Bitcoin Surges Past $400
There is nothing that can guarantee that this ride is real, but here are a few things:<p>1. However big is MMM, it's probably too small for the size of the bitcoin economy right now. Remember that if you are transacting in bitcoin, there is one party buying and the other one selling. So you are not rising the price to the moon.<p>2. The number of transactions has been growing again as of late. It's heating at the blockchain right now ( <a href="https://blockchain.info/charts/n-transactions" rel="nofollow">https://blockchain.info/charts/n-transactions</a> ). With 1MB, bitcoin can support less than 300k transactions a day.<p>3. The total output volume is jumping to crazy levels ( <a href="https://blockchain.info/charts/output-volume?timespan=all&showDataPoints=false&daysAverageString=1&show_header=true&scale=0&address=" rel="nofollow">https://blockchain.info/charts/output-volume?timespan=all&sh...</a> ) only seen in bubbles.<p>4. I have a localbitcoins post. I usually get 1-2 requests per week. In the last few days, well, I really lost count.<p>5. Google trends is spiking: <a href="https://www.google.com/trends/explore#q=bitcoin" rel="nofollow">https://www.google.com/trends/explore#q=bitcoin</a> But maybe this is happening because bitcoin price is rising, not the other way around?<p>6. If the price is rising fast, the supply will dry because nobody wants to sell an appreciating asset. If an asset is appreciating, it'll drive demand. Which will drive the price higher.<p>7. Media will start talking about it. It'll drive more people. It'll drive the price more.<p>8. We'll see if the new fancy infrastructure that bitcoin got is rock-solid.<p>9. If you don't own the keys, you don't own the bitcoins.<p>10. It's nice, but only if you bought the dip and sold before the crash.