I don't see Bitcoin itself as "irrational exuberance" at all, in fact quite the opposite. It's attempting to solve a real world problem.
A lot of people I've heard promoting Bitcoin (n.b. these are not analysts) gloss over or outright ignore the more pressing real world problem of being able to spend it on the things you want/need. The solution I hear most often is "convert it to USD."
It looks like we're left with two possible outcomes. Either adoption grows large enough soon enough that converting to USD (or another currency) is no longer a necessary step in using BTC for most transaction, or people get bored/tired of waiting for that time to come and decide to cash out. The latter is the proposed bubble pop scenario, where people decide that they would much rather have some currency other than BTC, and are progressively willing to trade their BTC for less and less other currency. As for its implications, I'm not too worried. I'd expect the worst thing that could come out of it would be increased difficulty in getting similar projects to succeed in the future.
A lot of people I've heard promoting Bitcoin (n.b. these are not analysts) gloss over or outright ignore the more pressing real world problem of being able to spend it on the things you want/need. The solution I hear most often is "convert it to USD."
It looks like we're left with two possible outcomes. Either adoption grows large enough soon enough that converting to USD (or another currency) is no longer a necessary step in using BTC for most transaction, or people get bored/tired of waiting for that time to come and decide to cash out. The latter is the proposed bubble pop scenario, where people decide that they would much rather have some currency other than BTC, and are progressively willing to trade their BTC for less and less other currency. As for its implications, I'm not too worried. I'd expect the worst thing that could come out of it would be increased difficulty in getting similar projects to succeed in the future.