This is getting serious ... Total CryptoCurrency Market Cap to $30 billion !! - page 2.

Herbert2020

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Quote from: QuestionAuthority on April 20, 2017, 01:27:12 PM

Understanding what market cap is would help.

Quote

Market capitalization (market cap) is the total market value of the shares outstanding of a publicly traded company; it is equal to the share price times the number of shares outstanding. As outstanding stock is bought and sold in public markets, capitalization could be used as a proxy for the public opinion of a company's net worth and is a determining factor in some forms of stock valuation.

If bitcoins price is $1 per btc and there are 16 million of them the market cap is 16 million. If Bitcoin price is $1000 per btc and there are 16 million of them the market cap is 16 billion.

Bitcoin currently costs $1,230 the market cap is $20 billion.

it is a simple formula with 2 variables and although one of these variables (number of coins) is seemingly fixed, in altcoins that variable is a tool for manipulation and that is exactly what ethereum used.

to make it simple and similar to the example you gave:
if price of bitcoin was $1000 and the person who wrote the code changed some variables in the code so that instead of 21 million max we had unlimited supply and instead of a distribution of coins with a logical speed we had 90 million coins the marketcap would have been 80,000 million (80 billion dollar)
and that is what altcoins such as eth do.

dinofelis

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Quote from: Yakamoto on April 20, 2017, 06:06:22 PM

This is probably one of the best thought-out comments in this thread to be honest. The top 10 cryptos are the only relevant ones (technically top 9 since #10 is at $97M right now), and even from those the #1 makes up 2/3s of the entire market cap, and the #2 takes up the next 1/10th (plus some). A lot of other alts don't mean much, and a ton of value is concentrated within the top 9. Everything else is essentially peanuts.

Most markets are like that. The thing is, in most markets, the order is not preserved (big ones come and go), but the distribution usually is. I think the coming period can be interesting, because of the falling market share of bitcoin. Until a few months ago, bitcoin's market share was more than 80%, meaning, all the rest was less than one quarter of bitcoin.
Since a month or so, bitcoin's market share fell to 67% or so, meaning, all the rest is now HALF of bitcoin. Bitcoin's market share has never been that low, and alt coins doubled their market share in a matter of weeks. Is this temporary or is finally, bitcoin's first mover advantage eroding, opening up the market finally for competition, to become a crypto amongst the others, without the "bitcoin/altcoin" distinction that clearly set out an effective market monopoly (style microsoft/all the rest) because of the total domination by a single player ?

Yakamoto

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Quote from: SyGambler on April 20, 2017, 03:10:57 PM

as franky stated , market cap isn't accurate in a lot of altcoins markets
but in general considering only the top 50 coins we should have a good idea about the total cap , so yeah crypto is growing
personally I only care about the coins with 100m$ or more , basically the top 10 so far

This is probably one of the best thought-out comments in this thread to be honest. The top 10 cryptos are the only relevant ones (technically top 9 since #10 is at $97M right now), and even from those the #1 makes up 2/3s of the entire market cap, and the #2 takes up the next 1/10th (plus some). A lot of other alts don't mean much, and a ton of value is concentrated within the top 9. Everything else is essentially peanuts.

Meuh6879

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Acceleration.

dinofelis

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Quote from: Hydrogen on April 20, 2017, 12:23:22 PM

This infographic sums up my thoughts on this.

See that tiny dot above the words: "bitcoin $19 billion"?

That's bitcoin's market cap in comparison to the global economy which is pictured to the right of that.

Indeed. The collapse of the dot-com bubble in 2001-2002 made about 5 trillion $ "market cap" go up, poof, in smoke.

crazyivan

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We all know this is just the beginning. I would not be surprised if we would get to 10x this in one year time. This is once in a lifetime opportunity and whoever cannot see this should not be here.

SyGambler

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guess who's back

as franky stated , market cap isn't accurate in a lot of altcoins markets
but in general considering only the top 50 coins we should have a good idea about the total cap , so yeah crypto is growing
personally I only care about the coins with 100m$ or more , basically the top 10 so far

Nagadota

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Quote from: abbyd on April 20, 2017, 02:22:47 PM

Quote from: franky1 on April 20, 2017, 01:36:41 PM

Quote from: QuestionAuthority on April 20, 2017, 01:27:12 PM

Understanding what market cap is would help.

