Topic: DogeCoin already bigger than Litecoin - page 3. (Read 8614 times)

welcome to how the stockmarket works, genius

This metric is plain bonkers.

The amount of money required to "maintain" the price of anything is a function of the amount of goods supplied **to that market**. Not the amount of goods in existence.

If coins are not reaching the market then their value does not need to be supported by demand, so they can be discounted. You can't just take the number of coins "created" each day and multiply it by the price.

That would be like saying that the "market cap" of Salmon is the price of salmon at my local fish market times the entire amount of salmon on boats, in deepfreezes, etc etc - i.e. "not for sale". If all that extra salmon suddenly arrived at the market and was made available for sale, the price would go down. As far as value is concerned, if it's not for sale it doesn't exist.

Thats why these market cap figures are a bit ridiculous (even the ones on coinmarketcap.com etc). Because the market cap measured in this way goes up even if 1 person buys 1 coin. It suggests that that is the amount of money that's been spent on that coin when that's obviously baloney. Look at Bitcoin - it's got a market cap of 12 billion at the moment which I'm sure suggests to a lot of people that 12 Billion dollars had "gone into" bitcoin.

Whereas in fact, if 2 people bought 2 bitcoins for $1600 each and that was the last traded price, the market cap would suddenly jump to $24 billion ! That's how stupid all these statistics are that are calculated in this way. They are totally misleading toytown doodles that don't tell anyone anything and I really wish folks would take less notice of them.

In response to you and the guy above, I would say that this is not an irrelevant stat. This still indicates something. It isn't exactly the 'maintenance cost' because that implies a cost on the currency no matter what. Rather, this is a currency devaluation. Everytime that a coin is mined, its supply grows and it is effectively worth less. These HUGE Doge miners in the pools are getting tons of coins right now, and if you think that they aren't dumping most of them, then get ready for the Doge dump.

I don't agree, if I am choosing to pay my bills with my own cash rather than sell my DOGE Coins then I am in effect buying more DOGE. I think economics and monetary theory come into play here and it is more complicated that either you or the OP are suggesting.

I feel this is a great metric. As it tells you that the confidence in the coins future value is VERY HIGH if you are in the top few. I would call this a confidence metric more than anything else.

This is correct, more or less. You really need to know what the redistribution is. If 100% of miners are dumping 100% of coins per day it would have some value as a metric. I dont think there is any way of figuring that though.  IRL we use 'on balance volume' as an estimate, where volume on down days is chalked up as net selling and volume on up days as net buying (though of course every seller has a buyer).

I suspect the error is with production = availability. The amount of coin actually available on the market, is far smaller than the MAX(coin.made.perday). Example the amount of gold available to purchase is much smaller than the amount actually mined. Ditto with diamonds. The volume is not necessarily related a price of a thing.

This seems to assume 100% of new coins mined are sold.

I.e.

 If coin A mines 10,000 coins and 10,000 coins are sold, you have a minimum buy in per day of 10k x price.
 
 If coin B mines 10 million coins and 5 million are sold, you have a minimum of 5 million x price.

So you have to take the trading volume into consideration or else this is a pretty irrelevant stat.

I think all this is a big deal, even thou we are talking in present time now one can implement it to the future and estimate some predictions.

Something to keep an eye on: Netcoin Block halving, from 512 to 256 in about 40 days.

Last time it halved, price went up a few 100%.

I am not saying its going to behave like this next time now, but the odds are, its going to repeat what it did last time.

This is definitely no fud. You all should be glad you have learned something new.

Nobody talked about block halving, this is the case at PRESENT time.

It's not FUD at all. They are simply my personal opinion on which coins are currently overvalued and which are undervalued. If I strictly based myself on the table, I would have simply picked the bottom and top 5 coins to add to the list.

Notice I didn't put LTC or PPC in the coins to avoid despite them being in the top 5 daily maintenance cost? I simply feel that the coins I listed have an unsustainable maintenance cost at the moment. They are simply too new and a lot of the interest is all hype. I feel they will come back down to reality eventually... but who knows, this is the crypto world and anything can happen.

Anyways, if a short article with a few picks is enough to crash or significantly increase the value of a coin, then FUD is the least of it's concerns.

i see some online rag picked this table up. It is really FUD because they don't mention the block rewards of a lot of those coins will be cut in half soon and then half again, and as you say assuming everyone dumps their coins immediately. It is FUD for the most part. Although a couple of their fav coins are pretty good gambles.

those calculations only apply if you assume that every new coin mined will be immediately dumped.

the table means nothing really, a lot of those coins will experience block rewards getting chopped right down soon.

This table is only true for a period of time, it will be a totally different table in a week, a month  a year.

I wouldn't read much into it.

The FACT is nobody can tell you which coin is a good investment and which is not.  All these coins are swayed daily by forces you can not predict.

Both doge and ltc have large communities , neither are going anywhere. Both are good investments. However doge will decrease rapidly in terms of expense to maintain price as the block rewards decrease. LTC could still do a moon shot because i still think it will be next to be listed after btc on the big retail websites. When ever you hear BTC mentioned LTC is the next they mention if they talk about alts. It is now ingrained that it is the silver to btc gold.

I am pro most alts and btc except the scam ones that were premined and still have a large bulk of coins in the hands of the devs. 

This calculations have no meaning at all for coin value.

Doge is only bigger because its got 100 billion trillon quadrillion coins floating around..

Doge is shit! LTC to the MOON!

Sorry, but I do not get the point of these tables: assuming that only the new coins are changed for fiat in a given day is deadly wrong. I think you should better look at market depth concept.

Coin   Maintein Cost   Market Cap   Ratio
Bitcoin   2880000   10027272784   0,029%
DogeCoin   1296000   51890072   2,498%
Litecoin   592000   546091291   0,108%
Mooncoin   182400   2835957   6,432%
Peercoin   74651   111729841   0,067%
ProtoShares   47521   15143820   0,314%
WorldCoin   45792   13720227   0,334%
Primecoin   38160   12408418   0,308%
Namecoin   35136   41836319   0,084%
Feathercoin   31104   8928512   0,348%
Novacoin   17034   7405632   0,230%
MemoryCoin   10368   632848   1,638%
Megacoin   8200   13141908   0,062%
DigitalCoin   8100   3169968   0,256%
         
IFC   979   10313983   0,009%
Quark   852   20021124   0,004%
Devcoin   424   3370965   0,013%
Megacoin   328   13141908   0,002%
Zetacoin   230   3192814   0,007%

Because that coin is Bitcoin.

there are a few coins that cost near 0 to keep the price up

ADT  near 0  1 mill market cap average trade volume over 500ltc/day

and a few other coins that are 100% POS


I am sure there is a bunch more

great post, maret cap sites please add this as a trend line metric!!!