I love reading about bubbles. It’s the psychological aspect of it that I like the most. Greed and human beings.
Some say that the way the Cyprus bailout handles depositors and the capital controls forced on savers is the cause for this rise in the last month.
Too much people are flocking into Bitcoins out of fear for another Cyprus style bailout and it is starting to make the Bitcoins chart look like an average bubble. Compare these two charts.
Bitcoin price in USD at Mt.Gox:
How an average bubble forms:
My take is that we are pretty much near the end of the parabolic rise. But ofcourse these things can continue longer than most can imagine..