American scientist, the author of the popular books on Economics and Nobel laureate in Economics Robert Shiller said in an interview with Bloomberg on June 26 that bitcoin is not so much an economic phenomenon as “social movement”, which spread due to “the participants’ age and geographic factors”.
According to Shiller, Stirling Professor of Economics at Yale University, “the demographics of bitcoin” refers to the fact that his popularity cannot be interpreted solely as “a rational reaction to new information”:
On the East coast bitcoin was less common than in the West. But in Silicon valley bitcoin mega… It’s a social movement. It’s an epidemic of enthusiasm. Yes, it’s a speculative bubble that does not mean that this bubble will burst.
While agreeing that the growing cryptocurrency sector is “impressive cryptographic theory”, created by scientists-computer scientists, Schiller nevertheless noticed that cryptocurrency innovations result in inadequate attention from the public. In his opinion, the reason for this “rush of investors” seeking to get rich quick:
Do you know what’s going on inside your laptop? There are a million interesting stories about the ingenious engineering solutions and devices… but we don’t hear because they weren’t part of the bubble.
However, according to Schiller, the status bubble does not affect the ability of cryptocurrency “reborn” after the bubble bursts. Speaking about the decline in bitcoin prices by 87% in November 2013, and the subsequent price hikes, Schiller not without sarcasm has noticed that “the tulips are still in price: Yes very expensive bulbs”. Accordingly, the status of “a unique social phenomenon”, which is also inherent in bitcoin, giving him sufficient chances of revival are contrary to any analogy with speculative bubbles of the past.
Indeed, despite repeated statements of critics about the “death” of bitcoin, but it has been recovering after the crisis, like many other cryptocurrencies.