Quote:
Originally Posted by dino7c
I suppose you could say that about any investment...market could crash, real estate bubble? Cash goes down in value over time.
I can live a comfortable life without this BTC profits. Have other investments, own a home ect. It's not like I'm gonna be broke if BTC is worth zero tomorrow.
I am taking a shot at life changing wealth, would rather fail than regret not taking the shot.
I do follow the markets closely though, if I think BTC is gonna take a massive dip I will probably sell some but I think it's a bull market until at least fall.
I also have taken BTC profits in the past and take profits on alt coins all the time. This is just my cold storage HODL stash.
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The thing that seperates bubbles from crashes is pretty simple, any stock or investment generally has a level of intrinsic value, what pushes it up or down are events that effect that level of intrinsic value, Boeing is a great example right now, they have been a great stock in the past, gone up as they have announced orders, gone down as planes crash or pandemics kill the travel industry, I have put money into them this year as I think they are undervalued at the moment and there is no way in hell the US Government will let them go bankrupt, as long as they are making planes their stock has value.
Bitcoin has no intrinsic value, no currency does in truth but you can count on a currencys backer, the Government of the issuing nation, riding in to support the dollar or the pound if there is a run on it, they will buy the currency using their reserves to keep the price up, if bitcoin falls no one will rescue it, you may find your self in the classic bubble crash where you are trying to sell and you cant, you are stuck with all your coins and no one in the world will buy them, you literally could lose everything, that is your danger.
What ever you do do not assume that in the event of a crash you can get off the ride and save your investment, if something as ephemeral as bitcoin goes down there may be no way off the ride.