A noble prize-winning economist, Robert Shiller referred to bitcoin as a “sort of bubble,” but this does not imply that it will burst.
Receiving his Nobel Prize in Economics for his work in “Trending In Asset Markets”, in 2013, Shiller expressed his comments in an interview.
Following the increase in bitcoin value of 15.94% from $6,900 to $8,000, Shiller made his comments. There was a price increase of $1,100 in a space of 30 minutes as there was a significant increase in buy volumes.
According to Shiller, “it may be with us for a while.” He went on to state that “to me, it’s another example of faddish human behavior.”
Furthermore, he added, “but it’s a story that I think goes ways beyond the merit of the idea.” For him, the craze about bitcoin by people is more psychological than what can be easily explained.
“I think that part of it is political,” he said, noting that it’s an area that economists tend to neglect. “There’s a big element of people who don’t trust the government anymore, and they like the idea that this didn’t come from the government. It came from some really smart computer scientists.”
“It’s a great story for today’s markets,” he said.
Shiller’s comments are in line with what he stated in the past. Back in 2014, he referred to bitcoin as an “inspiration” as a result of computer science, however as a currency, he likes it “to the dark ages.”