Bitcoin has "aspects of a bubble" but it's almost impossible to know whether it's gone too far, Nobel-winning economist Robert Shiller told CNBC on Monday.
Bitcoin has been on a wild ride this year. It started out the year at $1,000 and soared above $19,000 on the Coinbase exchange last week before dropping. The price on Coinbase, which accounts for a third of bitcoin trading value, is often at a premium over other exchanges.
"It's a contagion. People are getting excited watching other people [invest]," Shiller said in an interview with "Closing Bell."
"Smart people do invest in it but they're careful. They don't do too much," the Yale University professor said. However, for some people their care is "going by the wayside."
Bitcoin was trading at $17,270 on Coinbase at 4:01 p.m. New York time on Monday.
Shiller, who has called bitcoin a "fad," believes it is OK to "play" with the cryptocurrency.
However, "it would be wrong to put a high percentage of your portfolio in it because it may have gone up tenfold already but that's not guaranteed."
Meltem Demirors, director of development at The Digital Currency Group, is bullish on bitcoin long term. "We are just getting started and this financial speculation is fueling the development of infrastructure," she told "Closing Bell."
Demirors sees a "much bigger run coming in 2018 when more products and more instruments come to market."
Bitcoin Had a Strange Week. Does It Matter?
Bitcoin was supposed to kill Western Union — that hasn't happened – Yahoo Finance
all 14 news articlesÂ Â»
Venezuela Blasts 'False' White Paper for Oil-Backed Cryptocurrency
Venezuela's government is pushing back against what it calls "false information" in connection with a purported white paper tied to its planned oil-backed cryptocurrency.
While the South American n
Prominent crypto critic calls bitcoin a ‘bubble’ and says go to Vegas if you want to gamble
Retailer Overstock mixed up bitcoin and bitcoin cash, letting customers buy items at a steep discount
A serious payment glitch on retail website Overstock.com, which sells everything from furniture to diamond rings, allowed customers to pay with either bitcoin or bitcoin cash interchangeably. It's a
OKCoin Eyes Cryptocurrency Exchange Launch in South Korea
Cryptocurrency exchange OKCoin is reportedly moving to launch in South Korea – possibly as soon as next month.
According to The Korea Times, the Beijing-based firm is eyeing a partnership with NHN
Bulgaria Joins 'International Operation' Against OneCoin
The Bulgarian Special Prosecutor's Office is involved in a wide-ranging, international investigation into companies and persons behind the digital currency investment scheme OneCoin, which has been wi
Report: India's Government Sends Tax Notices to Cryptocurrency Traders
India's government has reportedly sent tax notices to cryptocurrency traders and investors following a nationwide survey.
According to Reuters, a survey found that Indian citizens conducted more th