Bitcoin fair value is above $10,000

[qazgroup]

At the moment i agree that $10k is fair value but this is btc and crypto my friend and we should know that btc and crypto market can become unstoppable once the fomo begins, so i think $30k is realistic target for btc by year end.

[1714669835]

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[1714669835]

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[bbc.reporter]

I don't know about you guys but I struggle to come up with an objective range for what's "fair value". I mean, say it however you want, but the market price right now is always going to be the real price. How do you measure fair value? According to the side of the coin you're on, it's anything from $0 to $1million. But what people are willing to pay for it in the here and now? That's the value we've got to deal with in dollars.

I'm so weak, fell for it and I've clicked the the link.

Anyways, the article focuses more on charts and the rumor about CoinBase's hidden actions. (no spoilers)
I've seen a lot of related rumors around here in the speculations board and there aren't much of a difference except of the enthralling format.

Probably this was just posted here to gain more traffic, but who am I to judge, there's nothing wrong with it.

You and me both. And I learnt nothing new, except my brain's right side is flickering a little.

I disagree. Yes, the article itself might be rubbish but you can still learn by reading the comments of the people and determine their mood towards the market.

In any case, I learned that if I showed that article 2 weeks ago we would see the same group of people comment more negatively and would not be as open to the thought that there is hope hehehe.

[tabas]

$7,000 for me is already enough or even $6,000 as long as we're not staying under $6,000.

Not many people look at the charts of last year

Most of them are only looking at December 2017 to first week of January 2018.

[thecodebear]

Bitcoin's fair value is the latest exchange rate, period.

i think "fair value" is a wrong term to use here. it seems to me that the term that should have been used is "Intrinsic Value". in which case you can say that intrinsic value of bitcoin is above $10k and i can see how it can be true. it is basically a price that you come up with after fundamental analysis which is why it is also referred to "Fundamental Value".

you basically analyse the asset and say it has to be worth this much and if it is above that price then it is considered a bubble and if it is below that price it is considered under priced.

I think trying to talk about a fair market value or intrinsic value is absurd. The quoted guy is right, the fair market value is the latest exchange rate, or in other words, fair market value means nothing more than just "whats the current price". Intrinsic value doesn't mean anything either. Intrinsic value is entirely based on the context of the current global situation. If the internet were somehow wiped out tomorrow Bitcoin's value would be zero. If the US government tomorrow said they recognize Bitcoin as legal money and all major ecommerce sites started accepting it then it would very quickly be worth tens of thousands of dollars, and eventually hundreds of thousands of dollars. The one thing that bitcoin haters get right is that it has no intrinsic value, but the point is that is not the correct question.

Few economic products have intrinsic value. The only things that truly have intrinsic value are those things you need to survive (food, shelter, water, medicine, etc). No stock has intrinsic value as a company can fall apart and be worth nothing very quickly, and any company can be replaced. If humans decided they no longer liked shiny things gold wouldn't have much value. Things only have value if there is a market for them (or their value is forced by authority like fiat), and they have more value when they are rare. Intrinsic value means nothing outside of a handful of necessities for survival. Usefulness, or perceived usefulness, and rarity are everything. And in the digital age Bitcoin will increasingly become more and more useful in the years to come (assuming its tech keeps advancing) and it is very rare.

So the current fair value is the current price of ~$7700. In a few years it will probably be 20 times that. Right now anybody would be very stupid to pay $10k for bitcoin, in two years saying the fair value is over $10k will be as absurd as saying right now the fair value is over $500. There is no fair value, there is only what the market decides the current worth is. Of course if you are talking about what the potential value of Bitcoin is then $10k is a microscopic number, but if you are talking about what people should be paying now anyone buying at $10k would be getting ripped off by $2300 per Bitcoin.