Theory on how Miners Grow 6x Faster Than BTC (Patreon)
Content
Interesting stuff from ecoinometrics, while his miner valuations go complete opposite to mean, well he is an economist and not a finance guy, I foudn this to be bery interesting. The title suggests that Bitcoin miners are expected to grow six times faster than Bitcoin itself as the price of Bitcoin increases to $100,000.
his chart is meant to show the predicted growth of Bitcoin mining companies in a scenario where Bitcoin's price reaches $100k. It uses a confidence interval to give a range of predictions, from conservative to optimistic. The logarithmic scale highlights the multiplicative nature of the growth. The length of the lines connecting low and high estimates gives a visual indication of the level of uncertainty or variability in the predictions.
The vertical axis lists names of different Bitcoin mining companies. These are the subjects of the growth predictions.
Horizontal Axis (Growth Multiple): The horizontal axis is a logarithmic scale representing the predicted growth multiple from the current price. The scale shows 3x, 10x, 30x, 100x, and 300x increments.
Data Points and Intervals:
Each company has three data points connected by horizontal lines, representing low, average, and high estimates of their predicted growth.
The leftmost point (blue) is the low estimate with a 95% confidence interval, meaning there is a 95% probability the actual growth will be at least this much.
The middle point (yellow) is the average estimate, which is likely the mean of the predicted growth.
If this works out - wow miners could explode - that would take items like CLSK to $70!!!!