debate Has the bubble burst ?

[geek80]

Well these are the auctions results yesterday at 4.cn for the so called "CHIPS" .

xnmq.com - 1573 USD
zlhq.com - 1542 USD
qfnq.com - 1631 USD

So has the bubble burst or Am I totally wrong?

Welcome your views on this.

 

[Kevin A]

I really want $600. I won't say exactly what I paid but that would give me a tidy profit means I bought at what seems to have been a high point, and over paid even then. Though it bothers me to have the money tied up so long, I don't need it so I can wait it out. Not that I'm unwilling to take a loss just not willing to yet. Funny, When I stepped away so called Chips were $35 bottom barrel junk. What a difference 7 years or so can make. Though I must admit it's good to be back.

 

[Kevin A]

On second thought it looks like I really stepped out around mid 2014.looking through old posts. Found a relevant one here. From late August 2014

I would urge everyone to hold on to non-prem llll as long as possible, say it loses all its value big deal you lost 25 bucks, but there is a good chance in 5 years from now these will fetch 2K+ even if its a meaningless LLLL

As lll prices keep climbing and less being available llll will rise, it will take a while but it will happen, look what happened to nnnn now vs nnnn 4 years ago.

Also keep in mind, what seems like a meaningless llll to someone might not be so meaningless to someone else.

Take your LLLL's place them on sedo, afternic/gd with make offer set, but wait it out.

 

[Prometheus]

Interesting article about real estate bubble in China:
http://www.reuters.com/article/us-china-economy-property-idUSKCN0W6001

From 2005 to 2011, property prices in China soared, buoyed by ready credit, migration into the cities, and government stimulus measures after the global financial crisis. As developers poured money into new builds and unrelated companies set up property arms, residential housing development as a share of economic output tripled in a decade, until government measures to cool the market ended the frenzy.

 

[betthelot]

No asset or stock, raises in a straight line. It depends on your investing strategy. Short term investing you are subject to volatility, long term investing you are looking more at trends, over at least a year plus and therefore it looks less like a burst and more of a normal correction, that all assets experience.

 

[Kevin A]

No asset or stock, raises in a straight line. It depends on your investing strategy. Short term investing you are subject to volatility, long term investing you are looking more at trends, over at least a year plus and therefore it looks less like a burst and more of a normal correction, that all assets experience.

Great point!

 

[martworld]

What we aren't realizing is the fact that domain names are just like a stock market. One day they go up and next day they can fall ,depending upon demand and supply. For example, if one stock goes down on a particular day, it does not mean that it has lost its value, all it means that the demand for that stock was low on that day so it went down. Same thing applies to domains.

What is happening here the so called "profit booking". Its all natural. People are booking profits so supply is high and demand is low. Hence, fall in prices.

But its also a great chance to buy them at low price.

 

[geek80]

Very interesting and different view points.

 

[900Worldwide]

Seems like the time to start buying in while the prices are dropping assuming price will increase over time.. Four letter domains are definitely under valued imo.

 

[namerav]

Seems like the time to start buying in while the prices are dropping assuming price will increase over time.. Four letter domains are definitely under valued imo.

Agree.

 

[martworld]

It is definitely the time to buy. We wont see these prices for long and they are surely gonna go up from here. So we should be in Buying mode and try to grab as many as our pocket allows.

 

[accent]

At the end of February, LLLLL.com regs were burning $2 Million PER WEEK. That sure looks bullish to me for LLLL.com in the mid-long term. Short Com letter domains are better regarded as segments of a single market. Renewal cost aside they will move in tandem.

 

[hugegrowth]

Imagine the poor end user these days trying to hand reg a short domain name, and not being able to find anything.

Market has definitely pulled back a bit, but as time goes on domains slowly get used and taken by end users, and I think more domain investors will be showing up all the time. It's not like LLLL.com are going back to the $25 level again, there has been a shift up in the past year and right now we're just bouncing around. For Chips, there will probably be more pickiness in terms of what the exact letters and numbers are in the domains, what the pattern is, with the best continuing to be in demand and getting higher prices.

 

[wwwweb]

Imagine the poor end user these days trying to hand reg a short domain name, and not being able to find anything.

