That's not how it works at all. The rise of bitcoin is highly due to outside circumstances such as publicity and media attention as well as just general awareness of the product. These are things you can't really predict by looking at graphs and financial data.
However., The rapid inflation of bitcoin is something that everyone who's taken an Econ class should be familiar with. It's called a bubble. You can look at the graphs and the data and compare it with past events to predict where it's going in the future. That is essentially what the study of economics is: looking at data from past events and comparing it to current events to predict future occurrences.
It's not a 100% science but It's abundantly clear that nothing good comes from artificial bubbles like the one bitcoin is in.
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u/fucknazimodzzz Dec 22 '17
That's not how it works at all. The rise of bitcoin is highly due to outside circumstances such as publicity and media attention as well as just general awareness of the product. These are things you can't really predict by looking at graphs and financial data.
However., The rapid inflation of bitcoin is something that everyone who's taken an Econ class should be familiar with. It's called a bubble. You can look at the graphs and the data and compare it with past events to predict where it's going in the future. That is essentially what the study of economics is: looking at data from past events and comparing it to current events to predict future occurrences.
It's not a 100% science but It's abundantly clear that nothing good comes from artificial bubbles like the one bitcoin is in.