Following Tim Draper’s excited “$250k by 2022” forecast, Bitcoin (and the rest of the crypto space) have extended last week’s gains as tax-driven selling pressure appears to have abated and Bob Shiller says Bitcoin ‘bubble’ “could be with us forever.”
Bitcoin is up over 20% in the last few days, testing up to its 50-day moving-average…
And Ripple is up over 35%…
FundStrat’s Tom Lee offers some perspective on the current trend in cryptos compared to the 2013-2015 Bitcoin bear market…
The 90% decline, which lasted 405 days, took prices back to Oct 2013, or 1 month prior to Nov 2013 peak. From Oct ’13->Nov ’13, BTC gained 621% in a month. That year-long decline was a rollback of 1 month of gains.
And the current slide…
Where was Bitcoin 1 month prior to ~$20,000 top? $5,900.
In other words, BTC this year rolled-back prices similar to what happened in 2014/15.
Could be same bottom as the 2014/15 bottom. Also, selling related to capital gains taxes in US should be lifting as tax day is 4/17?
And as CoinTelegraph reports, Nobel Prize laureate for economics Robert Shiller believes that while Bitcoin (BTC) might be a bubble, that doesn’t mean that it will burst and be gone forever, according to an interview on April 13 with CNBC’s Trading Nation.
Shiller, who is currently a professor of economics at Yale University, referred to BTC as “another example of faddish human behavior. It’s glamorous”:
“I’m interested in [B]itcoin as a sort of bubble. It doesn’t mean that it will disappear, that it’ll burst forever. It may be with us for a while.”
Shiller highlights that he knows that “smart people” have invested in cryptocurrencies, including many of his students, but adds that the attraction to crypto is “a story that I think goes way beyond the merit of the idea. It is more psychological than something that could be explained by the computer science department.”
According to Shiller, there is a “part” of the cryptocurrency “fad” or “bubble” that is political, as people that don’t trust their governments may be tempted to invest.
In September of last year, Shiller went on CNBC’s Fast Money with Brian Kelly to speak along the same lines about crypto, saying that “it’s the quality of the story that’s attracting all this interest.”