Bitcoin Board
Bitcoin is one of the most volatile assets in the world. Last year the Bitcoin price went up somewhere %5000 according to BTCcharts. To put this in perspective: stock traders are happy if their stocks rise %10 in a year in a steady pace. Bitcoin gives you a roller coaster ride, resulting in a %5000 price increase in just one year. Forbes compared some major stocks with BTC & LTC, and both crypto currencies outperformed any big stock in 2013.
The question is however: Can Bitcoin keep these huge gains up? And, how high can the price go, based on fair calculations?. The Winklevoss Twins say it can go as high as $40,000 per BTC, Venture Capitalists in Silicon Valley say it can go as high as $100,000 each. To back these claims up, we have calculated a few facts about the market cap.
If Bitcoin can break out, and be used as the major online payment processor, and therefor replacing its market cap of $22.8 Billion dollars, you would be looking at $1869 per coin. If they gained the whole monetary base of a country for example Turkey, they would be $8133 each. If we compare Bitcoin against Gold, we are looking at a whole different level of price increases. Gold is a popular store of value asset because there is a limited supply of Gold in the world. This is also the case with BTC, which is easier to transfer, can be sent worldwide, and doesn’t weight nearly as much ;). If Bitcoin would have only %5 of the total amount of money stored in Gold, they would be $28061 each.
If we would assume that the digital currency becomes the worlds primary currency, then how much would I need to buy now?
All 7,124,000,000 people on this planet can have a maximum of 0.00294 BTC per person if spread equally.
All 1,800,000,000 Middle class persons on this planet can have a maximum of 0.01167 BTC each if spread equally.
All 117,538,000 households can own a maximum of 0.17867 per household if spread equally.
All 12,000,000 Millionaires in the world can have a maximum of 1.75 BTC each.
This sparks some interesting thoughts. This could mean that a persons entire life savings, could be 0.001 BTC in theory. This would also mean that we, as early adopters, would become extremely wealthy. Our tip: Do you want to be a potential Millionaire in 2025? Buy 1.75 Bitcoin and don’t miss this opportunity!
