Hello Steemians,
Bitcoin is currently experiencing a massive bull run and at the time of writing the post it currently stands at $3441.57 per bitcoin but how high do you think this price can go ? Million dollar question I can hear someone say lol but I am going to try to answer that million dollar question by comparing Bitcoin to Gold.
Why compare bitcoin to Gold?
Bitcoin is very similar to Gold as they can both be used as a store of value (I can hear a cautious Investor scream "hell no! bitcoin is just a bubble and would be worth nothing in no time" but bitcoin continues to wax stronger and stronger and even wall street is beginning to take notice). So it does make sense to do this comparison to try and find out what bitcoin could be worth
One Bitcoin vs One ounce of Gold
With Gold trading at 1,261 dollars per ounce, One bitcoin is currently worth more than double the price of one ounce of Gold
Supply
According to this source , there are currently about 140,000 tonnes(4,938,355,000 ounces) of gold circulating , of course the supply is infinite, you could be sitting on a huge dump of gold if you live in Australia hehe.
Bitcoin on the other hand has a finite supply of 21,000,000 out of which there are 16,494,162 circulating , out of these coins circulating there is quite a substantial amount of bitcoin lost forever( you know like the mystery of the satoshi coins). See Visualization below:
The Ultimate analysis using current marketcap of both
As bitcoin gets more and more popular and gains more adoption, it would begin to rival Gold in terms of being the ultimate store of value and and also the "go to" investment for hedging. It is only logical( I believe) that the market cap of bitcoin would begin to rival that of Gold. According to this source, the current market cap of gold stands at $7,610,262,924,917 (Hmm that reads 7 trillion, 610 billion,262 million,924 thousand,917 hundred dollars. Phew!) According to coinmarket cap, the market cap of Bitcoin currently stands at $55,182,909,401.
You can see from the chart above, bitcoin market cap is just a tiny fraction of the market cap of Gold. For Bitcoin market cap to match that of gold, it has to grow 13791% , Impossible I hear someone say, maybe but I am going to be modest and assume bitcoin would only grow up to 50% of what the current gold market cap is , that is bitcoin marketcap would have to grow 6895.49% to $3,805,131,462,458.50 ( 3 trillion,805 billion,131 million,462 thousand,458 hundred and 50 cents).
If this ever happens that would put the price of bitcoin at a staggering $181,196.74 per bitcoin assuming all 21 million coins are circulating.
This is majorly an opinion piece but I have tried to pass across a message using easily verifiable data. The opinion comes in the comparisons. Let me know if I am crazy to compare this hehe though a renowned expert has even higher expectations of the price of bitcoin
Source
And he is so sure about this, he is willing to put himself on the line :
Source
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When the petrodollar is gone and the world uses Bitcoin to trade oil, $181,196 for a Bitcoin is even cheap :)
The whole cryptocurrency market capitalization made a new all-time high today at $122 billion. This is still just 1.6% of the market cap of gold!
The future sure looks bright for bitcoin, everyday there are strong pointers to massive adoption across several use-cases
Funny, i have a friend whose nickname is petrodollar(right from 2007), and she doesn't even want to come close to bitcoin. I think she needs to read your comment. Lol.
funny about 2007 and petrodollar i made a blog called http://iranfromiraq.blogspot.comn (i used to ownb iranfromiraq.com but let teh domain go, always thought it would be good for someone who had a story about lavng iraq during the war or something, Iran from Iraq, get it?) anyway i showd how Halliburton Caterpillar Exon and oil companies and lockheed etc all started making big money right after the march 20th 203 war in iraq started, was like one of muy first websites,
http://iranfromiraq.blogspot.com/2007/04/war-is-good-business-apparently.html
I will read it.
How does one go about eating a phallus?
There are many cultures successfully doing that to their enemies 🐑
Hahaha. You made me to search it on google. I never thought of it as a possibility before.)
u aint seen nothin yet
u havent heard about the dried moniter lizard penis?
https://www.nrdc.org/onearth/monitor-lizards-are-caught-bizarre-trafficking-scheme
u need to be watching more alex jones
I need to check this out when i wake up.
