Fidelity Strategist Likens Bitcoin and Ethereum to Apple’s Market Domination
According to Fidelity’s chief macro strategist Jurrien Timmer, Bitcoin (BTC) and Ethereum (ETH) have likely achieved a level of invulnerability to direct competitors. In a talk with Raoul Pal on Real Vision, Timmer likened Bitcoin and Ethereum to Apple’s business supremacy and vast market reach.
“Metcalfe’s law states that as a network becomes bigger, its value grows exponentially. And I used Apple Computer as an example. If you look at their annual revenues, you can see that as more iPhones and other products are sold, the valuation increases exponentially. Eventually, the network becomes so strong and has such a wide moat around it that even if I invented a much better iPhone tomorrow, I would never be able to penetrate that network because it is so strong.”
While rest of the crypto initiatives will continue to operate and fight with Bitcoin and Ethereum, according to the macro expert, Bitcoin and Ethereum have indeed entrenched themselves as market leaders.
“I believe Ethereum and Bitcoin have met these benchmarks. This does not exclude the existence of additional currencies and networks. However, I feel they have passed the test to become credible and taken seriously, correct? A number of investors said a few years ago, “Well, this can be legislated out of business relatively soon.” I believe that moment has passed.”
While preparing this report, Bitcoin was trading at $23,439, down 1.5% in the last 24 hours. Ethereum was transacting at $1,697, almost unchanged in the past 24 hours.