Crypto Bear Robert Shiller: “Bitcoin is a Remarkable Social Phenomenon”

Avi Rosten

Robert Shiller, the Nobel prize winning economist and famous bitcoin bear has made some unusually positive comments about the coin, describing the world’s leading cryptocurrency as a “remarkable social phenomenon.”

Talking today to Bloomberg, the Yale professor although repeating his consistent message that bitcoin is a bubble, tempered his scepticism with some thought-provoking insights. Asked about the strong generational divide in cryptocurrency adoption, Prof. Shiller explained:

“It’s generational and geographic also, the east coast is less into it than the west coast. Sillicon valley is really into it…this to me shows that this is not a rational response to new info…its a social movement its an epidemic of enthusiasm.”

Prof. Robert Shiller

While he repeated his mantra that bitcoin is a “speculative bubble,” he nonetheless was quick to point out:

“that doesn’t mean it will go to zero, speculative bubbles recur, we had a bubble in bitcoin in 2013 and it looked like it was done - it fell from 1000 to 200, but look it comes back.”

Prof. Robert Shiller

Bitcoin Bears and Bulls

While Shiller has consistently stuck to his bearish outlook for bitcoin along with other sceptics such as economist Nouriel Roubini, sentiment among prominent figures and media remains divided, as the bear market extends into the summer.

With CNBC recently holding a “funeral for bitcoin” after the coin dropped below $6,000 - technical analysts nonetheless remain divided over the outlook for the coin in coming months.

 

Featured Image Credit: "Robert Shiller - World Economic Forum Annual Meeting 2012" by "World Economic Forum" via Flickr; licensed under "CC BY 2.0"