Anyone ever backpacked across Europe?

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I'm thinking about doing this in the coming Summer after I get my masters. I don't want some grand vacation where I spend a grip on hotels and travel expenses. I'm perfectly fine sleeping in hostels and traveling on the trains. How much time should I plan for if I wanted to see a good bit of sites like London, Paris, Etc? I was thinking 20-30 days. I've heard some people say it could be done with $50/day, which would run me $1500 for a month. I'm kind of thinking of making it a solo trip, but I'm worried I may end up like the folks in Hostel 1&2.

Is this a good idea? Anyone ever done it?
 
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