Bitcoins/Litecoins/Virtual Currencies

  • Guest, it's time once again for the hotly contested and exciting FoH Asshat Tournament!



    Go here and fill out your bracket!
    Who's been the biggest Asshat in the last year? Once again, only you can decide!

Mist

Eeyore Enthusiast
<Gold Donor>
30,275
22,008
If you miraculously bought at the low, I'd sell. Otherwise, you didn't make any money yet, so hodl.
 

reavor

I'm With HER ♀
<Bronze Donator>
4,730
16,368
Merge came and went without a hitch. market went buy the rumor sell the news, and now lets see what happens after.

 

Flobee

Vyemm Raider
2,579
2,973
Well after 5 years of development, I stand corrected. They did in fact manage to deliver 1/5th of their original ETH 2.0 promise. They successfully changed the consensus algorithm so that the largest stakeholders of ETH now control the network without delivering any of the promised performance improvements.

Let the coordinated attacks on Proof of Work and Bitcoin begin in earnest now. I expect legislation attacking BTC mining within 12 months.


Seriously though, their "merge" is apparently going to finally happen so I expect this run up is a buy the rumor sell the news situation. I'm still not convinced they'll do their merge, even though its a significantly pared down version of the original ETH 2.0 plan.

You see... ETH 2.0 has now been broken into 5 seperate parts starting with the "Merge". You can find the names of these stages below

• The Merge
• The Surge
• The Verge
• The Purge
• The Splurge

Lol, yea that's real. That's why its pumping because they can now apparently deliver 1/5th of their ETH 2.0 promise. By the way, it doesn't solve scaling issues just changes consensus to Proof of Stake. Oh yea... all that current ETH 2.0 thats locked up on the PoS chain is going to unlock so a dump is almost guaranteed IMO. People are ignorant, so price may keep going up over time, but the "Purge" is literally deleting historical data on chain, which defeats the entire purpose of a blockchain. Stupid...



Total ETH staked 13.7M
10M ETH in known providers --> 73%
8.13M in Top 4 --> 59.3%
4.17M in Lido
1.92M in Coinbase
1.14M in Kraken
0.9M in Binance
1663244787348.png
 
Last edited:

Break

Silver Baronet of the Realm
4,187
11,651
Merge came and went without a hitch. market went buy the rumor sell the news, and now lets see what happens after.

I was expecting ETH to rally on the news, but it seems to have dropped relative to Bitcoin a bit.
 

Arden

Blackwing Lair Raider
2,632
1,925
I was expecting ETH to rally on the news, but it seems to have dropped relative to Bitcoin a bit.

The big benefit to the merge (from an investment standpoint) is that this opens the door for a lot of institutional investors who were hesitant to back a PoW coin due to environmental concerns to start putting money into ETH. I think we will definitely will see ETH get a flood of new investments because of this, but it shouldn't surprise anyone it won't happen overnight. Institutional investors aren't stupid and they aren't in a hurry. They'll wait and make sure that there aren't any fatal flaws that have yet to emerge due to the change over. Plus, just because this is great news for ETH, doesn't mean it's a great time to invest in crypto. When the investments do come, this means a lot more of them will be going into ETH.
 
Last edited:

Creslin

Trakanon Raider
2,371
1,072
Not enough clever people left to ochestrate the pump and dumps is the way that basically reads. Zero push to improve fundamentals all about selling narrative.
 

Furry

WoW Office
<Gold Donor>
19,280
24,169
The sea of retardation when it comes to humanity is infinite, even for smart people. There's no lack of people. There's lack of will if there's a lack of anything.
 
  • 1Like
Reactions: 1 user

Arden

Blackwing Lair Raider
2,632
1,925
VB clearly does not give a shit about the money and I think there are a few others, but that's about it.
 
  • 1Worf
Reactions: 1 user

Asshat wormie

2023 Asshat Award Winner
<Gold Donor>
16,820
30,963
One of the main selling points was the hedge against inflation claim. That was obviously bullshit and so demand isnt there anymore.
 
