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The original premise of bitcoin as a currency that could eventually replace fiat is a fantasy of delusional libertarians that don't completely understand our complex monetary system based on debt, interest rates, and growth. In this respect cryptocurrencies are effectively worthless. Their volatility makes them unsuitable as a carrier of value, and much of their movement is based purely on manipulation. Without the gigantic players like those in equities and treasuries there is nothing to bring the market to balance. It takes longer for reality to settle in. Pump and dump is the name of the game, and eventually just as many people lose money as gain it in bitcoin. The run is over when new buyers willing to donate market cap disappear. Then the only thing to provide a floor is the cost of electricity.
However, blockchain technology itself is a revolutionary step forward in tracking and processing financial transactions. So in this respect we are only at the beginning stage of growth. Developments like smart contracts in Etherium, and large financial institutions starting to adopt the technology are significant investment opportunities. The key is to invest in the technology, and not insane financial theories.
There are multiple things going on with these cryptocurrencies. The acceptance of Bitcoin and Etherium in retail is growing daily. But also driving these things are the use of blockchain technology on a broader scale for use in corporate applications. Many of the crypto's are not exactly a currency but an investment in the adoption of blockchain technology. There are a number of well respected investment newsletters that are now recommending small investments (ie $100) in various crypto's which they believe will mushroom over the long term. For instance, Antshares is the only cryptocurrency approved by the Chinese government for commercial application. Based on a newsletter recommendation I put approx $200 into Antshares and it exploded to be worth 8 BTC at one point. It has since pulled back but I was able to take out about half (ie $8,000) and am letting the other half ride for the long term.
Any financial instrument which is isn't regulated is an incalculable risk. I would bet there is a lot of insider trading activity that can't be seen. And everyone who trades this crap is contributing to their profits. It's a sucker's market.