BITCOIN DIARY: Revealed! Exclusive! Bitcoin's connection to the real economy
According to this view, there will be no Bitcoin rally, not even if there's a Zombie apocalypse and the only way to get silver bullets is on the dark web
There's nothing like the sucker-punch thrown by a writer. Maybe "sucker-punch" is an exaggeration. Here's David Fickling writing for Bloomberg: Let's say the bitcoin bubble has just burst. From its peak of $4,921 earlier this month, the digital currency is already down 16 percent at $4,076. Over the next two months, imagine it continues to slump to barely more than half its peak valuation. After a brief recovery, the price slides again, until by the start of 2020 it's dropped by another third, to below $2,000. For 20 years it then languishes around that point, never to recover its September 2017 levels in inflation-adjusted terms. Does that vision of the future show that digital currencies have no place in an investment portfolio, or that they do? The answer is worth pondering, because that's the trajectory gold followed after its peak in January 1980. To make his point, he included this graphic (click on it to enlarge): Which is deflating if you're holding Bitcoin. According to thi...
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