Post
Topic
Board Speculation
Re: BTC is over $8,000,000,000 in market capitalization for the 1st time in months
by
cjmoles
on 29/05/2016, 02:51:06 UTC
I'm an economically minded noob.  What does the market cap mean for me and the value of the bitcoin I hold personally?  How is it a good thing?  Will it increase adoption, value, distribution?  Can it answer some of the questions I outlined here in the following thread? https://bitcointalk.org/index.php?topic=1489137.new#new

The market cap is basically a measure of how big the Bitcoin market is in comparison with other markets, be it other cryptos or gold, for example. Plus it is a great indicator of how much the adoption has grown over the years.

The other day I was watching the ticker movement on some other asset (some off the wall alt) as it was introduced; the very first bid was for 450 BTC and it was quickly closed on....that made for a very skewed market capitalization marker.  So, I wonder how reliable a market cap figure might be in relation to supply and demand....could the bitcoin market cap be skewed also?  I mean, if everybody started trading off their coin at current price, would the market cap really mean anything or is there some other number in which it would achieve an equilibrium?