Bitcoin breaks into 10,000 I believe to the right of the decimal point. Electroneum is 2 to the right. The actual number that Electroneums supply broken down is small than bitcoins supply broken down.
So how high could the price of Bitcoin and ETN go? I thought it was virtually infinite but things that I’m reading tonight are making me think otherwise…
There are many factors to consider.
Currently the market it speculating based off projects with small use case. The biggest use case is bitcoin which is small imo. 1% of people are into crypto Currently. If we even somewhat mass adoption, the way I see it is,
Overall transfer of funds(transactions) in the ecosystem divided by the supply would give us a somewhat realistic number of what the price would have to be for the ecosystem to be sustainable. Of course we don’t know what that is yet.
Example: someone please correct me if I’m wrong. Just an example
If Electroneum truly does enable a 3 trillion dollar currency with a supply of 21 billion each coin would need to bring 142.8 usd to ensure sustainability in the ecosystem. Meaning if it were to stay a 3 trillion dollar market it would need to to keep that price in the ecosystem. Of course this is much easier to calculate when you know what the market is worth. This is of course just raw math not considering mining rewards and exchanges, trends and other variables but with demand comes liquidity and the supply will be less and less available. At this stage it is to early to guess and estimate numbers imo but there are really interesting variables that could change the whole game. But this is a marathon not a sprint. Well somewhat a sprint and marathon?
So that equation is assuming that all 21 billion coins are being used in the ecosystem, and 142$ is where the bottom would need to stay?
For the ecosystem to be worth a 3 trillion dollars market yes. Obviously there’s some flaws with these numbers I just used it as a reference.
Not all coins will be in ecosystem, but we will reach that point where the market worth is sustained in the ecosystem. Anytime the value were to lower on a exchange it would instantly be bought and used in the ecosystem as it is worth less on exchange than value in ecosystem.
Example: If you could buy milk at the store for 1 etn(5usd) but it cost 6usd at the exchange to get more Etn, you’re going to use 1 etn at the store. If someone sells etn for x amount of money less it will be bought instantly as it is a free % profit once used in ecosystem. Imo there will be a point in time this happens. Maybe not for years. But once that happens and we know how much the market ecosystem is worth it will give us a better idea.
there would be no way to keep track of the fluctuations in any meaningful way if you’re talking about small differences like that, but you raise an interesting point.
The numbers were just to the example. Let’s say Electroneum is with 10 usd everywhere, exchanges, ecosystem.
If That Etn worth 10usd is being sold for 8 usd someone is going to buy it right away. Because it is worth 10usd.
If 100m usd is being sold for 80m someone will buy it right away. Same concept.
Time will be one of the biggest factors as it contributes to many factors imo. There are so many factors to contribute its hard to explain thoroughly. But hopefully I gave you something you can take and do your own research on
Wasnt Etn at almost 0,2 on only hopes in the start. With nothing but just plans.
Me dzo kpor wo gake eladzo
Imagine that 1 ETN = 1.1 BTC
A lot of good points on both sides.
As people have said, we are all still “early adopters” in this crypto space. Anything is possible, both good and bad. I for one am sitting back, watching to see what happens, planning accordingly.
I do think it all depends on user #s to climb up the rankings, whether it beats BTC or not. At least ETN is building the ecosystem with an actual use case. Once that model is proven, i don’t see gaining users being a problem. (How many of our new users will have never heard of a bitcoin?)
As the movie says: