After Dizzying Gyrations, how much is bitcoin worth?

Since the latest wild ride before the stomach-churning plunge, after taking the poster child of more than $40,000 cryptocurrencies, the million dollar question will not go away: how much is the bitcoin worth?

Bitcoin dollar
The Digital currency fires up to new highs to increase by more than 400% over the past years. Before immediately sliding down to 20%, and then remaining close to around $36,000.

When it began life as open source software in 2009, the bitcoin was basically worth zero - although within a year it had reached a cumulative eight cents.

At today's market rates, the market capitalization of the digital unit is valued at some $670 billion due to increased corporate demand, as thousands of other cryptocurrencies such as Ethereum have to bring the sector closer to a trillion.

While it's a little potato compared to swinging $68 trillion or more in global stock markets, it's still like a financial region through Wall Street tech giants like Google, Apple or Tesla.

A tech site,, notes that the bitcoin is currently worth almost as much as Facebook and is slightly higher than the Chinese e-retail giant Alibaba.


Although deep-pocketed investors have been encouraged recently, crypto-polite amateur investors were protected in the early days.

It was later that it lost nearly four million of the approximately, 19 million bitcoin units currently in circulation.

"Lost" does not indicate that the coins have fallen through a hole of a pocket or the back of the sofa. Coins are electronically zipped from the record, often because their owner has forgotten a password to a coin stored on a USB storage.

Also Read: E.F. Network Ltd, to Render Internet Services in Nigeria

An American developer misplaced his password after storing 7,002 bitcoins on some kind of flash drive, forcing him to say goodbye on paper (or rather, a commercial screen), and about $280 million.

Welshman James Holmes, this week strongly offered his local authority a quarter of his fortune to excavate the site where he believes a hard drive he accidentally threw away, and which it is valued at around $270 million. The council declined, citing cost and supply constraints. 

According to analysts at JPMorgan, the bitcoin can fluctuate a lot, but it can go up to $146,000 per unit, making it an asset class compared to gold in terms of private sector investment.

These fluctuations, as well as the unregulated and decentralised nature of the bitcoin, are important reasons why many experienced financial observers fear. There is also a risk of "losing" their Satoshi.

An economist at Chainalysis, Philip Gradwell Said, "Most of the lost bitcoins were seized during early days".

Gradwell said one in five bitcoins in circulation today has not fallen out of place in five years - after the days when the unit cost was not more than $100.

"Either one or two million of them is owned by Satoshi himself," said Gradwell, referring to the coin's creator, whose identity is still unknown.

He added that a large number of investors are not day traders, but long-term punt makers, and he estimates that the dramatic rise in prices in recent weeks has added only five million units.

Patrick Heuser, head of trading at Swiss trader CryptoBroker, said that following the trading volume of several cryptocurrencies. Instead of just bitcoins would give a better understanding of ​​how the market is moving.

"There's a lot of activity on the Ethereum chain, but nothing is happening to the litcoin," Heuser said, adding that the former is currently valued at $138 billion, and the latter at $10 billion.

In addition, Heuser recommended that the increase has had a large-scale bitcoin slip stream effect, and cautioned against parallel gold impressions

"Within what is happening in the crypto market. Sincerely I'm not sure this is a dynamic or insightful metric." Heuser ended.

After several years of experience in the traditional currency markets, he decided that these early days were the equivalent of crypto.

"We are still a little fish," he said.

Post a Comment