- As per recent report, the total market capitalization of Bitcoin has increased immensely from $190 billion to $280 billion in the past few weeks
- This new record has surpassed PayPal, Netflix, Coca-Cola and Disney.
Two months ago, the Bitcoin price level was $10,000 with its market capitalization at approximately $190 billion. Surprisingly, there was a sudden surge in the Bitcoin’s price level during the last two months. The price level of Bitcoin has reached to $15,000, and its market capitalization estimates up to $280 billion, this has been considered as the highest record in the Bitcoin history. Currently, bitcoin is known to be more valuable than most of the major companies of the United States.
Bitcoin is Equivalent to Verizon
Verizon is the 18th biggest firm among all the publicly-listed firms of the U.S. and by comparing it with Bitcoin, the valuation of both is almost equal.
There is a huge gap of $242 billion valuation between Home Depot and Verizon. Home Depot holds the 17th place among all the publicly-listed firms, its market capitalization is $306 billion.
If compared to the top companies of the U.S. then Bitcoin is definitely larger than all the companies that are below the top 17th company. Bitcoin has reportedly surpassed few big companies such as Netflix, BofA, PayPal, Coca-Cola, Disney and Salesforce.
Although Bitcoin has surpassed few big companies, it is still way behind the top three financial institutions of the United States. In order to surpass Visa, Mastercard and JPMorgan, Bitcoin’s price level must at least reach $23,000 and the market capitalization must be around $426 billion.
And, if bitcoin wants to beat the number 1 valuable company in the world, Apple, then the price level of Bitcoin must be at least $120,000. The market cap of Apple is $2 trillion, in order to reach this, bitcoin’s market cap must increase by $1.8 trillion.
Bitcoin’s Asymmetric Risk-Reward Potential
All the bitcoin investors have become aware of its asymmetric risk-reward potential as it is volatile.
Tyler Reynolds is a former Google and Morgan Stanley alumni, he mentioned that the main reason for the government not heeding to bitcoin is because its supply is fixed, therefore it makes it more compelling as a hedge against government spending. Paul Tudor Jones, the manager of the billionaire Wall Street hedge fund had called Bitcoin as an ideal inflation play.
There is enough time for Bitcoin’s further growth, so Bitcoin will probably reach a higher value by next year.