Mainstream Media Maintains $24,000 Bitcoin "Is a Massive Bubble"

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Two remarkable media appearances this week when it comes to Bitcoin (which has just hit a new all-time-high of $24,000). Both from classic media institutions which would be considered as part of the MSM (or Mainstream Media if you will). Bloomberg television and the Financial Times called Bitcoin “a bubble” and “a Ponzi scheme”. You of course need to make up your own mind, but we must admit it’s quite fun seeing them freak out the way they do.

Bloomberg

First up is David Rosenberg, the Canadian economist who clearly was annoyed when Bloomberg presenter Tom Keene asked him about the possible future price level of Bitcoin. The President and Chief Economist of the Toronto-based Rosenberg Research responded that:

Bitcoin is a massive bubble. The one thing we know about gold, we know the supply curve of gold with certainty. We don’t know the future supply curve of Bitcoin, people think they know but they don’t really know.

He furthermore criticized the fact that:

You speak to most people that are asking me to put money in Bitcoin, they can’t even tell you who the person was that developed it or even how it’s actually mined, so it is a bubble to herd extremely crowded trade.

To the moon

Second up this week for sharing their disbelief is the Financial Times, the British business newspaper with a long history. Given their close standing to bankers their fear of Bitcoin and all things crypto is not too surprising but this week’s article was a tad exaggerated still. The FT, in an opinion piece entitled Bitcoin goes to the moon (well, at least they know the lingo of the cryptosphere), stated that:

We often get accused of only reporting on the bitcoin price when it goes down. And while that’s not entirely fair, we will admit that it mostly is. So sue us. There’s just something about a massive Ponzi scheme being sold to unsuspecting consumers as the “democratisation of finance” that irks us a little.

The many comments underneath the article show that at least part of the Financial Times readership is ready to accept Bitcoin though, with one of them even stating that:

This is the dumbest, most bias article by the FT I have had the misfortune to read. Nothing wrong with being against Bitcoin, but at least attempt to educate yourself on its true value and potential.

2021 is going to be quite fun whether Bitcoin crashes or continues its current trajectory. The former will bring smug reactions from mainstream media, the second should see them turn around (at some point).