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Is a bit coin a good investment?

AbehunterAbehunter Posts: 286 ✭✭✭
edited September 6, 2022 8:30AM in Precious Metals

Any thoughts?

Comments

  • I have a degree in finance and can say that you can't predict whether the prices of any assets, such as Bitcoin, will go up or down. Don't keep all your money in one asset - diversify. Experts recommend keeping only about 1% of your money in crypto because it is so volatile [risky].

  • jmlanzafjmlanzaf Posts: 31,338 ✭✭✭✭✭

    Are you trying to get banned?

  • AbehunterAbehunter Posts: 286 ✭✭✭

    @jmlanzaf said:
    Are you trying to get banned?

    ?no ,just asked a question, should I not?

  • jmlanzafjmlanzaf Posts: 31,338 ✭✭✭✭✭

    @Abehunter said:

    @jmlanzaf said:
    Are you trying to get banned?

    ?no ,just asked a question, should I not?

    It has nothing to do with US coins, sleigh this thread won't create much trouble. However coupled with your similarly off topic Trump thread, you seem to be looking for trouble.

  • AbehunterAbehunter Posts: 286 ✭✭✭

    @jmlanzaf said:

    @Abehunter said:

    @jmlanzaf said:
    Are you trying to get banned?

    ?no ,just asked a question, should I not?

    It has nothing to do with US coins, sleigh this thread won't create much trouble. However coupled with your similarly off topic Trump thread, you seem to be looking for trouble.

    Ok,I'll delete, thanks

  • WQuarterFreddieWQuarterFreddie Posts: 2,548 ✭✭✭✭✭

    @Abehunter said:

    @jmlanzaf said:

    @Abehunter said:

    @jmlanzaf said:
    Are you trying to get banned?

    ?no ,just asked a question, should I not?

    It has nothing to do with US coins, sleigh this thread won't create much trouble. However coupled with your similarly off topic Trump thread, you seem to be looking for trouble.

    Ok,I'll delete, thanks

    Best to ignore this guy since he would rather criticize you by assuming you are "looking for trouble" instead of educating you by suggesting you read the rules of posting on the forum.

    The rules can be found here:

    https://forums.collectors.com/discussion/1016634/pcgs-forum-rules-and-guidelines#latest

    In my opinion you should post this Bitcoin discussion under the Precious Metals category not in the US Coins category since you are asking if Bitcoin is a good investment.😎

  • johnny9434johnny9434 Posts: 27,333 ✭✭✭✭✭

    You could talk to your financial planner. That would be safer, just saying

  • FrazFraz Posts: 1,593 ✭✭✭✭✭

    No, no good thoughts.
    Think like Levi Strauss. We need wallets and purses for our bit coin.

  • jmlanzafjmlanzaf Posts: 31,338 ✭✭✭✭✭

    @WQuarterFreddie said:

    @Abehunter said:

    @jmlanzaf said:

    @Abehunter said:

    @jmlanzaf said:
    Are you trying to get banned?

    ?no ,just asked a question, should I not?

    It has nothing to do with US coins, sleigh this thread won't create much trouble. However coupled with your similarly off topic Trump thread, you seem to be looking for trouble.

    Ok,I'll delete, thanks

    Best to ignore this guy since he would rather criticize you by assuming you are "looking for trouble" instead of educating you by suggesting you read the rules of posting on the forum.

    The rules can be found here:

    https://forums.collectors.com/discussion/1016634/pcgs-forum-rules-and-guidelines#latest

    In my opinion you should post this Bitcoin discussion under the Precious Metals category not in the US Coins category since you are asking if Bitcoin is a good investment.😎

    Why don't you go and comment on the Trump coin thread before it gets closed?

    Your criticism is laughable since you are constantly complaining about what people are posting. You really should see someone about your obsession with me. It's not healthy.

  • FrazFraz Posts: 1,593 ✭✭✭✭✭

    @johnny9434 said:
    You could talk to your financial planner. That would be safer, just saying

    This^^
    I wonder why good financial planners go to work? I want council from an expert who does not have to get a job.

  • ConnecticoinConnecticoin Posts: 12,433 ✭✭✭✭✭

    Jim Cramer calls it a “nothingburger”. Kinda my POV as well.

  • Jzyskowski1Jzyskowski1 Posts: 6,651 ✭✭✭✭✭

    Bitcoin is a pyramid scheme as is all air money investment with the top person doing ok and suggesting it is wonderful.
    Your choice but around here you will find a large number of opinions and really is a personal preference.
    Kinda the old collect what you like.
    My 2 percent as always 😉🦫🙀

    🎶 shout shout, let it all out 🎶

  • thefinnthefinn Posts: 2,652 ✭✭✭✭✭

    A bit coin and a bitcoin are two very different things.

    thefinn
  • TPRCTPRC Posts: 3,736 ✭✭✭✭✭

    Bitcoin is a terrible investment. And I've been saying that since it was $10 :)

    Tom

  • dcarrdcarr Posts: 7,905 ✭✭✭✭✭
    edited September 6, 2022 12:11PM

    Any money put into Bitcoin is a "speculation", not an "investment".

