Bitcoin’s Valuation Is Confusing Currency Analysts - Bloomberg

Final paragraph: ""You can’t really come up with a valuation for it and it doesn’t yield anything yet people perceive it as a safe place just in case everything else goes completely nuts," said Brad Bechtel, a currency strategist at Jefferies LLC."

"The market capitalization of digital currencies has soared to around $100 billion since the start of the year, with bitcoin almost tripling in price to as high as $2,938.50 on Tuesday, as the frenzy around cryptocurrencies grows. Demand is swelling as more companies embrace blockchain and the similar technologies backing the various methods of exchange and some investors see it as a haven from uncertainty across the globe.

While the technology is used as a means of payment -- the most basic function of money -- it may be better to view digital currencies like gold or say, a painting, than a traditional currency. Bitcoin is more volatile than even the most capricious fiat currencies and its decentralized structure makes it difficult to consider valuation."

Bitcoin’s Valuation Is Confusing Currency Analysts - Bloomberg