Are the Main Cryptocurrencies Undervalued?

Dear Reader,

Are the main cryptocurrencies like Bitcoin or Ethereum undervalued?

Yes, they are. 1 Bitcoin currently exchanges for 11 395.60 USD. I believe in the next 3-4 years Bitcoin's price could reach 20 000 USD. Why? Cryptocurrencies are a wave of the future. A megatrend. The world is moving more and more to computers, algorithms and artificial intelligence. Cryptocurrencies are basically computerized money.

How to value cryptocurrencies? Bitcoin is basically a play on cryptocurrencies' global adoption. I believe the world will sooner or later at least partially accept cryptocurrencies as money, so Bitcoin is undervalued. Ethereum is an investment in cryptocurrencies as money and as an applications platform. Facebook's Libra Cryptocurrency is a fintech/payments/online purchases prospect. Cryptocurrencies issued by startups are basically a highly leveraged investment into the future net profits of these startups. Investment similar to stocks, but much more leveraged and risky, of course.

The interesting thing about cryptocurrencies is that their mass adoption to a large extent hinges on their profitability as an investment vehicle. If people continue to make a lot of money investing in cryptocurrencies issued by startups and larger companies, people will use more and more cryptocurrencies, the news will spread, cryptocurrencies could become a fad like the dot-com internet stocks, but this ultimately will lead to the mass adoption of cryptocurrency as quasi money, quasi stocks investment.

Disclaimer: The blogposts and comments on this blog and posts on social networks(Twitter, LinkedIn, Facebook etc.) are not investment recommendation, are provided solely for informational purposes, and do not constitute an offer or solicitation to buy or sell any securities. The opinions expressed on the blog are Petar Posledovich's. Petar Posledovich does not guarantee the accuracy of the information presented on this blog and social networks. The information presented is "as is".

Petar Vladimirov Posledovich is not liable for any investment losses incurred by reading and interpreting blogposts on this blog and posts on social networks.

Conflicts of interest: I may possess some of the securities, currencies or their derivatives mentioned in the blogpost and posts on social networks(Twitter, LinkedIn etc.)!

Respectfully yours,

Petar Posledovich