Bitcoin is valuable no doubt as it has helped a lot of people in various ways. Sending funds to loved ones and it's purchasing power is top notch almost everywhere in the world.
Having no physical form brings a question to its value cause no one could physically see it to assess and put a value to it.
Countries accepting bitcoin as legal avenues to do transactions seems to think highly of its value.
I think, more than not being a physical asset, the problem with bitcoin is that it’s highly volatile. No one can clearly say how much a bitcoin will be worth aftex X years and that makes me doubt whether it will be safe to have high expectations from it in the long term. Though, it is great for traders.