by Homer Nievera
For two weeks now, I have been monitoring the progress of Bitcoin.
Today’s value of each Bitcoin has hovered from $340 to $360. But that’s not where it will stop. For weeks, the Bitcoin has been steadily going up since its crash a few months back. My guess is that it will reach $400 by end of November. Or even breach that level by then.
According to an article by Henry Blodget in Business Insider, the value of a Bitcoin — that geeky currency — can indeed reach $1M. That may seem a long shot. But looking at how many so called Bitcoin millionaires have faired in the past year, tripling investments of late comers, hitting $1M per Bitcoin is not impossible.
Are we seeing a bubble?
Today, most likely, we are seeing a bubble in the value of the Bitcoin. Mining it is still not that easy and that indeed pushes the price up. Moreso, the active trading of the Bitcoin in closed economies is adding fuel to the fire. Scarcity breeds high prices to products and the Bitcoin is not spared from this. One case in point is the Cyprus scenario where social unrest scares business people and their money. Looking for safer havens outside the country is inevitable. Thus, that so called safer haven is the Bitcoin which is regarded not merely as geek currency but something that even the Feds can’t control for now.
One tip I’d give is to invest in the Bitcoin now. It will surely rise — and fall — then rise again. That’s a better investment than going to Twitter’s overvalued rate. That’s only me talking. After all, I am a serial entrepreneur. A certified risk taker.
Still looking for gold? You know where to find it.
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