The Chinese Painting 400 Index gained more than 700% from 2000 to 2011. Herding behavior and positive feedback among the art investors are very likely the cause to drive such high gains as there are many speculators in Chinese painting markets. Positive feedback and herding among speculative investors can produce runaways until the deviation from equilibrium is so large that the market is unstable and has a high probability to crash. We successfully predicted its crash in 2012 using the log-periodic power law model. We investigate the reasons behind the bubble crashes using insights from economics and psychology. <<