Bitcoin mania: Join the rush or beware the bubble? When the Wall Street Journal runs a headline that reads Bitcoin: Even Grandma Wants In On The Action, you’re simply compelled to find out more about the stand-out cryptocurrency that is grabbing all the attention. For months now, Bitcoin’s rapid price swings have been prompting volatility-starved investors to join the biggest speculative boom since the dotcom fever in the 1990s. In the space of 24 hours this week, Bitcoin rallied to an all-time high of $11,434 before sinking as much as 21% to $9,009, having started 2017 at $968.23, according research site CoinDesk. The temptation to join the rush is tempered by the fear that its value is being driven purely on speculation and that the bubble is about to burst. Then John McAfee – founder of the eponymously named software – doubled down on his previous prediction and claimed this week: “I’ll eat my own d**k on national TV if Bitcoin doesn’t surpass $1 million by 2020.” More and more investors have chosen to set aside Bitcoin’s questionable past, for instance its use by criminal elements, and focused on the potential that it could replace gold as an investment to hold when faith ebbs in fiat currencies. “We now have millions of active users,” said Peter Smith, chief executive of Bitcoin services firm Blockchain.info. “We didn’t have a million last year.” CME Group Inc., the world’s biggest exchange group, and Goldman Sachs Group Inc. are helping to pull Bitcoin from the financial periphery by exploring products based on the virtual currency. Next month CME is expected to launch a futures contract based on Bitcoin. They’ve witnessed the increasing number of investors and traders being drawn by Bitcoin’s volatility in a market where stocks and bonds have produced modest gains. Even technology stocks, which have rallied sharply this year, can’t compete with Bitcoin which has jumped 10-fold. However, Bitcoin’s growth has also attracted critics like J.P. Morgan Chase & Co. CEO James Dimon and Berkshire Hathaway Chairman Warren Buffett, who have argued that governments likely will ultimately crack down, crushing Bitcoin’s price. For more detail : Bitcoin mania: Join the rush or beware the bubble?