Hello, as a potential bitcoin buyer, I’d like to understand whether it’s overvalued or undervalued. For any financial asset, there should be a way to estimate the quantifiable value of a financial asset.
With stocks, you can use:
•Dividend discount
•Discounted cash flows & reverse DCF
•Ratio analysis
•Asset-based valuation
For bonds, we use coupon rates, market rates, duration, credit ratings etc.
Real estate: cash flows, leverage and cap rates
For bitcoin, I don’t know what fundamental measurements to use.
So, if the more knowledgeable on this topic could help me…
What is the intrinsic value of bitcoin?
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