Overvalued crypto bubble

People want action in this game. They're not necessarily trading on if a project has a future (though it's a mix, more for some than others). It's a tool to make money with.

And I'm up 300% on it

A lot of these coins are inflated. They have no volume. Someone with 1 BTC could increase its price by 500% and make it seem like it has millions of dollars in valuation because all marketcap is = price of coin * amount in circulation.

That's one way.

Another way, in the stock market, there are 10s of thousands of stock. There are soooooo many comparing to how many cryptos there are. Penny stocks has people who invest in them, but because there are so many penny stocks the marketcap gets spread out too thin. In crypto, because there aren't a lot of low cap crypto comparing to stock market, "penny" cryptos get higher marketcap because the investments of penny traders gets concentrated in less than 1000 of shitcoins. In the stock market the investment is spread out on 10,000 of thousands of shit stocks.

People invest in those because you never know what happens and small $100 investment could hit a jackpot in the future. So it's kind of like winning the lottery.

We're not at the level of DotCom bubble. We have long ways to go. Russia JUST made crypto exchanges legal. A huge flood of money about to come in. And it's not going to stop. More and more countries will join to get as much money as they can from it. It's going to take a long time to bubble up. It'll be a much bigger bubble than the DotCom bubble and will cause a huge havoc comparing to anything we've seen before because so much money will be tied up to it.

i make a 'cryptocurrency', pay 0.1BTC to yobit to list it. put up 1 coin of my 500,000,000 marketcap for sale for $0.01. at this point i'll have a documented marketcap of $50 million.

the dotcom bubble was caused by institutation investors who have seen tech companies rise before and shoved their trillions into it (popped at 10 tril)

institutation investors have barely even started in crypto. goldman sachs opening a trading desk in the summer. the only documented 'big fish' in investment entering crypto so far is soros' quantum fund with just 100mil

well, just $5mil that way. need to 'make' 5,000,000,000 coins for $50mil marketcap. but you cach my drift.

and let's not forget, Amazon, Microsoft, Apple, IBM, Adobe were all part of the doctom bubble

no doubt some cryptos are overvalued now, but nowhere near the extent dotcom ones were

Look at the volume brainlet
You really think that shit is worth millions when theres a couple dozen people selling a total of one btc worth a day to each other?

Thiel has a billion in. Media says "Bitcoin" but his fund's head talks about alts.

missed that, but thiel entering crypto can't be compared to some hedge fund manager who never even used a computer in his life investing in dotcom companies

this

All that babble about market caps, etc. Traditional fundamentals mean shit in cryptoland. Something is worth whatever someone is willing to pay for it, end of story.

this - and this is actually changing. we're seeing new projects introduced rapidly and this money is being spread around. really low marketcap coins are actually often better than ones in the range posted in OP because the market hasn't had time to adjust yet.

market cap is a useful metric in crypto but be careful applying it

yea honestly people were saying the same thing about litecoin at 20 cents. "dude that market cap isnt worth 17 million." now its worth 15 billion..

you know what else is overvalued

anything that can make you money