Look at streetwear. If a company stops making a shoe, the resell value typically rises. Why is this different?
@realcaseyrollins
Cecause crypto currency does work on something I like to call "trading card" model.
When you are in school, you collected pokemon cards. Your friend had a Charrizard. He bought it fot 100 dollars. You buy it from him at 120 dollars. He made 20 dollars.
Now, you get out of school, and noone cares about pokemon. Congratulation, you have a peaxe of paper worth pennies. But everyone who traded the card before you made money of selling it. The 120 dollars can be devided to exact gains each person made while trading it.
This applies to stocks as well BTW. The price seems to grow forever until you reach a day when noone is willing to buy. Stocks are million times more stable, because people don't understand them.
@realcaseyrollins
But prople don't buy bitcoin because they love that particular hash. They don't even buy bitcoin to trade with. they do because they believed in an infinite growth potencial.
@realcaseyrollins
So, a rich nerd kid left the school. The number of people trading cards decreased and faith in growth of their value decreased as well.