ETH CRASHING... Is this the beginning of the end??

There's no denying it...

Holding onto ETH at the moment is nerve racking!!

Just a couple of weeks ago, ETH seemed like cryptocurrency's golden child... Then we saw a clear sign of utter mania - The Bancor ICO.

An uncapped crowd fund. The result? 150 million USD all within a couple of hours.

Let's just digest that for a second...

150 MILLION US DOLLARS.

In LESS THAN 3 HOURS.

Utter madness!

As veteran venture capital investor, Fred Wilson points out in his blog post ( http://avc.com/2017/06/buyer-beware ), this is seed funding, not an established private company floating their company on the stock exchange in an IPO!

Seed funding is typically a maximum of a couple of mill for a tech startup like Bancor.

Venture capitalists know that it's high risk - that's why they expect to either loose all their money or hit a 10 times return.

The most worrying thing? It was UNCAPPED. That's essentially like throwing money at something you don't know the value of. The definition of speculation.

Reputable doomsayers have been coming out of the woodwork all over the place. Jackson Palmer, the founder of Dogecoin being one of them...

As he and others have pointed out, we are treading on thin ice.

Some buyers are buying and holding for the long term but it seems that most of them are buying for short term speculation.

The sellers on the other hand, have bills to pay. If you had raised tens of millions of dollars worth of ETH, you're going to dump it at the first sight of instability.

The question is whether the average Joe jumping in on the action at Coinbase will buy into the hype of ETH or whether the instability that we're seeing right now will lead to a cascade of selling... The first of many bubbles to come.

Which option are you betting on?