    The same is also true for most stocks (if you plan to just sell later on and do nothing in regards to running the company).

  • derrybderryb Posts: 36,034 ✭✭✭✭✭
    edited September 6, 2022 1:53PM

    Assets that are as volatile as cryptos are not good investments. They are however great speculative plays when one buys the dips, sells the highs and repurchases on the next dip. Wash, rinse, repeat.

    Over the last decade cryptos have been the mother lode of volatility plays.

    The decline from democracy to tyranny is both a natural and inevitable one.

  • blitzdudeblitzdude Posts: 5,303 ✭✭✭✭✭

    @dcarr said:
    Any money put into Bitcoin is a "speculation", not an "investment".

    The same is also true for most stocks (if you plan to just sell later on and do nothing in regards to running the company).

    No more speculation then hoarding gutter metal in your bunker. Same thing actually.

    The whole worlds off its rocker, buy Gold™.

  • dcarrdcarr Posts: 7,905 ✭✭✭✭✭
    edited September 6, 2022 6:55PM

    @blitzdude said:

    @dcarr said:
    Any money put into Bitcoin is a "speculation", not an "investment".

    The same is also true for most stocks (if you plan to just sell later on and do nothing in regards to running the company).

    No more speculation then hoarding gutter metal in your bunker. Same thing actually.

    If you buy any commodity without a specific use in mind and your plan is simply to sell later at a higher price, then that is also a "speculation" and not an "investment".

  • RobMRobM Posts: 528 ✭✭✭

    @derryb said:
    Assets that are as volatile as cryptos are not good investments. They are however great speculative plays when one buys the dips, sells the highs and repurchases on the next dip. Wash, rinse, repeat.

    Over the last decade cryptos have been the mother lode of volatility plays.

    99% or more of all people with significant wealth generated in the crypto universe are either early adopters who HODL'd, platform developers/creators, or miners. Despite all the daytrading and dip buying strategies out there, there are a miniscule number of successful traders out there over the past year as crypto prices have mostly fallen. You either stopped washing, rinsing, and repeating last fall, or are likely being taken to the cleaners.

  • derrybderryb Posts: 36,034 ✭✭✭✭✭
    edited September 8, 2022 2:16PM

    @RobM said:

    @derryb said:
    Assets that are as volatile as cryptos are not good investments. They are however great speculative plays when one buys the dips, sells the highs and repurchases on the next dip. Wash, rinse, repeat.

    Over the last decade cryptos have been the mother lode of volatility plays.

    99% or more of all people with significant wealth generated in the crypto universe are either early adopters who HODL'd, platform developers/creators, or miners. Despite all the daytrading and dip buying strategies out there, there are a miniscule number of successful traders out there over the past year as crypto prices have mostly fallen. You either stopped washing, rinsing, and repeating last fall, or are likely being taken to the cleaners.

    Or were successful in using volatility to your advantage. This is an accepted and respected form of trading with equities, but it does not apply to other highly volatile assets?

    Last fall was when the volatility really picked up and became an opportunity for those who closely follow the market.

    Prior to the last year of volatility, the Hodlers were correct with their buy and hold strategy. Due to the sudden drop and volatility in the past year Holders got hammered if they continued to Hodle. The money to be made in the past year was buying low and selling high on a repeat basis, not buying and holding. Volatility can be opportunity to those who closely follow a volatile market. For example bullion bankers make fortunes trading the even small dips and highs in spot prices on the bullion futures exchanges.

    The decline from democracy to tyranny is both a natural and inevitable one.

  • BaleyBaley Posts: 22,658 ✭✭✭✭✭

    Pull up an 8 year bitcoin price chart, and compare to this general chart of the pattern of a typical fad or mania asset price trend

    Liberty: Parent of Science & Industry

  • derrybderryb Posts: 36,034 ✭✭✭✭✭

    According to your chart there's a whole lot of profit to be made, even with tulips. LOL

    Simple, buy low sell high. Don't HODL about.

    The decline from democracy to tyranny is both a natural and inevitable one.

  • derrybderryb Posts: 36,034 ✭✭✭✭✭

    ETH is the new BTC play.

    The decline from democracy to tyranny is both a natural and inevitable one.

  • EstilEstil Posts: 6,846 ✭✭✭✭

    Well a little while back I got $5 worth of free bitcoin from a Paypal promo of some sort. Honestly back in the day I thought Bitcoin was a joke...just like when Jose Canseco's Juiced book first came out. I agree though that just like with gold there's just very little if any room for growth and both if anything are due for a bubble burst. Still, I got it free so I can't really lose, you know, playing with the house's money?

