Post
Topic
Board Speculation
Re: If you're not out, get out.
by
fivebells
on 17/10/2011, 12:19:35 UTC
I've been talking fundamentals for a while, and here's my formula:

A = USD-value of goods and services purchased per day in BTC
B = Number of days buyers and sellers hold the coins before and after a transaction
C = Number of coins in circulation
D = Number of coins hoarded by (speculators/early adopters/whatever)

Fundamental price = A * B / (C - D)
  Totally agree with your reasoning on a conceptual level, but could you explain the product A*B in a little more detail?