Bitcoin Forum

Alternate cryptocurrencies => Altcoin Discussion => Topic started by: traderperspective on October 25, 2017, 04:31:57 PM



Title: Valuations
Post by: traderperspective on October 25, 2017, 04:31:57 PM
I am a big fan of cryptocurrencies, and not one of these guys who think it is a scam. I believe that they will play a big role in the future. Still though, I am not completely sure about where the Altcoins valuations comes from and what support this valuation. Just an example as FunFair. The coins in supply has a total market cap of ≈72 mio $. What supports this valuation? Is it purely based on future expectations?


Title: Re: Valuations
Post by: highperspective on October 25, 2017, 04:35:57 PM
There is a very good article of crypto-valuations here in the link: https://medium.com/@cburniske/cryptoasset-valuations-ac83479ffca7

Generally, there are factors that has to be estimated as e.g. the growth rate (S-kurve steepness). This means that a lot of the factors used in crypto-valuation, are actually estimates, that are more or less subjective.
Therefore the valuations are hard to tell exactly (as with stocks and all other assets classes).


Title: Re: Valuations
Post by: Fu.Sin on October 25, 2017, 05:16:40 PM
There are coins that support the real sectors of the economy. There are coins that support mythical projects. After the coin is released to the stock exchange, it is already subject to trading agitation. Many speculators do not pay attention to the original meaning of the coin. They look at the chart and buy m sell on schedule.


Title: Re: Valuations
Post by: Zeeks on October 25, 2017, 05:18:56 PM
The valuation usually comes from support, community size, and technical features the coin has or developments it will be going through.


Title: Re: Valuations
Post by: ticterine on October 25, 2017, 05:27:33 PM
Short term valuation comes in terms of news, hype, marketing, and speculation. Long term valuation is usually delivery, working products and adoption.

Most people in crypto seem to be very shortsighted and panic if a coin dips over the course of one month.


Title: Re: Valuations
Post by: insight7 on October 25, 2017, 06:33:59 PM
I'm also interested in knowing how correctly it is. heard the opinion that they consider the turnover for 24 hours and this is multiplied by some coefficient.


Title: Re: Valuations
Post by: tora on October 25, 2017, 06:43:57 PM
As with almost anything whether it is a service or an item the price is ultimately governed by supply and demand.


Title: Re: Valuations
Post by: anasso on October 25, 2017, 07:35:37 PM
the valuation is equal to token price x total supply!

i think this valuation not reflect the real market because you to substract the number of lost tokens!


Title: Re: Valuations
Post by: yura888 on October 25, 2017, 07:40:11 PM
Well, honestly at the moment all the cryptocurrency is a purely speculative tool