Bitcoin Increase Enough

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Bitcoin price has gone up lately, which is a good thing.  It could go up more.  That is a bad thing.

At first glance, that appears good, but you can have too much of a good thing.  Sure, you can sell your highly priced Bitcoin for a good bit of currency, but then again you won't know when the up movement will stop, and you might hold onto it.  When it stops, it might plunge down, and you might get less than if you just sold it now.  

Point is, there is an amount that Bitcoin naturally should go up right now, after which one has to wait a little while for the next upward tick.  If it goes up to much at once time, it becomes overpriced, and sooner or later has to come down to correct.  The more the price goes up, the greater the correction.  

Considering that one of the primary objections to bitcoin is volatility, the high and low is not a good thing.  Better for bitcoin holders to a sense of knowing that Bitcoin retains a modest value- an effect the recent upswing has certainly achieved (Bitcoin is NOT dying)- than to have a momentary sense of exceptional value, followed by a sense of disappointment about a properly priced commodity.  

Of course, we don't know exactly where the correct price is... but gut feel says we are not that far from it... and the hopes for the $1,000 bitcoin actually anticipate a weakening bitcoin.  

Those who make their living buying and selling commodities try to hype movements in market value, but those who use Bitcoin for value should feel pretty comfortable now.



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