    WISHLIST
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    Quarters: 61D, 52S, 47S, 46S, 40S, 39S, 38S, 37D+S, 36D+S, 35D, 34D, 32D+S
    74 Topps: 37,38,46,47,48,138,151,193,210,214,223,241,256,264,268,277,289,316,435,552,570,577,592,602,610,654,655
    1997 Finest silver: 115, 135, 139, 145, 310
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  • blitzdudeblitzdude Posts: 5,303 ✭✭✭✭✭

    @Estil said:
    Well a little while back I got $5 worth of free bitcoin from a Paypal promo of some sort. Honestly back in the day I thought Bitcoin was a joke...just like when Jose Canseco's Juiced book first came out. I agree though that just like with gold there's just very little if any room for growth and both if anything are due for a bubble burst. Still, I got it free so I can't really lose, you know, playing with the house's money?

    Well it's payday. Bitcoin purchase......check, Ethereum purchase......check, physical gold purchase.......check, paper gutter purchase......check, oil, solar, wind, lithium stocks purchases......check, cash in the bank.....check. Nothing like being diversified. Sleep like a baby. RGDS!

    The whole worlds off its rocker, buy Gold™.

  • derrybderryb Posts: 36,034 ✭✭✭✭✭

    The decline from democracy to tyranny is both a natural and inevitable one.

  • WCCWCC Posts: 2,344 ✭✭✭✭✭

    @hvellente said:
    @Baley

    I've seen that chart before; it is as informative as it is amusing. The chart also makes a great point by inference:

    Anyone hoping to get rich with Bitcoin missed the boat awhile ago. Those who bought in (or better yet mined in) in the early days were able to 50x or 100x their money. That's how you get rich. But it meant taking a huge risk in the early days, and those early adopters rode a series of wild waves up an down to reach 50x and 100x. But those days are over. Now Bitcoin is around 20k, it might double or triple (2x, 3x) but will it ever 50x or 100x again? Can we imagine Bitcoin climbing to 1 or 2 mill each? No, and here's why: the hysteria has come and gone, the opportunities to use and develop Bitcoin have matured. There is not much room for growth. If you have a legit use for Bitcoin, then go ahead and buy. If you hope to get rich, you're too late. And if you're looking for a "good investment" (as described by OP), then Bitcoin is the wrong answer. It is volatile, unregulated, unsafe. That's not an investment, that's gambling.

    (PS: I love gambling. Casinos, lottery tickets, whatever. So if you look at Bitcoin as a gamble I support you!)

    I have a better reason for you why it will never happen.

    The BTC and crypto mania didn't happen in isolation. It's a side consequence of the greatest asset mania of all time. The one we are in now centered around credit and debt.

    It didn't happen in isolation, and I don't believe it could have given the scale.

  • blitzdudeblitzdude Posts: 5,303 ✭✭✭✭✭

    Added more BTC today. RGDS!

    The whole worlds off its rocker, buy Gold™.

  • morgansforevermorgansforever Posts: 8,426 ✭✭✭✭✭

    Currently, the best investment as of this writing is under your mattress.

    World coins FSHO Hundreds of successful BST transactions U.S. coins FSHO
  • element159element159 Posts: 493 ✭✭✭

    @morgansforever said:
    Currently, the best investment as of this writing is under your mattress.

    How does that beat Treasury bills in any way?

    image
  • derrybderryb Posts: 36,034 ✭✭✭✭✭

    @morgansforever said:
    Currently, the best investment as of this writing is under your mattress.

    Far from it. Your paper dollars are losing value by the day (inflation). Buying anything you need now is a better investment than cash regardless of where you stash it. FWIW SoFi bank is offering 2.5% on checking and savings if you do a monthly allotment to the account.

    The decline from democracy to tyranny is both a natural and inevitable one.

  • dcarrdcarr Posts: 7,905 ✭✭✭✭✭
    edited October 16, 2022 9:06AM

    @element159 said:

    @morgansforever said:
    Currently, the best investment as of this writing is under your mattress.

    How does that beat Treasury bills in any way?

    I think what morgansforever meant is that all investments and assets seem to be going down right now. So holding on to cash might be the best option. Yes, short term Treasury Bills will pay interest and if you hold to maturity you will do OK (but still not keeping up with inflation). Longer-term bonds will lose value as interest rates go up.

  • hfjacintohfjacinto Posts: 737 ✭✭✭✭✭

    I bonds are paying 9.6%

    Crypto like all assets isn’t an investment. If you can take the risk get some if you can’t don’t.

  • WCCWCC Posts: 2,344 ✭✭✭✭✭

    @derryb said:

    @morgansforever said:
    Currently, the best investment as of this writing is under your mattress.

    Far from it. Your paper dollars are losing value by the day (inflation). Buying anything you need now is a better investment than cash regardless of where you stash it. FWIW SoFi bank is offering 2.5% on checking and savings if you do a monthly allotment to the account.

    This is very a good idea if you have sufficient liquidity and a place to store it. Buy everything you need at current prices that you will use later eligible for long-term storage.

    Prepaying future consumption is the best long-term inflation hedge if your personal circumstances accommodate it.

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