The crypto market is not homogeneous. There are cryptos that are designed to function as money, e.g. Dash, platform providers, e.g. Etherium, and on top of platform providers, services, e.g. Populous, 300cubits that offer better real world solutions than any currently commercially available. Lump that all together and we have total market cap.
BUT this total market cap is tiny compared with other financial/asset global markets. It is still in its infancy. What was the market cap for mobile phones when people lugged them around like suitcases?
If you watch a child growing would you say the child is in a bubble? Or just growing? Growth normally occurs until maturity is reached. The crypto market is based on an intellectual breakthrough and the exploitation of this breakthrough has a long way to go.
Put in perspective. Whoever invented the number series that included the concept of zero probably did not foresee its application today as I type this just based on ones and zeros.
Well said...
A child grows and develops over time....slowly. If the child was 7 feet after his 1st birthday (even his 6th or 7th), you'd definitely wonder what's going on. I have no doubt the crypto markets will be worth much more than this in the future....however this instant growth boom is purely based on greed and speculation as most blockchain projects people are trading haven't even been developed or being used widely. There's nothing fueling more demand besides prices going higher and people getting greedy. In finance, these patterns can't sustain. In 2013, people (myself included) said the same things that it wasn't a bubble and everything and then look what happened. It WILL come back down.