The original founder of bitcoin.com sells all his Bitcoin and states that cryptocurrency “the most risky investment a person can make”.
The article from silverdoctors.com does a fine job of explaining the flaws of this currency. I will go over one major point that should be apparent but most investors would likely ignore.
As we have seen the price of bitcoin has skyrocketed recently and people either owning or thinking of buying into Bitcoin would probably discount this blatant fact because it is contrary to what they want to believe. Even bitcoin.com founder, Emil Oldenburg states that Bitcoin has hit it’s top. In an email he states
“it’s a group of fanatic bitcoin talibans who themselves do not use bitcoin everyday to want it like this. They see bitcoin like digital gold and a technical experiment, not something you should actually use. It will never be a currency used in everyday life or for people who run companies”.
The market volatility is the key factor that people should be watching. History shows that a commodity can not sustain a price rise as rapid as we have witnessed in Bitcoin. It will consolidate and the price usually falls as rapidly as it rises. There has been a rash of articles explaining how irrational it is to believe that Bitcoin will continue to rise. The salient point is that no one can accurately call the top.