The Turkey that lays the Bitcoin eggs
Lately the crypto world has been a string of unpleasant surprises.
The effect of the bear market at the beginning of this year was so profound, that it continues to have a lasting effect on the market. Is still surprises me now narrow-minded and short-term most traders think: treating cryptocurrencies as they would stocks, instead of realising that they can buy and hold the technology of tomorrow at a bargain price.
In light of this, I am surprised when I am pleasantly surprised. Yes, I said that. Being pleasantly surprised surprises me. This is because I have become so used to the negative bullish sentiment, that I did not believe that pleasant surpises were possible under current conditions. I was wrong.
The Turkey that lays the Bitcoin eggs
Perhaps the fact that I have been pleasantly surprised is a positive indicator. It signals the return of the long awaited bull market. As I said yesterday (and many times before), I doubt we will see the next bull run just yet; I would wait until around late September before expecting that. Looking around me I still see many very negative individuals. I have to admit this this genuinely perplexes me. I suppose that their "once bitten, twice shy" response to the start of the year's bear market is just human nature.
But in trading and investing, logic should overcome human sentiment. It doesn't, but it should!
It is irrational to expect BTC to drop further when it has already shed two thirds of its value within a few months, especially when it has already found firm support at around the $6k level four times.
It is irrational to expect a market that has shed three quarters of its value to continue to fall.
It is irrational to expect a growing technology to suddenly start stepping backwards for no reason. The correction has happened, probably an over-correction, now we proceed forwards again.
It is irrational to expect all the major companies and financial institutions who are starting to dip their toes into crypto waters not to have a positive effect on the price.
It is irrational to become fixated on whatever the flavour-of-the-month panic is (currently ETFs) - when looked at in the context of the entire Bitcoin history.
From this post: https://mentormarket.io/cryptocurrency/@bitbrain/crypto-token-economics-q-and-a-cargox
It is irrational to look to centralised money for the lead wrt decentralised money - the very thing designed to beat centralised money at its own game by a using radically superior system.
Mark my words. This market will still climb impressively this year
The positive aspects of the market are almost palpable. This is where Turkey comes into it. If you don't already know what has happened in Turkey during the past few days then read one or more of these:
Cryptoglobalist:
https://cryptoglobalist.com/2018/08/11/bitcoin-btc-turkey-is-a-hint-that-1-trillion-crypto-market-cap-is-coming/Bitcoinist:
https://bitcoinist.com/bitcoin-price-turkey-lira-value-slips/Coindesk:
https://www.coindesk.com/turkey-crypto-exchanges-bitcoin-lira/
Without beating about the bush: Turkey is suddenly (but not unexpectedly) in dire financial/economic straits and the local population knows it. They have turned to Bitcoin to save them.
It's not the only non-fiat asset that they've turned to, but with Turks buying BTC to store value, it becomes the exact "digital gold" that it is often said to be. That's right, BTC becoming as valuable as gold as a store of value. This is not the first time that this has happened, nor will it be the last. Zimbabwe had it far worse, Venezuela has going through it for some time, Bolivia has been there too. I have already shown you why, even in a bear market, it can be profitable to hold crypto over fiat, depending on where you live. Dig through the dusty corners of this old post to see what I wrote: https://mentormarket.io/cryptocurrency/@bitbrain/money-understanding-it-and-cryptocurrencies-part-3-cryptocurrencies. Here is a screenshot from that post:
So yes, I am pleasantly surprised. We are watching a European country turn to cryptocurrencies to save it. Not the government - they are not the country - but the people. If the government knows what's good for it it will do the opposite of what is suggested in one of the articles above: instead of restricting crypto buying, it will promote it. If it fails to do so - then it will become useless to the people and will have sounded its own death knell. After that it is merely a matter of time before it is ousted. Governments around the world: take heed of what I say!
The current Turkey situation is not the first, and it will not be the last. Open your eyes and look around you: blockchain adoption is happening while you are reading this! It's getting more and more popular every day. And people still expect BTC to drop? I don't think so.
I have also pointed out previously that major disruptive events in individual countries may provide catalysts for those countries to take a quantum leap forward through the embracement of cryptocurrencies and blockchain technology. Turkey is not there, yet, but the groundwork is being laid. Depending on how this plays out, they may well begin to fulfil my prophecy: https://steemit.com/government/@bitbrain/the-details-of-a-blockchain-based-electronic-direct-democracy. Read it. It's the single most important article on the STEEM blockchain; in my humble opinion.
Anyone who wants to stay out of crypto for now does so at their own peril. The same applies to companies waiting on the sidelines. If you want to wait for a centralised body in one nation, such as the SEC, to say "Okay, Bitcoin looks safe to me" then you do so at your own peril and expense. There is no logic to that. There just isn't. Challenge me on that - I dare you.
Yours in crypto,
Bit Brain
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Good one, definitely all our patience in cryptocurrency must payoff, see this inspiring article I wrote for all investors here.
Ha ha! Looking for cheaper Lambos! Just hold a year or two more and you can get a proper one! I put a nice pic on your post...
