Quote:
Originally Posted by EddyTheDog
So, I have some cash - Or at least I have some access to an interest free cash loan - BC is at a high and I am not sure what to do - Help!..
My instinct is that someone will sell big over the weekend to get the price down and that's when I should move in - Am I right?....
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Eddy,
I've been mining for some time now, mostly as a hobby. I mine @ around 150GH/s and make about $35/day in BTC. I'm very close to nailing down the "Pay w/ BTC" button on your xxx sites and build it into some major CMS's. So if you run a big CMS company, i'd love to pick your brain a bit about a few things
There's one thing about BTC that you should know before going out and borrowing to buy it. I was there w/ 6 GPU's cooking my fiance and I out of the apartment when each BTC cost only $13. Obviously kicking myself in the ass for not putting my life savings into it because if I were the one you're referring to who's going to dump all the shares for profit, i'd be sitting pretty with 4.5mm..
I was also there when the bitcoin did its real dance. Have a look at this data if you haven't seen it yet. If it's old news, well.... Sorry.
2013 BTC Price Volitility
mar 16 = 45
mar 19 = 60
mar 28 = 85
apr 1 = 100
apr 3 = 135
apr 7 = 160
apr 9 = 237
apr 10 = 180
apr 11 = 140
apr 12 = 100
apr 16 = 75
I remember people on the BTC forums saying this is it, this is it when it went from 84(ish) to 135(ish) over the period of 6 days - Everyone was saying buy in buy in. 6 days later its at $237. Everyone on the forums were holding and it was the market makers who made the money. Within 1 week, that $237 number was $75!
The BTC is still very volatile. You might be able to throw a bunch of money at it and make a few bucks, but realistically, you'll lose it.
IMHO - I agree we're at the top of a bubble right now, but I highly doubt you'll see the sell off that we saw back in april, or anywhere near it. I think it will level off around $140 and sit there +/- 10% for a few months before moving north again.
Here's my thesis as to why the coin has increased in value so quickly as of late: On 10/16 the difficulty level (chances of finding a block) almost doubled due to the increase in asic miners. This means if I were making $70/day mining, that 46% difficulty level increase has me making $40/day now. This means a LOT of the smaller fish with low hash rates are under water. Look at ebay, there's TONS for sale. Butterfly Labs for example. These people waited nearly a year to get the device and now they're selling it at a premium.
Why? Because it costs miners around $2k - $10k to stay in the game at this point. The difficulty level may have gone up 46% on the 16th, but I estimate it going up 70% in the next 10 days just due to the ENORMOUS spike in computational power over the past few days.
Too much rambling on my part. If it hits $120, buy it. Otherwise, wait.