What Is Bitcoin Worth?

How Do you Value An Individual Bitcoin? What Is Bitcoin Worth?

What Is Bitcoin Worth? One of the most common questions we receive from our clients is very simply, what is a bitcoin coin worth? Moreover, how does one value the bitcoin? This is an extraodinarily tough question to answer for anyone.

Firstly, if Bitcoin becomes extremely popular as a currency to be exchanged. Why should the value of a coin be $100,000 vs $10,000?

Secondly, if Bitcoin loses its popularity in time will it have any value?

Thirdly, with so many other alternative coins, or rather cryptocurrencies being launched. Will they erode the value of Bitcoin?

The Winklevoss Twins of The Social Network the movie fame have made billions from their investment in the Bitcoin alternative cryptocurrency. Furthermore, rumor has it that the twins purchased nearly 1 million of the individual bitcoins, making for nearly $6 billion of value at today’s prices nearing $70,000 per coin.

Winklevii Twins, Cameron Winklevoss & Tyler Winklevoss on Bitcoin’s Future & Gemini Exchange

As a result of an early belief that the Bitcoin would supplant gold as the main wealth storage mechanism, the twins devised a valuation model. Moreover, a valuation model directly built on gold’s total outstanding market value vs bitcoin’s total outstanding market value. This model implies a current value per Bitcoin coin of $400,000.

Far from current prices, but not so far when you consider the Bitcoin traded at just $20 bucks a few years back!

In conclusion, there is a ton of volatility in the Bitcoin market. As a result of many emotional traders and investors. This volatility also exists in the rest of the Cryptocurrency markets, so be careful.

How Does Bitcoin Work? (rebellionresearch.com)

Written by the Rebellion Research Team!