Market has definitely pulled back a bit, but as time goes on domains slowly get used and taken by end users, and I think more domain investors will be showing up all the time. It's not like LLLL.com are going back to the $25 level again, there has been a shift up in the past year and right now we're just bouncing around. For Chips, there will probably be more pickiness in terms of what the exact letters and numbers are in the domains, what the pattern is, with the best continuing to be in demand and getting higher prices.

As stated above many times end users were not willing to pay the 4L price, and would go get a hand reg 5L, without alot of that inventory now sitting reserved, it makes it much more difficult to get anything decent in 5L.com. If you guys have any decent 5L in your portfolios, I would suggest reviewing, and increasing the price.

 

[Asfas1000]

If you guys have any decent 5L in your portfolios, I would suggest reviewing, and increasing the price.

How do you define "decent" with regard to LLLLL.com ?

 

[brindle123]

I don't think they or anybody really wants the bubble to pop. If LLLL.com prices come down too far, that will kill their LLLL buyouts in all the other extensions that got bought up.

I would think the registries would step in and start buying LLLL.com's just to keep LLLL sales up in all the other extensions. I think of it like a stock buy back program. The registries are actually buying up portfolios, so I think will see this happen if things go south.

 

[Keith DeBoer]

The CHIP market seems to parallel the Chinese stock market only they go opposite each other. Chinese stocks have been rallying hard since early Feb so CHIP prices are soft to low.

 

[dbustin]

I dont get the speculation on 5L... how can 5L chips go up in worth while chips across every tld are going down? Would it not be obvious that all chips are on a bit of a drop? I dont get how 5L would be the next obvious thing to invest in, if anything i would say anything but chips has a chance for growth while chinese investors figure out their next trend...

Anyways, it is interesting what @Keith DeBoer said about the stock market though, if that holds true we know what to do next time it takes a spill.

 

[ninjadomain]

All recent auctions I've been in have been reaching or exceeding past market value.

 

[wwwweb]

I dont get the speculation on 5L... how can 5L chips go up in worth while chips across every tld are going down? Would it not be obvious that all chips are on a bit of a drop? I dont get how 5L would be the next obvious thing to invest in, if anything i would say anything but chips has a chance for growth while chinese investors figure out their next trend...

Anyways, it is interesting what @Keith DeBoer said about the stock market though, if that holds true we know what to do next time it takes a spill.

You are talking about 5L.com chips going from reg fee to $20, $50, $100 they are speculative because people feel they have the ability to make a larger % return, as opposed to say something like a 4L.com where you might make 20-25% return if you time it well.

So for that reason, it is much like penny stocks, get some good PR, and volume, and the pennies add up.

 

[brindle123]

5L has to be pronounceable to make any sense to me.

At least 4L can still be acronyms. I don't think any company would use 5L as an acronym.

Fchips

I meant to say fish Chips

 

[Keith DeBoer]

My stock market theory: If the Chinese stock mkt runs opposite to domain prices then a short against the Chinese stock market should run parallel to the CHIP mkt. To illustrate this here are the two charts......... notice the similar shapes in the charts of the 4L.com CHIP prices and a double short Chinese stock market ETF. Both charts show the period from May 2015 to the present. They are not the same but there is a similarity to my eye. What do you think?

 

[vickyhunter]

First sale of 03/11/2016 reported on Chaomi.

Whdz.com - 16000 RMB

Will we have a bounce back soon?

-V

 

[ksusha64]

Guys stop with this panic. Some names are higher than before. You need to check all categories.

 

[heavend]

Guys stop with this panic. Some names are higher than before. You need to check all categories.

the title is very panicky - specially for people who invested a lot of $ into LLLL.coms
I am one of those people who bought on the high end so I imagine (hope) it will even out with time and start going in the right direction - as it always does... it just may take a few years.

and it's not like you are going to let something expire that you spent $2,500 on so I dont' see the reason to panic.

 

[wwwweb]

the title is very panicky - specially for people who invested a lot of $ into LLLL.coms
I am one of those people who bought on the high end so I imagine (hope) it will even out with time and start going in the right direction - as it always does... it just may take a few years.

and it's not like you are going to let something expire that you spent $2,500 on so I dont' see the reason to panic.

Well compared to a few months ago people are more focused on letter quality, and meaning whereas back around the new year anything less a e I o u or v, was pretty well being priced as a general category price. Multiple similar letters were bringing in more as they should, but now lnrpq have been given a black eye also, so they have become tier 2 somewhat, and will not bounce back like the new tier 1 class.