The original article that bubble of bitcoins *
It is a simple pursuit of curious, who has encountered cryptic information online. This article was called: “Bitcoin: The hottest new money” from Bitcointalk.org, a popular Bitcoin Forum.
This article, which was published in April 2011, helped this article in the countryside in Bitcoin, but the US dollars. A piece with a high potential to the potential decent and peer-to-peer nature bitcoins, which makes it accessible to anyone who has an internet connection.
At that time, Bitcoin was still dissolved, the whole article was triggered by the team. It is the idea of having a digital currency and has triggered talks about its uus strength as storing value or media.
Assess to explore and Lereni about Bitcoine, the marker won the green. Prices have increased and investors announce. The impact of the article was not limited to the entity; Mass Stream Media Stages picked up in the story and supported the Bitcoin team.
Crop effect: As one article created a bubble
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In view, it may be a coincidence that this single article has triggered the Bitcoins bubble. Howver, the game is serral factors:
- Snow ball effect : Initial acid demand and investment created a cycle of self -defense. Anger’s assessed, Priss Rose, attracted even more investors.
- Speculation : evaluated, some investors have started the specifications of bitcoin. They believed it was able to do rice to limit that you are embracing adoption.
- MEDIA Coverage : Main media reports on Wayth Off Bitcoin’s Marck Capitalization and Investment Activity, another extent of pollution and speculation.
Bubble bursts
In Septer 2011, the name of Bitcoins Bitcoins reached a historic maximum of $ 31.91 per coin. However, when the bubble began to inflate quickly, it will be inevitably cracked in October 2011, the price being dripped by more than 50% to approximately $ 2 per coin.
Subsequent correction leads to the investment of bitcoin power and media outside the exchange. While some investors have lost money, others have an opportunity, but a high cell.
Conclusion
The article that begins with a bubble of bitcoins was only one of the larger recovery that contributes to its advertising rupture. The combination of speculation, media coverage and increasing demand athletes who are not outside it were like many other factors in the game.
As we are considering this turn in the history of the cryptocurrency, you will not serve as a reminder of the importance of the dynamics of the Dynamics of the Dynamics and the potential risks associated with the digital names they love.
Sources:
- “Bitcoin: The hottest new money” from bitcointalk.org (April 2011)
- “Bitcoin and other cryptocurrencies” from Investopedia (2011)