If you look at the price of Bitcoin you may think that we are in a huge bubble and that collapse is imminent, and I'm not here to debate if the market is going to crash or not, I'm here to tell you that if you ever want Bitcoin to go mainstream, in NEEDS to rise, and here is why.
Many people got really excited when Bitcoin hit a total market capitalization of 40 billion dollars, but to put that into perspective lets look at some other statistics:
-The total market capitalization of Apple Computers is over 800 billion dollars
-The total supply of the US Dollar somewhere in the 10 trillions
-Bill Gate's net worth is about 80 billion
Now looking at that Bitcoin's 60 Billion dollar market cap doesn't seem so big hu?
So you may be thinking, "Why does market cap matter so much, It's just a number right."
Well that would be where your wrong. You see, the relatively low market cap of Bitcoin is one of the biggest causes of the high volatility in the space, which is one the the biggest thing that pushes more casual audiences away from the bitcoin space(While admittedly draw people in as well).
So after reading this small article hopefully now you understand why the market capitalization of Bitcoin must rise in order to become stable. This is in no way investment advice or speculation, simple stating a fact and explaining it. Thank you for reading and if you want to support my content you can donate below.
Bitcoin: 17CnwKFT5tamNG4vHCNxRKotzjnH1ay2V7
Ethereum: 0x69BD6a0F7222368f51cCCE98D6DbdAAfBEc019c0
Genesis code: SWBjqo
Sources:
https://news.bitcoin.com/contraction-of-total-cryptocurrency-market-cap-may-be-inevitable/
