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Wayne 962 Wayne 962 is offline
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Bitcoin volume: https://ycharts.com/indicators/bitcoin_transactions_per_day

318,347 bitcoins traded yesterday. Out of about 18.6 million. Or 1.7%.

In comparison, Amazon, is averaging about 4M per day over the past 30 days, with about 503M shares outstanding. Which is about .8%

GE has 8.76 billion shares outstanding with about 80M trading daily on average, or about .9%.

I was about to argue that the Bitcoin that is trading hands these days is somewhat thinly traded, which may or may not be the case. If a majority of shares are "off the table" for trading then that will create volatility. I think the fear-of-missing-out (FOMO) is at play here, as there really isn't an end-game necessarily with Bitcoin. It's not like Amazon stock 10-15 years ago, where people could imagine Bezos taking over the world (which he did, pretty much). Bitcoin is not used as a day-to-day currency or useful tool for much of anything, so it's future prospects as a daily-use currency are limited. Transactions are expensive too - in 2017, the highest transaction fee was $60 - these days it's about $10- $20. That's just not practical for much of anything other than very large transactions. So, it's future use as an actual currency may be limited. Right now, it seems to be a virtual storehouse of value, which is dependent upon other people willing to pay and trade with it. That will continue, until it doesn't?

-Wayne
Old 02-19-2021, 02:29 PM
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