Noob here. Even if some places accept Bitcoin, the price is still quoted in dollars? Bitcoin's value per say is in US dollars, a fiat currency subject to inflation. If we remove the value based on the dollar, then is the price of Bitcoin just based on supply and demand?
I also hear people like Cathie Woods and analysts at JP Morgan say Bitcoin will reach $500k or $140k respectively. I understand for stocks you can look at financial statements and make valuation models to calculate target prices, but for Bitcoin, is the value based on the scalability of network?
I think the whole idea of expressing any value in terms of BTC to USD comparison is just to make people understand it better.
You can see the same idea behind the gambling sites using USD in the same way, sometimes even if people are using it for a long time it is indeed difficult for them to do conversions.
I think the value of bitcoins is dependent on the people and the market acceptance. At the same time I do think that the governmental authorities do play a big role in it too. The services , transactions there is a lot more to it.
The Demand and Supply can be taken as a simplistic basic model but it's very complex so as how the bitcoins have successfully integrated themselves with the whole economy, making it not only more diverse but also more evolved day by day.
It's much like stocks but the value depends on people, not a particular Centralized company.