Post
Topic
Board Speculation
Re: Can Bitcoin sustain a high price? Does my math check out? Is this valid logic?
by
Pursuer
on 21/06/2018, 08:43:14 UTC
If Bitcoin hits a $50k price point then the market cap would be around $875 Billion. I think this is doable, as this would put it within range of Apples market cap.
you are doing two things wrong here.
first is that you make the conclusion based on nothing because market cap is nothing. it is a meaningless number for cryptocurrencies.
second you are comparing that meaningless number with a meaningful number which is Apple's market cap. Apple is a company and market cap is defined for companies. bitcoin is a currency and there is no market cap for currencies. try finding out what the market capitalization of US dollar is. you can't find anything because it does not exist! you can use money supply in a weird way though: en.wikipedia.org/wiki/Money_supply#United_States then compare THAT with bitcoin.

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However, with Bitcoin's block reward being 12.5 currently, that means each block reward would be $625,000. This comes out to $90 million per day on average.
not sure how you are calculating these numbers! bitcoin price is currently $6700ish
12.5 * $6700 = $83,750 per block
24 hours/day * 6 blocks/hour * 12.5 BTC/block = 144 blocks/day * $6700 = $964,800
you can round this up to $1 million. where did you get $90 million from?

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This is an insane amount of money. There has to be new money constantly coming in to buy up these coins, right?
this didn't start yesterday. this has been going on from day 1. new coins are being created each day and come into circulation. it started with 50BTC per block or 7200BTC per day and it has been over 2 years that we see 1800BTC being created every day. market IS at a balance whether it is $90 million or $1 million.