Could there be a bubble in Bitcoin?

[Suba]

Even though we know that Bitcoin is an asset that has the highest volatility compared to other assets such as shares, bonds, gold, etc. At the beginning of 2018, I also often heard government warnings warning that there was a bubble in Bitcoin which could destroy the price of Bitcoin. A bubble or bubble burst is the eruption of Bitcoin's price to become worthless or zero and it will be difficult to recover and its users will even be abandoned.

But personally I don't believe in the government's warnings, because there will be more and more Bitcoin users even now that large institutions have also adopted Bitcoin. Even though in 2017 the price of Bitcoin skyrocketed and fell drastically around the beginning of 2018, also in 2022 there was a drastic decline in the price of Bitcoin after touching the highest level of $68k in history in Nov 2021.
The lowest Bitcoin price started from US$.09 in mid-2010. So historically there will not be a Bubble in Bitcoin, even though there is a drastic price drop, but that is just a price fluctuation caused by buying and selling transactions and the Bitcoin price will bounce back even will get higher. What do you think, will there be a bubble in Bitcoin?

 

[sameemohs]

Yes, there is a possibility of a bubble in Bitcoin or any other cryptocurrency. Bubbles occur when the price of an asset, like Bitcoin, experiences rapid and unsustainable increases, often driven by speculative buying rather than the asset's intrinsic value. Bubbles can be followed by sharp price declines, leading to significant losses for investors.

The cryptocurrency market has seen periods of extreme price volatility, and some analysts have raised concerns about the potential for a Bitcoin bubble. It's essential for investors to exercise caution, conduct thorough research, and be aware of the risks associated with investing in cryptocurrencies. Bitcoin and other digital assets are subject to market speculation, regulatory changes, and technological developments, which can all impact their value.

 

[oldbuddy]

Yes, there is a possibility of a bubble in Bitcoin or any other cryptocurrency. Bubbles occur when the price of an asset, like Bitcoin, experiences rapid and unsustainable increases, often driven by speculative buying rather than the asset's intrinsic value. Bubbles can be followed by sharp price declines, leading to significant losses for investors.

The cryptocurrency market has seen periods of extreme price volatility, and some analysts have raised concerns about the potential for a Bitcoin bubble. It's essential for investors to exercise caution, conduct thorough research, and be aware of the risks associated with investing in cryptocurrencies. Bitcoin and other digital assets are subject to market speculation, regulatory changes, and technological developments, which can all impact their value.

The bottom line determines profit or loss, so since I earned all my Bitcoin (Satoshi) for free I would not sustain a loss unless they taxed it for owning any.

 

[riberet19]

Many economists say that bubbles are never created in risky assets, that they are always created in those markets where no one would ever think that there is a risk of a bubble due to the security they have, as happened in 2008 in the real estate market, which is why I don't think that Bitcoin is a bubble right now, that there is a lot of overleveraged money in Bitcoin? Yes, enough for a bubble? I don't think so.

 

[deucher]

I believe that there is no longer such a threat because everyone has understood how powerful a token Bitcoin is and it is unlikely that this could happen unless there was some kind of catastrophe in the world that would force everyone to withdraw funds