However, I’m not convinced that the market for Bitcoins is efficient… for example, there are going to be 84 million Litecoins to Bitcoins’ 21 million, but typical investors don’t know that, so 4 Litecoins for $100 feels like more of a steal than 1 Bitcoin for $100
There no reason at all to believe that the total value of Litecoins should have an easy relationship to Bitcoins. Bitcoin has much more infrastructure for real world usage behind it.
I agree, I’m just arguing that typical investors are not valuing either currency rationally and “failure to account for the denominator” is an argument in favor of this position.
There no reason at all to believe that the total value of Litecoins should have an easy relationship to Bitcoins. Bitcoin has much more infrastructure for real world usage behind it.
I agree, I’m just arguing that typical investors are not valuing either currency rationally and “failure to account for the denominator” is an argument in favor of this position.