So I've been using Steemit for a while, haven't been planning to post anything yet, but there is something that intrigues me and would like to hear your thoughts on it.
Besides my enthusiasm about blockchain, my humble opinion is that it is important to have a good grasp on the technology you're investing in before you actually make any move. I personally want to read the whitepaper, read few articles, if existing watch longer videos with brief explanations of certain coins before deciding to make any investment (just to get informed, not to predict anything).
I don't have any experience trading till the start of this year, and having that said, I am a total noob, but it should be logical to have some knowledge about the thing you're investing in. At least it gives you a better perspective on what might work and why it might work, and you actually know what are you hoping or working for, instead of just making a bet on the logo or cool newspaper headlines.
I am saying this, because of these last few days, Bitcoin especially, gained massive attention which is great in my opinion and necessary for mass adoption of cryptocurrency in general as it will get more and more trust from the general public. But there is something that got me thinking.
Just these few days as it got attention I started getting questions from people, that I know aren't even being interested in technology at all, but suddenly they started investing in something that they don't have an understanding of, or what cryptocurrency or blockchain even means (differences). They've just been jumping on bandwagon hyped by the mass media without knowing the story or technology behind that.
Can this kind of behavior be a sign of cryptocurrencies being in a bubble? There are people coming at me that I know of, and I see they don't have any understanding of the technology or interest in it whatsoever, especially blockchain and technology behind cryptocurrencies, investing in it blindly just to make money, not to support the technology that will become our future eventually. I don't say you need to be an expert in this field to invest but at least be aware of the potential and what this actually is.
People on some ATM locations waiting in line to buy bitcoin, like its free donuts or something. Is this kind of behavior that can be associated with something being in a bubble, waiting for it to burst anytime soon? Some people compare it to dot-com, I don't know as I was very young during that era. I am not making any statement of it being a bubble, just curious about can this behavior be any indication of that and if it is normal.