Quote

Market capitalization (market cap) is the total market value of the shares outstanding of a publicly traded company; it is equal to the share price times the number of shares outstanding. As outstanding stock is bought and sold in public markets, capitalization could be used as a proxy for the public opinion of a company's net worth and is a determining factor in some forms of stock valuation.

If bitcoins price is $1 per btc and there are 16 million of them the market cap is 16 million. If Bitcoin price is $1000 per btc and there are 16 million of them the market cap is 16 billion.

Bitcoin currently costs $1,230 the market cap is $20 billion.

correct

if sh*tcoinX was $1 per sh*tcoinx and there are 5 trillion sh*tcoinx's then the market cap is $5trillion

the market cap is meaningless..

a better metric would be:
how many coins are on the market
how many coins per order line between $0 and current value

to show how much resistance there is to prevent the price going to $0

It's strange, market cap is mostly used to measure stock valuations, not currencies. Wiki says, "market capitalization could be used as an indicator of public opinion of a company's net worth and is a determining factor in some forms of stock valuation". Others will argue that bitcoin is a commodity, and complicate things further.

Measuring daily volume is also a useful metric. Blockchain.info reports around $50 million per day. Much of this volume could be price propping.

An interesting development has been the rise of JPY in global exchange volume. At this point, EUR, CNY, JPY, and USD are all represented equally. I suspect bitcoin may already be a small scale hedge against currency fluctuations. Of course, bitcoin price fluctuations are much larger than forex.

It's mainly because when people started playing around with Bitcoin it was much too experimental to be viewed like a currency and market cap was the closest thing to a good fit. Unfortunately market cap no longer makes sense when comparing it to fiat or even to gold, so we're left with this great big oversimplified remnant of the past with no better way of measuring Bitcoin's overall value.

abbyd

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Quote from: franky1 on April 20, 2017, 01:36:41 PM

Quote from: QuestionAuthority on April 20, 2017, 01:27:12 PM

Understanding what market cap is would help.

Quote

Market capitalization (market cap) is the total market value of the shares outstanding of a publicly traded company; it is equal to the share price times the number of shares outstanding. As outstanding stock is bought and sold in public markets, capitalization could be used as a proxy for the public opinion of a company's net worth and is a determining factor in some forms of stock valuation.

If bitcoins price is $1 per btc and there are 16 million of them the market cap is 16 million. If Bitcoin price is $1000 per btc and there are 16 million of them the market cap is 16 billion.

Bitcoin currently costs $1,230 the market cap is $20 billion.

correct

if sh*tcoinX was $1 per sh*tcoinx and there are 5 trillion sh*tcoinx's then the market cap is $5trillion

the market cap is meaningless..

a better metric would be:
how many coins are on the market
how many coins per order line between $0 and current value

to show how much resistance there is to prevent the price going to $0

It's strange, market cap is mostly used to measure stock valuations, not currencies. Wiki says, "market capitalization could be used as an indicator of public opinion of a company's net worth and is a determining factor in some forms of stock valuation". Others will argue that bitcoin is a commodity, and complicate things further.

Measuring daily volume is also a useful metric. Blockchain.info reports around $50 million per day. Much of this volume could be price propping.

An interesting development has been the rise of JPY in global exchange volume. At this point, EUR, CNY, JPY, and USD are all represented equally. I suspect bitcoin may already be a small scale hedge against currency fluctuations. Of course, bitcoin price fluctuations are much larger than forex.

AngryDwarf

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That's how market cap works in financial markets, or position valuations. It's amount held * market price. Of course, it you are a large position holder, you won't simply be able to dump everything at market price without ripping up the order book and getting less money than your original valuation.
So when $billions get wiped off or added to the valuation of stock markets frequently in a single day, it is just a movement in valuation. The amount traded to move that value might be more or might be less.

franky1

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Quote from: QuestionAuthority on April 20, 2017, 01:27:12 PM

Understanding what market cap is would help.

Quote

Market capitalization (market cap) is the total market value of the shares outstanding of a publicly traded company; it is equal to the share price times the number of shares outstanding. As outstanding stock is bought and sold in public markets, capitalization could be used as a proxy for the public opinion of a company's net worth and is a determining factor in some forms of stock valuation.

If bitcoins price is $1 per btc and there are 16 million of them the market cap is 16 million. If Bitcoin price is $1000 per btc and there are 16 million of them the market cap is 16 billion.

