Trading Crypto What Might The Near Future Hold
With the recent influx of money being poured into and then back out of cryptocurrency (digital currency) it opened the market up to a bunch of new people as a possible new investment area. Think of it almost like the gold rush where money was found (gold) and everyone under the sun went there to go mine for it. Same thing here instead of shovels we now use computer parts.
With the recent huge sell off panic has set in and honestly I feel like the markets are a bit over sold. But there are things to watch out for and keep track of just as if you where trading stocks in a company. You need to check their backgrounds, balance sheets, future plans and CEOs.
This current sell off I believe has a number of negative impacts on it right now and we wont see much of a turn around till after August 2017.
Impact
1 - ICOs
The recent surge in ICOs has played a major part in the current sell off in the Ethereum markets. Many large ICOs such as EOS have been caught selling off massive amounts of ETH into FIAT currency the complete opposite of what their cryptocurrency is for. That's pretty much saying to everyone your products crap so your buying back into FIAT instead of believe in cryptocurrency.
2 - SegWit
On August 1st 00:00 UTC time a user activated soft fork (UASF) which if not all miners start to use the new process by that deadline then bitcoin has a strong chance of splitting into two coins much like we saw with Ethereum and Ethereum classic. Their would be bitcoin and Bitcoin Classic.
This uncertainty has caused a huge sell off in bitcoin as no one is really sure what is going to happen come August 1st. You can be sure I will be awake and tracking it there is huge income potential here.
3 - Traders
Many people trading in crypto don't understand the wild swigs it has and that you need to hold long term. Many are in for quick profits and while yes there are many success stories for this I can tell you there are more sad stories about it instead. With drastic in day swings such as today bitcoin lowest drop 7% and Ethereum 14% in a single day causes panic to traders who are use to stock market type swigs of a few percent being a major sell off. It is important to understand that Ethereum is still up 1000% from where it was a year ago. Yup ONE THOUSAND percent!
What might the future hold ?
Please understand this is all personal speculation and my opinion it should not be used for financial advice.
Once we see what happens with bitcoin on August 1st if not split happens then get ready for a ride of paradise as money gets pumped back into a faster and updated bitcoin.
However if a fork happens I feel it is going to take some time for the market to figure out and be comfortable again investing money back into crypto.
ICOs got a bad rep now and hopefully people do their research instead of trying to jump on the next best thing. We saw billions in funding wiped out to fuel a free greedy owners of these new coins. That is not to say there are not good ICOs there are but you need to seriously research and make your best judgment call.
What i long expected from the crypto market is what is happening currently, the just concluded bullish market and high price surge was just a product of good hyping but we say its "more money coming into the market." This caused people who don't know anything about crypto and maybe just heard "crypto is hot right now, you gotta get some" and then pull in a lot of money dreaming to double their investment fast.
Then every coin seems to be overbought and now we have segwit, and other scaring announcement coming in.
However with crypto or Bitcoin anything can happen, the next surge might just be wonderful and sooner than expected. Maybe just after August 1st or maybe next year
I don't feel anything is overbought honestly there are trillions of dollars that could come out of other "investment" areas in the world and be put into crypto. We only saw 110 billion of this while there is 67 trillion in stocks and another 6.8 trillion in gold.
Maybe you are right but i think every coin is showing it real value now and not the plus daily price increase and again maybe i am wrong
Maybe you are right as well no one can predict markets just my opinions based on what I have seen in the past etc. Either way I wish us both and others much success
Yea, thanks.
I am always following you and enjoying every of your update. Keep on man
Great post. I'm interested in this comment:
"This uncertainty has caused a huge sell off in bitcoin as no one is really sure what is going to happen come August 1st. You can be sure I will be awake and tracking it there is huge income potential here"
Will you say what type of oppty. might present itself?
Upvoted and resteemed.
I feel there is but it is a high risk bet, I do feel the sell off will happen up till near Aug. 1st once Aug. 1st hits and we start to see what happens with bitcoin its going to go one of two ways, a slow recovery or a sweet bitcoin is so much better poor the money on.
Great insight and I totally agree. It's only a matter of time before the money comes back. All these people who thought buying in at 100 billion market cap was a good idea and the coins were cheap are going to be wanting to buy even more now that the market cap and some popular coins cost half as much.
Stocking up! ;)
Well I have nothing but time my friend. I will wait this thing out because im a firm believer it will correct itself. Now is the perfect time to buy, dont worry about the quitters who are only crying about profits that they made. Simply keep investing until it pay you ten times over.
Great job with this post. I can tell you put some thought into this one before you released it to the public eye. Keep up the good work
Plenty of room for growth if its going to happen. Bitcoin, Ethereum or another new coin with blockcain is going to have to address the slow down issues on transactions and the high fees if that can be done we are off to the races with whatever coin that might be.
Please follow the rules of the group resteem to be resteemed, this is the whole point we post there to resteem and be resteemed by others !
awesome post you got all 3 from me upvote resteem and a follow! But i agree! It will take a few months to recover but it is all just a scare of people seeing the drops especially because of segwit, but it will recover you just have to wait it out.
Yup I firmly believe that is going to be the case.
Just weak hands shaking.. good post mate!