Bitcoin’s Market Cap Could Slump to $77 Bln by Year End According to ‘Metcalfe’s Law’

  • 📰 News

    Swiss researchers using ‘Metcalfe’s Law’ predict that Bitcoin’s market cap still has a way to go down

Bitcoin’s Market Cap Could Slump to $77 Bln by Year End According to ‘Metcalfe’s Law’
Cover image via u.today

 

Swiss researchers have identified that the slowing of Bitcoin’s growth in terms of market capitalization could indicate that it has a long way to drop still before the end of the year. By using Metcalfe’s law, which states a network is proportional to the square of the number of users of the system.

According to the researchers, Bitcoin’s market capitalization could go down to as low as $77 bln by the end of the year. Currently, Bitcoin’s capitalization is at around $118 bln, so, if this was to come to fruition, it would indicate a $41 bln decline or 35 percent.

"Looking forward, our analysis identifies a substantial but not unprecedented overvaluation in Bitcoin price, suggesting many months of volatile sideways Bitcoin prices ahead," the Swiss researchers said.

card

Subscribe to U.Today on Facebook, and get involved in all top daily cryptocurrency news, stories and price predictions!

About the author

Darryn Pollock is an award winning  journalist from Durban, South Africa. He picked up Vodacom’s Regional Sports Journalist Award in 2017 while expanding his Blockchain and cryptocurrency reach.  He is a contributor to Forbes, Cointelegraph, Binary District, and of course, U.Today. Darryn’s belief is that Blockchain technology will be the driving force of the next technological wave and it is the obligation of journalists and writers to tell its emerging story with integrity and pride.

Recommended articles
CLOUD MININGPromoted