Victor Ugochukwu · Dec 14, 2020 . 5min read
Bank of America Reclaims its Market Cap Superiority Against Bitcoin
Data according to Asset Dash shows BOA's valuation at $221 billion gaining more than $3 billion within 48 hours.
By Victor Ugochukwu · Aug 19, 2020 . 5min read
Recently the crypto space went agog with excitement and several crypto publications posting of BTC surpassing BOA’s valuation. But without any much surprise, Bank of America reclaims its market cap superiority over Bitcoin short-living the earlier celebrations.
According to Coinmarketcap, a cryptocurrency directory, Bitcoin’s market capitalization sits slightly above $218 billion. A look at the price shows BTC has lost about 3.6% in value coming back down to the $11,000 range. As at publication time, Bitcoin price is $11,815.
Bitcoin characteristically gained some nice increase in market cap on Monday when it hit $227 billion. During the same time, Bank of America’s total market valuation was ironically the same with what Bitcoin is as at today. Data, according to Asset Dash, shows BOA’s valuation at $221 billion, gaining more than $3 billion within 48 hours.
Bank of America recently surpassing Bitcoin’s market cap due to volatility is a feature and not a bug.
Characteristically, digital assets can fluctuate rapidly gaining and losing value within a twinkle of an eye. This has made cryptocurrencies especially Bitcoin drawing sharp criticisms from various quarters. Some of its most vocal critics include Warren Buffet who has described it as “Rat Poison” and the “Dr Doom” Nouriel Roubini. The latter, an American Economist, calls Bitcoin a Ponzi game thereby calling the government to regulate it out of existence.
But most Bitcoin and digital asset enthusiasts mock the likes of either Buffet or Roubini telling them Bitcoin’s volatility is a feature and not a bug.
Notably, Tyler, one of the Winklevoss twins, continues to troll Buffet on Twitter. The stock market guru and billionaire Buffet earlier posted a record loss during the coronavirus stock market crash in March. Berkshire Hathaway, where Buffet serves as its chairman in March lost about $80 billion in the stock plunge.
Tyler and others think Bitcoin is a hedge against this kind of horrific loss hence his post.
In fact, Tyler and others are quick to point to big institutions like Microstrategy, which recently bought $250 million worth of bitcoins to adding it as part of its capital allocation strategy as an easy reference.
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