's a crazy market to get into. Sure the potential gains are large, but the risk is enormous and based on nothing.
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Keep in mind that most currencies are useless today. As in, you can't spend them. Some, like BitCoin, have a few places where you can spend them. Most have nothing you can buy with them (nothing legal, anyway.) And BitCoin is losing, not gaining, places that you can spend it because of the volatility. FOr example, Steam used to take BC but doesn't any longer.
So you risk the "circle jerk" problem of investing with these currencies.... they are closed systems. You put money in to get the currency, you get nothing back - no way to convert back to usable currency. As long as people will invest, you can keep making money, but the moment that they stop there is literally nothing.
It's a currency version of a pyramid scheme in every sense. Only the top tier make anything.
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@scottalanmiller said in BitCoin:
@castellanosjc said in BitCoin:
@scottalanmiller
Make sense, but have you "invested" in a cryptocurrency that you have faith will be of some worth down the line. Also what term would you use other that investment?Heck no, I think it's a crazy market to get into. Sure the potential gains are large, but the risk is enormous and based on nothing.
Yeah at this point, even if there is still growth to $100k to $1mm, its still not going to be as rewarding as it is for those who stumbled in early and stuck around.
Blind luck, no one could have predicted it.
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@scottalanmiller said in BitCoin:
Keep in mind that most currencies are useless today. As in, you can't spend them. Some, like BitCoin, have a few places where you can spend them. Most have nothing you can buy with them (nothing legal, anyway.) And BitCoin is losing, not gaining, places that you can spend it because of the volatility. FOr example, Steam used to take BC but doesn't any longer.
So you risk the "circle jerk" problem of investing with these currencies.... they are closed systems. You put money in to get the currency, you get nothing back - no way to convert back to usable currency. As long as people will invest, you can keep making money, but the moment that they stop there is literally nothing.
It's a currency version of a pyramid scheme in every sense. Only the top tier make anything.
I've got (Some) BitCoin. Bought it a year ago (needed a VPN service and some other things, and threw a few hundred in.
My biggest complaints with it are that...- Transaction times/costs are terrible. Lightning MIGHT solve this. Other cryto currencies have.
- There are fewer and fewer places you can buy things with it. (I've bought a VPN, and mailed a bag of crap to someone).
My speculative holding (That reaches long-term capital gains tomorrow) is based on its value coming from the following things.
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Greater Fool Theory. (Bubbles last a LOT longer than you would think). I even bought some in the dip the other morning and made a cool 15%
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Defeating currency controls. Bitcoin Isn't actually as good as other cryptocurrencies out there, but it's the one that money gets brought back thru before it goes to cash. LiteCoin might replace it (because it was designed to not have the transaction/cost issues BitCoin does). With bearer bonds becoming rarer this is a big deal.