Lool. Epic clap back! 😀
epicaly epic.
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We have three years to find out :)
Nice post and thanks for share
But... Gold has real world applications (for example, building the computers running the btc blockchain). So, what happens to the application of btc once we decide to move to EOS because 3 tx a second is too slow? Or you know... quantum computing becomes a thing
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Bitcoin has real world applications for example sending a tip to my bitcoin wallet in seconds even though I am here and you are there :)
Therefore, its better to invest bitcoin mining rather than gold mining. With bitcoin no natural resources will be destroyed and no animals will displace.
To be fair mining bitcoins requires massive infrastructure and electricity
if everyone keeps saying 500k in 3 years, it will happen.
Power of positive thinking ??
if you think the sun is going to rise in the morning, is that also positive thinking? No, its just a factthat Bitcoin is going to be worth that much because its undervalued! if everyone wanted to use bitcoin everyone would have to buy some, and so the price gos up because theres only so many and the price will keep going up as long as we keep printing money!
Its more a philosophical question, but al;so a purely material; one as wel!
Bitcoin is just a ledger, its how I explain this to older people, its a distributed shared ledger and every ledger has the exact EXACT same transactions, THEN the old people i talk to understand it, and they understand just how useful it is to use a private cryptograophic key as a way to hold thje bitcoins that you have "bought" because youre REALLY just buyoing the keys to an account, and all bitcoin is is a system rthat tells us who has what!
Bitcoin and crypto currency is SIMPLY a way to keep track of how rich everyone is!!!!!
Spot on!. Remember me when you are rich.
upvoted and resteemed
Thanks
Bitcoin price goes upto 5,000 USD before end of the year 2017.
its goes up day by day and Thanks for sharing your information with us @datageek .
I sure hope it gets that high. More money for all of us
100 percent garuntee that Bitcoin will be over $10,000 by end of this year, $5000 by the end of AUGUST and steem will be...i dunno steem could go anywhere from $1 top $10 and im afraid steem will just stagnate but thats STILL good that steem can EMAIN at $1 because its price SHOULD drop as they make new steem and so when it stays the same its actualy really cool conwideing how they just make new steem to pay the rewards etc, and you can LIVE off your steemit rewards OOOOOHit makes me feel so warm and cozy inside like im blogging in the early 2000s back when Blogging was new and cool, like freshcreation.nl that whole urban architecture blog with lots of urban advertyising and stuff
that feeling of being in new York city, u kno? That urban intrnet feeling? The brick building office and the whole European City feel , just so fun yto have that vube!
we can make SUCH high quality steemit content, new users coming everyday, we GOt this man
If bitcoin price will 10,000 usd then altcoin will also boom in future. @ackza
@ackza. Love your enthusiasm man. Tried to message you on steemit chat.
It will highly increase but it takes time
@datageek
Great comparison. I guess the reason why this current scaling issues with bitcoin needs to be addressed now and quick so that bitcoin can go on his full run to those high limits with no obstruction. However, for those that needs an understanding of the current bitcoin scaling debate, you can check out my page as I currently made a post on it.
Yeah, one of the impressive things about bitcoins is that it has managed to overcome all obstacles that comes its way,very important factor that on. Will check out your post
The first hard fork already happened and so now people are confident that bitcoin will be fine no matter how many hared forks, and even if something happened to bitcoin, there is always going to be ethereum and altcoins, heh, seriously its too late to stp it, so its ONLY going to go up
the only excuse someone has to not buy crypto is that they either have NO money and are really really in a bad situation, OR they just dont KNOW about it!
i feel very very bad for peopel who have known about bitcoin for years but who just have never had the money to buy any, and have to watch thir neighbor JUIST find out about Bitcoin weeks ago, and already has made tens of thousands off it!
