A bubble is when irrational enthusiasm for an equity exceeds the actual value sometimes continuing to rise in price long after the actual value should be in decline. The artificially created limited supply is currently maintaining a social sentiment that Bitcoin’s value will always increase. The idea that it will continue to increase in value as I have always said depends on the market sentiment remaining unaware of the unlimited supply or better more versatile alternatives which could replace and make obsolete any cryptocurrency. Dazzled by B.S. the Bitcoin enthusiast is often heard to say things like “Cryptocurrency is the future!” and “Blockchain technology is here to stay!” Neither of these statements demonstrates any reason why Bitcoin will increase in value since it is true of many other currencies that could easily replace and make obsolete the entire imagined “exclusivity” that the Bitcoin enthusiasts have fabricated.
