I experienced the burst of the bubble in 2018 (end of 2017 was the peak) myself. A lot of the things happening at the moment are reminding me of those days. I also read whitepapers back then, invested some play money in different ICOs, did day-trading etc. Overall, I would have been better if I just held on to BTC / ETH / XRP.
It’s hard to give an outlook, and I guess nobody of us is really having a crystal ball. I think what we see is an asset inflation, people working from home, some people getting money from the government and trying to get rich quick.
As you rightfully said: 99% of the people are in to look for a quick profit. And if influential people like Elon Musk are twittering some sh*t, it has a huge effect on the prices of BTC and other cryptocurrencies.
BTC might(big might!!!) have a value as an asset in the future, but that’s not given. The only thing here is the scarcity. But if scarcity alone would guarantee anything, nobody would ever sell a BTC.
From a technical point of view, most of the cryptocurrencies are flawed. Also blockchain technology itself is not the cure for everything: it’s used as a system where party A does not trust party B and still wants to trade with him/her.
I expect another bigger downturn like in 2018, and then maybe one/two/three years of staying at a low level. Let’s be honest: who of all the “crypto experts” in this forum / YouTube actually bought cryptos back in 2019 or March 2020.
If we see a downturn in the stock market, crypto market will most probably also go down. Forget about the technological side of decentral exchange, being better than FIAT money etc. People still pay in USD, CHF or EUR. So you still need to exchange your cryptos into “normal” money. Unless that changes (and I don’t see that coming soon - if so, governments would forbid independent cryptos) the technical features are just nice to have.
Just my 2 cents
PS: I still hold cryptos, but I bought it back in 2017/2018 and a little bit in 2019 (unfortunately not enough)