Bitcoin currently costs $1,230 the market cap is $20 billion.

correct

if sh*tcoinX was $1 per sh*tcoinx and there are 5 trillion sh*tcoinx's then the market cap is $5trillion

the market cap is meaningless..

a better metric would be:
how many coins are on the market
how many coins per order line between $0 and current value

to show how much resistance there is to prevent the price going to $0

QuestionAuthority

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Understanding what market cap is would help.

Quote

Market capitalization (market cap) is the total market value of the shares outstanding of a publicly traded company; it is equal to the share price times the number of shares outstanding. As outstanding stock is bought and sold in public markets, capitalization could be used as a proxy for the public opinion of a company's net worth and is a determining factor in some forms of stock valuation.

If bitcoins price is $1 per btc and there are 16 million of them the market cap is 16 million. If Bitcoin price is $1000 per btc and there are 16 million of them the market cap is 16 billion.

Bitcoin currently costs $1,230 the market cap is $20 billion.

easynote

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Quote from: bitpump on April 20, 2017, 12:25:02 PM

so 1 bitcoin should be worth $1mio very soon

!

lol that would be a nice value for my Bitcoin, I might not let it go for those dirty dollar bills!

taxmanmt5

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Bitcoin Market cap alone is currently sitting around 20.2 billion. we're almost breaking last resistance of marketcap of 20.6 billion. if it does getting close.

BitHodler

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Denker knows what to look at. Instead of people laughing at Bitcoin for being so tiny, you can better focus on how much growth you can realize through Bitcoin in the coming years.

I haven't been in Bitcoin back in the days, but I just think about how people have reacted back then when the market cap of Bitcoin touched the $1 billion mark for the first time. It must have been euphoric.

Other than that, I just focus on Bitcoin only and not on altcoins. Altcoins prices are heavily inflated and thus give a wrong impression of the total value. Also, Bitfinex traders buying at any cost is also inflating this number.

Denker

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Quote from: Hydrogen on April 20, 2017, 12:23:22 PM

This infographic sums up my thoughts on this.

See that tiny dot above the words: "bitcoin $19 billion"?

That's bitcoin's market cap in comparison to the global economy which is pictured to the right of that.

Quote from: franky1 on April 20, 2017, 12:18:33 PM

market cap is bullcrap bubble number.

i can make an altcoin with 5 trillion coins.
put just 1 coin onto an exchange sell it to myself for $1..

thus my coins are now valued at $1 a coin.
making the market cam $5 trillion.

Be honest.

If it were that easy, everyone would do it.

Which means, its not that simple.

This just shows how much upside potential Bitcoin and cryptocurrencies still have!! $19 billion isn't more than just a drop of water in the bucket!
Nice slide! Where's that from?
Do you attended some "Blockchain Conference"?

franky1

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Quote from: Hydrogen on April 20, 2017, 12:23:22 PM

Quote from: franky1 on April 20, 2017, 12:18:33 PM

market cap is bullcrap bubble number.

i can make an altcoin with 5 trillion coins.
put just 1 coin onto an exchange sell it to myself for $1..

thus my coins are now valued at $1 a coin.
making the market cam $5 trillion.

Be honest.

If it were that easy, everyone would do it.

Which means, its not that simple.

well the maths is that easy.

yes i simplified the bureacracy of getting a crap coin accepted into an exchange(separate offtopic debate).. but the maths of how the market cap is 'valued' is correct

ABCbits

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That number is tiny compared with global economic and bitcoin donated mostly to the number, so i think it's not serious (yet).
I would like to see how ready are bitcoin, other cryptocurrency and another blockchain technology to compete with bank or the adoption rate instead

European Central Bank

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Quote from: Hydrogen on April 20, 2017, 12:23:22 PM

If it were that easy, everyone would do it.

Which means, its not that simple.

yes it is. check ripple in the early days. for some reason coinmarketcap listed the market cap when the developers were hoarding most of the numbered coins. it was the number two crypto for a long time. i don't know why coinmarketcap allowed that or listed ripple at all in the first place.

auroracoin was the same as well. no doubt many others are too.

bitpump

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so 1 bitcoin should be worth $1mio very soon

!

Topic: This is getting serious ... Total CryptoCurrency Market Cap to $30 billion !! - page 2. (Read 2245 times)