it really sucks and steemit is a way for people to atleast make a little money off the fact that theyve been interestd in this fiueld for a while
we have a need to want to reward people just for being a part of the bitcoin nerd culture, because we all fekl like peopel who re bitcoin proponents who spread its magic through word of mouth deserve to get a little bit of bitcoin! Now giving out a whole bitcopin is way too much, but in the past, i was giving out .1 BTC here and there, becauise bitcoin was $100 and in 2015 I would walk around and give people free pieces of bitcoin, some of these peopel have calledme years later telling me about how hapy they were to find $300 in a bitcoin wallet they had forgotten all about, and i can feel lieka GENIOUS to everyon who knew i was into bitcin YEARS ago, but i hate telling people that I never made as much money as i should have bevcauise I didnt hodl enough bitcoins in 2015 when they were 100....so its cvery sad and lets NEVER make that mistake again
Nice post as always, buddy. 😎
Thanks for supporting bro.
John McAfee is quite insane, so if he is correct, good for us... If he was wrong, well I sure hope for him he has a pet rabbit or chicken called "Dick"...
yeah I prefer he is correct lol , doubt anyone would name there pet "dick"
John McAfee wouldn't surprise me if he even had a crocodile called "Dick"...
Would be insane if it reached those levels. And where would steem be by then?
Bitcoin dictates the pace. Steem is like 0.002% of the total cryptocurrency marketcap. If bitcoin gets to these levels , its logical steem would experience a proportional increase.
Good going with bitcoin n steem dollars
yeah make sure you get some
I hope it goes to $ 5000 by the end of the year :)
Hope so too
Yup we need to believe it then it will happen ;)
The sky is the limit
lol
hahaha
he said what!!!!! such a strange promise !!!!!
but I really wish it moves above 500,000 within even 5 years , lol
great post
UV
Yeah good for all us if gets to that level and good for him too he doesn't need to do that on live TV
lol
yep
I once saw a post that if 1% of the financial market cap, is put into crypto currency that the bitcoin could worth as much as 300,000 dollars how true can this be
Yeah maybe I would look into this analysis next but it is very possible
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Bit coin !!! up !!! up !!! up !!!
It's hitting 5000 soon !!!
I hope it does
So around 3 years from now:
Autofellatio on National TV.
(but i'll take the $500k BTC all day. xD)
Yeah would love to watch this on national tv when that happen :)
Is there a decentralized streaming app nowadays? :)
With the active developer ecosystem we have on steemit , I definitely wont bet against it
Thoughts become things. Yes it will keep going up, but that visual you put into so many minds is frightening. Better hope Lorena Bobbitt doesn't see that!
Its is frighteningly exciting I believe ;)
ahah ;)
You got my vote and a resteem :)
Thanks
Great comparisons with Gold. Just imagine if derivative market, hedge fund and ETF would have been approved in the near future...500,000usd per bitcoin is too small.
Yeah, maybe I could check this out later, would be cool if bitcoin ever got to the levels I pointed out in the post
of the value of bitcoin will increase it's not good because otehrs coins decrease so u will lose monney
When bitcoin hits the price you predicted, I am hoping to have at least one coin.
Looks like it :)
Thanks for this great and informative post. While I think we can all agree that long term BTC will go up, what's your views on fluctuations in the price. Do you think we will continue to see significant dips?
Bitcoin is very volatile but the long term returns are incredible. So you are better off just hodling :)
Bitcoin has the capacity to go far.
Wow what is this "Bitcoub" John McAfee is talking about?? Must be a great new ICO similar to covfefe ICO
Alpha Mail.
Wow that was really helpful!!
Thanks for posting such an impressive and useful post!!
I have been investing on bitcoins lately and reading this post quite helped me alot!!
I write about bitcoins and other stuffs and i would really appreciate if you would check it out and give your views on it :)
Thanks Again and hey i already upvoted and followed you!!
Hope to get followed back!!
Keep posting such amazing articles :)
Cheers!!
Very good post. Interesting to see I'm not the only one that is thinking about this. The biggest group of uneducated investors in mankind get's a shot to determine the price of a crypto. It's an interesting world we live in. An interesting website I found: https://www.coincheckup.com I'm really enthusiastic about this site, they let you analyze every single coin out there. For example: https://www.coincheckup.com/coins/Bitcoin#analysis For the Bitcoin Detailed report.