Amen to that! Boy, she sure did turn out incredibly beautiful didn't she? Why a women that looks like that thinks she needs plastic surgery is beyond me. So sad.
if she is not satisfied with her appearance, what would you think of the others... 😂
I really pity most women and the impossible standards that they hold themselves up to.
Crypto markets are far from rational.
I'm not sure it even applies to crypto alone. Isn't there a saying "The market can remain irrational far longer than you can remain liquid' of some sorts? I think it is almost rational to expect an irrational market..!
Indeed they are. But in the long run, the law of averages prevails and sanity usually triumphs over short sighted market hysteria!
My message here is not: "the market should become rational", it's rather "stay rational while those around you run around like headless chickens".
What I'm saying is: don't expect BTC to drop just because the majority of people expect it to. If there is one thing I despise above all else it's the brainlessness of a sheep mentality. Always think for yourself, always.
Okay I lied: I despise POLITICIANS above all else. Sheep mentality is a close second. And broccoli.
True, but don't underestimate the sheep. The sheep are 'the market'. Once the sheep buy, it goes up and once the sheep sell it goes down. The sheep are a lot more in control than those very few people who are not the sheep. Sheep are what got us to $20K! If a million headless chickens buy up BTC, it's better to buy BTC along with the rest of them because you can be sure it'll go up.
I love the sheep. I hope they come back. I think some of the best predictions can be made if you're 'in tune' enough with what the sheep are thinking/feeling. If you can predict the sheep, then you win at this game.
p.s. broccoli is awesome!!!! Add some cheese! Also I recently discovered how different and more awesome it is when you chop it into small slices, then put it in the oven for about 20-30 mins with only some salt and pepper on it. They become crunchy, really tasty and I swear I can sometimes smell a bit of caramlized smell coming off of it? I can't place it, but I like.
I love broccoli with cheese! I put a twist on mine though: I leave the broccoli out.
I'm going to do to those sheep what I do to cheese: eat them.
I don’t know any market that functions rationally...ESPECIALLY crypto. This game is fueled by fear and greed. I could start quoting Buffet...but I won’t. Too cliche. 😉
That said, you bring up many good points. As governments predictably spend themselves into oblivion, the people will predictably try to hedge against inflation and fear of the unknown. Things like gold and silver have always been the logical place to turn. As we evolve, crypto (particularly bitcoin) is becoming an excellent hedge against government mismanagement.
See my comments to pandorasbox. The market doesn't have to be rational. Only you do 😉
Evidently I did a rather poor job of bringing that across!
Most buyers of bitcoin have very short term thinking and only buying for the expected increase in value when the reality is that the potential disruption will be to the benefit of over a billion people who are unbanked and unable to freely transat for their basic needs. They do not look to buy bitoin to become millionaires tomorrow but instead buy it so that a satoshi can buy bread and water today and next week without having to worry about its depreciation. Unfortunately, the value got ahead of itsef while the technology continues to mature and find ways to increase its adoption.
I couldn't have said it better myself. Thank you for your contribution!
your articles are so 'contagious' ! keep me reading one after another, put so many thoughts, reasoning, correlation. Awesome effort once again ! i wonder how much you read daily
I read a fair amount. 😉
As a kid my mother always used to chase me outside to go play in the fresh air. Yep, she literally used to confiscate my books and tell me to stop reading. Way to go Mom...
These days I seldom read books, though I have piles of them at home, including three "I'm busy reading this" piles scattered throughout the house. I have transferred my reading habits to online reading: browsing webpages. So yeah, I get through a fair amount of them. But honestly, it's not reading news that really helps me; it's thinking about it and tying it all together that really does the job. I'm the ultimate big picture guy and I'd be surprised if you could find anyone more holistic than what I am.
i m the opposite haha my mum probably be so happy and possibly buy more books for me if i like reading. i prefer playing console and pc games. Only when i m in adulthood i enjoy reading personal development and finance materials.
Yeah so much information flowing around on the internet mediums, it really take that deep thinking skillset to be able to digest and link them up with a good reasoning. You probably gone thru quite alot to cultivate it !
PC games were hardly used when I was a kid, only by the really rich kids. The first time we got a PC at home was when I was in my final year of school. I had an old Nintendo style console from about five years before that, but I was only allowed to play it on an old and rather defective black and white TV, the kind with knobs to tune it - it didn't even have the fancy push buttons that later TVs had, let alone remote controls!
But somehow I managed to beat the odds and play games too: you can read the fascinating history of my gaming experience here: https://steemit.com/cryptocurrency/@bitbrain/how-to-win-the-game-of-cryptocurrencies-part-1
i have vague memories of the black and white tv in my hse when i was really young. haha technology advance faster and faster, now we are into AI games and VR games and probably deepdive game like sword art online
will check out this links. Man how many hours you spend per day writing on steem @_@
Normally at least 3 hours, more like 4 or 5. Research, making (and finding copy-write free) diagrams etc takes a lot of my time.
And the follow ups if you are interested:
https://steemit.com/cryptocurrency/@bitbrain/how-to-win-the-game-of-cryptocurrencies-part-2
https://steemit.com/cryptocurrency/@bitbrain/how-to-win-the-game-of-cryptocurrencies-part-3