LogFAQs > #965053001

Just want to point out that crypto isn't technically a bubble. It's really more like a very prolonged Ponzi scheme, that will be perpetuated as long as there are buyers. The problem with such a scheme is that the moment liquidity is disrupted, it collapses. All the magical thinking and jargon in the world doesn't change the fact that even the stability of the blockchain itself depends on speculation. If a currency is devalued enough, it's no longer worth mining, which decreases liquidity, which causes a sell off.

The reason cryptocurrencies often have weird cult-like followings is because they need people willing to buy huge amounts of coins whenever the price drops, which promotes the false idea that buying low makes you fortune. It can, as long as you're not the last person in the scheme.