  • 2Like
Reactions: 1 users

Flobee

Vyemm Raider
2,579
2,973
One of the main selling points was the hedge against inflation claim. That was obviously bullshit and so demand isnt there anymore.
Hedge against monetary inflation, not CPI. CPI is a lagging indicator. Bitcoin did exactly what it was supposed to do, people just look at the wrong timeframe. They print trillions and it went from ~6k to ~20k now. Working as intended
 

Asshat wormie

2023 Asshat Award Winner
<Gold Donor>
16,820
30,963
Hedge against monetary inflation, not CPI. CPI is a lagging indicator. Bitcoin did exactly what it was supposed to do, people just look at the wrong timeframe. They print trillions and it went from ~6k to ~20k now. Working as intended
Uh huh
 

Flobee

Vyemm Raider
2,579
2,973
CARES Act, is a $2.2 trillion economic stimulus bill passed by the 116th U.S. Congress and signed into law by President Donald Trump on March 27, 2020
1663367797805.png


Any other assets sustain a 3x+ appreciation since they started printing trillions? Lets check our traditional inflation hedges:
Bonds - nope
1663367919997.png


Gold - nope
1663367977431.png


S&P - nope, certainly the closest though
1663368023128.png


Saying that Bitcoin failed as an inflation hedge is a poor argument. Government printed money via CARES, PPP, etc and risk assets reacted. Bitcoin reacted the fastest, was the most volatile, and had the best return... even after falling 71%. Nobody bought Bitcoin when the printing started, held it, and came out a loser due to inflation.
 

Asshat wormie

2023 Asshat Award Winner
<Gold Donor>
16,820
30,963
View attachment 433613

Any other assets sustain a 3x+ appreciation since they started printing trillions? Lets check our traditional inflation hedges:
Bonds - nope
View attachment 433616

Gold - nope
View attachment 433617

S&P - nope, certainly the closest though
View attachment 433618

Saying that Bitcoin failed as an inflation hedge is a poor argument. Government printed money via CARES, PPP, etc and risk assets reacted. Bitcoin reacted the fastest, was the most volatile, and had the best return... even after falling 71%. Nobody bought Bitcoin when the printing started, held it, and came out a loser due to inflation.
This is hopium at its finest. If crypto was a hedge against inflation, it would not have cratered when inflation shot up.
 

Mist

Eeyore Enthusiast
<Gold Donor>
30,275
22,008
This is hopium at its finest. If crypto was a hedge against inflation, it would not have cratered when inflation shot up.
Flobee Flobee is actually right here, as much as it pains me to say that.

Bitcoin's price rose as M2 money supply skyrocketed. CPI is a meaningless trailing indicator. The "inflation" happened long before the CPI readings rose, it just took a long time for the expanded M2 money supply to overcome the resistance of price memory. The price of crypto tanked once the government actually committed to stopping printing money (did not commit to stop spending money but that's another story.)

This chart is the only one you need to understand everything that's happened with finance and crypto in the past 2.5ish years:

1663372572609.png
 
  • 1Solidarity
  • 1Like
Reactions: 1 users

Flobee

Vyemm Raider
2,579
2,973
This is hopium at its finest. If crypto was a hedge against inflation, it would not have cratered when inflation shot up.
You're showing a lack of understanding as to the difference between monetary inflation and the consumer price index. The lag between the two can be understood by the Cantillon Effect. Crypto is not a hedge against inflation, because crypto does not have a limited supply. Bitcoin is and does.
Cantillon effect describes the uneven expansion of the amount of money. If a central bank pumps more money into the economy, the resulting increase in prices does not happen evenly. The Austrian economist Friedrich August von Hayek compared this monetary expansion with honey. If you pour honey into a cup, it won’t spread out evenly. It will clump in the middle of the cup first before spreading out.

Same with money: in case of a monetary expansion, the ones who profit from it are the ones who are close to the money. “Close to the money” in this case means everyone who can access the money right at the beginning, i.e. big companies, banks, etc. They get loans and make investments. Prices then start to rise even though the rest of the population has not received any of the new money yet. This part of the population usually is not the one with too much money. Nonetheless, they have to pay the higher prices even though they have not profited from the increase in money at all. And they will never profit from it in the same way as the ones who received the money first. The result is a redistribution from the poor to the rich.
 

Asshat wormie

2023 Asshat Award Winner
<Gold Donor>
16,820
30,963
Flobee Flobee is actually right here, as much as it pains me to say that.

Bitcoin's price rose as M2 money supply skyrocketed. CPI is a meaningless trailing indicator. The "inflation" happened long before the CPI readings rose, it just took a long time for the expanded M2 money supply to overcome the resistance of price memory. The price of crypto tanked once the government actually committed to stopping printing money (did not commit to stop spending money but that's another story.)

This chart is the only one you need to understand everything that's happened with finance and crypto in the past 2.5ish years:

View attachment 433629
The dollar has not gained value since the spending stopped (did it really?). Under your hypothesis crypto should not have gained any value but it should not have lost any either yet it has. Saying bitcoin is a hedge in the face of a drop of 70% is silly.