On the off chance you haven't noticed. The price of Bitcoin has been increasing recently and rather volatility in the last 24 hours.
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| Captured Index November 5th 2015 (not live) |
The digital currency has risen from the mid 200's to mid-to-upper 300's in the last 7 days and in the last 24 hours has hit a peak of $503.33 and a low around $365.
This most likely delighted many day traders, frightened most of the late or recent adopters, and has further bewildered analysts who have resorted to blind jabs into thin air to explain the recent market activity.
This most likely delighted many day traders, frightened most of the late or recent adopters, and has further bewildered analysts who have resorted to blind jabs into thin air to explain the recent market activity.
Puzzled Analyst
One shot in the dark to explain the market price activity involves a website service called MMM.
The Financial Time's (regurgitated by CNBC) has made a claim that a website tagged MMM might be responsible for the price increase.
The Financial Times' Alphaville blog wrote Wednesday that MMM's increasing popularity in China is behind the digital currency's sharp rise (which, as CNBC noted earlier this week, is on the back of high Chinese exchange volumes).
Whereas just about anything at all potentially has "something" to do with the price of any commodity or currency, the idea of MMM having a dominant factor in a 70% increase is just silly. Even deliberate market manipulation makes more sense (a practice getting increasingly more difficult given a current 7 billion dollar market cap).
Personally, I would be insulted if I lived in China and read the article given the fact that you'd have to be an idiot to invest in MMM. Why? Because MMM is a known SCAM and PONZI scheme.
Note I didn't say PONZI-GARZA. It doesn't suck that badly. Just to clarify, MMM flat out admits they are a Ponzi scheme on their website. They tell you right up front, as opposed to a Ponzi-Garza where deceit is used to perpetrate the scam.
The Idiot Shortage
Sure, there are plenty of idiots in China. There are are plenty of idiots in the United States. There are are plenty of idiots in Australia, the UK, Japan, and every other country on Earth. Where there are humans, there are idiots. That's just the way it is. Nothing against idiots, they have their place in global society. Mostly serving as examples of exactly what not to do, but a place nonetheless.
There are not, however, enough idiots in China, or on earth really, to all globally unite in an instantaneously and single handily invest in a known and obvious Ponzi scheme to the point of dominating a price fluctuation like the one we have seen recently.
Let's think about that global (or even just in China) organization of unified purpose for a minute. Look at the source material of which this would be individually based on (the idiots). Enough said.
The MMM Scam
As the Financial Times and CNBC articles point out. MMM is a scam.
This is nothing new and everyone has been well informed from it being reported initially by Cointelegraph and dozens of other news outlets (including here on dinbits). BTCC CEO Bobby Lee in China even issued a warning about the scam back in October.
So unless you are an idiot with no internet access who can't read, you know better than to involve yourself with MMM already.
It All Adds Up
So what does this all add up to? Nothing. There are many factors contributing to the recent market price, and MMM may well be a small portion of it just like the other 1500 Ponzi scams that involve Bitcoin out there also contribute.
That's the other thing, this MM scam is nothing new. With one MMM exposed, there's a hundred MMM-esque scams that go undetected. I could likely rattle of 50 of them off the top of my head right now.
Kipi for example likely influences the market more than MMM and we've known it to be questionable for most of 2015. Although note that Kipi claims that it is not a Ponzi and by way of explanation on its website and reports from its user base, technically it would not be a Ponzi. It would be more more synonymous with a stokvel.
I suppose you can't be too critical of the reports from Financial Time's and CNBC, after all, the analysts have to say something. It's what they do.
However, sometimes the most appropriate thing to say ... is nothing at all.
Article by dinbits
Image by dinbits staff (original photo by Nasa)
Dinbits Index capture by dinbits.com
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