The rise and fall of prices

[zerolu]

What determines the prices of certain domains?? yes i know a buyout will determine the price of a domain but lets say what determines the crapiest LLLL.com to be sellin at $55 3 months ago and now at $30 can someone explains this?? any iguess another question is when do you think the prices these will start rising!

 

[-REECE-]

Excessive hype and too many people thinking greedily about when the next price increase will occur. Market timing is a foolish game to even try and play... Even with years of experience you'll make costly mistakes trying to time the market. Too many newcomers thinking LLLL.coms were going to hit $300+ inside of a year is what caused the extreme price increase in the first place -- unrealistic expectations. Prices are considerably more stable now than they were 3 months ago now -- hype has turned into understanding.

What determines the prices of certain domains?? yes i know a buyout will determine the price of a domain but lets say what determines the crapiest LLLL.com to be sellin at $55 3 months ago and now at $30 can someone explains this?? any iguess another question is when do you think the prices these will start rising!

 

[zerolu]

thanks reece, do u think these prices will pick up again?? anytime soon?

 

[-REECE-]

I don't think they'll go up anytime soon and if I did, I probably wouldn't tell anyone anyway. Nothing is worse for a market than pump + dump. I'd rather have a deflated LLLL.com market as is now than everyone preaching the Second Coming of Christ -- at least as is I know what constitutes a good deal and what doesn't -- hard as hell to figure that out when prices are going up and down like a roller coaster mixed in with all the emotions of people making and losing thousands each week

 

[zerolu]

very true i wouldnt tell anyone either, hey good luck with bqb imma try to join once i have a lil more than 50 domain i barely have 51 thanks for the great info bud

 

[Spade]

Prices, in the case your reffering to our completely speculative. Many domain investors bought out huge quantities of names, and so many people bought into the hype, as Reece pointed out that domains were trading at inflated pricing.

Other then that, its typically based on what the market will give. More money continues to come into this industry, thus creating more demand for supplies that will never increase. Just basic economics at that point.

Justin