Mainstream media sources are already preparing ‘FUD’ on Bitcoin as prices approach $10,000 Monday.
Quoting analysts warning of an impending bubble bursting and out-of-control investment, outlets such as the UK’s Guardian have continued their hands-off approach to the wildly successful cryptocurrency.
Speaking to the paper, Neil Wilson, a senior analyst at London-based ETX Capital, said that anyone prepared to buy Bitcoin for a higher price was the “greater fool.”
“Rather than a commodity or currency, Bitcoin is like owning stock in a company that will only ever issue 21 mln shares and never pay a penny in dividends,” he said.
“The only way it has value is if the next guy is willing to pay you more for it – the greater fool. With no intrinsic value to Bitcoin, it’s hard to see this as anything other than a giant speculative bubble.”
Bubble-oriented thinking is part of a growing divide in the financial community. In contrast to Wilson, surveys have indicated that fewer people believe a $7,000 Bitcoin is a bubble than a $2,000.