Holger Zschaepitz, a market analyst at Welt, emphasized that Bitcoin (BTC) is nearing the valuation of Google, as it heads toward $1.5 trillion in market capitalization.
Currently, as of April 17, the market cap of Bitcoin is hovering at around $1.12 trillion as the entire valuation of the crypto market remains comfortably above $2 trillion.
What is the similarity between Bitcoin and Google?
The similarity between Bitcoin and Google that Zschaepitz pointed out is that both have dominance in their respective sectors.
Bitcoin has the strongest network effect in the cryptocurrency market, accounting for more than 51% of the global cryptocurrency market.
Google has dominance over the search engine market and has a massive share of the video-sharing and streaming sector with its ownership of YouTube.
“The Exponential Age: Thanks to network effects, the value of #Bitcoin is increasing and w/$1.159tn has almost reached the stock market value of a classic network share #Google which is worth $1.5tn.”
Whether Bitcoin’s dominance over the cryptocurrency market would be sustained over the long term remains in question, due to the rising valuation of Ethereum and layer-one blockchain networks.
However, the major difference between Bitcoin and the rest of the market is that there is clear institutional demand for BTC as a store of value due to its unrivaled blockchain network computing power and therefore, security and trustlessness.
Hence, investors generally view Bitcoin as a hedge against inflation and the de facto