As I technician I don’t recall seeing a chart similar to the chart above that did not subsequently correct or collapse in a stunning fashion. Let’s review the latest on the cryptocurrency…..

Bitcoin passed $8,000 as institutional money inches closer to cryptocurrency markets

One indicator is the increasing popularity of bitcoin futures. Over the weekend, the first year-long contract for the price of bitcoin was agreed by traders on the LedgerX platform, an issuer of derivatives regulated in the US. The contract is an option to buy bitcoin at $10,000 by Dec. 28, 2018.

Great. More leverage and speculation is being added into the mix. What can possibly go wrong.

The Currency Of The Apocalypse’? Doomsday Preppers Flock To Bitcoin As It Surges Past $8000

“Not too long ago, people in the prepper community were actively warning against crypto, and now they’re all investing in it,” said Tom Martin, a truck driver from Washington who runs a social-media website for people interested in learning skills to survive disaster. “As long as the grid stays up, people will keep using bitcoin.”

As Forest Gump used to say “Stupid is as stupid does”. You would figure the last place these Doomsday Preppers would want to invest in is Bitcoin. It is hard to imagine that the grid would stay up and the value of Bitcoin doesn’t go to zero in case of an EMP on Nuclear strike. Good luck exchanging your digital coins for carrots then.

Jim Rogers says bitcoin ‘looks and smells’ like all other investment bubbles

Bitcoin has performed amazingly well, so it’s tempting to buy. Don’t bother, says Rogers. “It looks and smells like all the bubbles I have seen throughout history.” True, bubbly assets can continue to march higher than any rational person imagines possible. So there could be further gains. But messing around with bubbles is risky. Better to just stay away. “I have missed it, whatever it is,” Rogers says.

Mr.Rogers is dead on, about “whatever it is”.  We continue to maintain that Bitcoin has no real value. Yes, we are aware of all the arguments for and against it, yet the currency is only worth what the next person is willing to pay for it. Or in this case, what the next fool is willing to pay for it.

And while this insanity might go on for a few more years, history will not be kind to Bitcoin and its investors.