jimmysong on Nostr: Very true, not just of Bitcoin, but also of pretty much every other asset. It's a ...

Very true, not just of Bitcoin, but also of pretty much every other asset. It's a very rough and weird measurement that's very easy to manipulate because it assumes a staticness to price that isn't real.

quoting
nevent1q…pf8d

I hate price talk, but if you're going to do it, please understand that "market cap" is a very rough *ceiling* on current value.

It's neither the amount of money which has gone in, nor the amount of money which can come out.

So the order of magnitude is useful to compare against other assets. But abusing it in terms of profits and losses is a category error, and I assume done mainly because it's so easy to measure.

Grump over.