Crypto Academy Week 13 - Homework Post for Professor @imagen : Mercado de Criptomonedas

This is my homework post for Steemit Crypto Academy Season 2 Week 5 of Professor @imagen’s class of Mercado de Criptomonedas..

1. The Concept of Dominance in The World of Cryptocurrency

The Oxford Languages dictionary as quoted by lexico.com, describes the word “dominance” as “power and influence over other”. The Cambridge Dictionary describes the word “the quality of being more important, strong, or successful than anything else of the same type”. While dictionary.com in this article describes it more thoroughly.

In the Cryptocurrency world, dominance is the term to explain the domination of one particular crypto has over the entire market, by observing the global market capitalization percentage that particular crypto has. At the time this article was being prepared, according to coinmarketcap.com, Bitcoin (BTC) was still dominating the market capitalization at 42.1% and ETH was following in the second place at 19.8%. While coingecko.com was showing a very little difference.

^{Dominance info on coinmarketcap.com.}

^{Dominance info on coingecko.com.}

Below is the screenshot from coingecko.com that shows the 10 highest market capitalization dominating at the time this article was being prepared.

^{Top 10 market capitalization rank as shown on coingecko.com.}

2. Market Strong Fall History And The Affected Cryptocurrencies

2a. February 7th 2018: The First Strong Fall of BTC Price

To observe the history of the Bitcoin strong fall, I used the chart provided by coingecko.com, I set the chart on Max mode so it showed the full history from the beginning of Bitcoin.

^{Full history of BTC price chart.}

The chart showed that the first strong fall of BTC price took place on February of 2018. On the 7th day of that month, BTC price fall to USD7,711.22.

^{First strong fall of BTC price.}

Three weeks before the strong downfall, BTC price hit it’s first highest price at USD19,188.05. So on it’s first downfall, the price was corrected -59.81%.

^{BTC price at three weeks before it's first strong fall.}

Several cryptocurrencies were affected. Such as ETH, on February 8th, it’s price dropped to USD751.89 from USD1,172.92 on January 20th. Corrected -35.89%.

Several another cryptocurrency that experienced the falling of their price following the BTC strong fall that time are shown in the following table. Data was collected from coingecko.com.

No.	Cryptocurrency	New Price Value (USD) and Date	Fallen From (USD) and Date	Correction (%)
1	Cardano (ADA)	0.36 – Feb 7th	0.63 – Jan 28th	-57.14
2	Bitcoin Cash (BCH)	918.77 – Feb 6th	2,659.11 – Jan 14th	-65.45
3	Litcoin (LTC)	150.93 – Feb 5th	320.91 – Dec 12th, 2017	-52.97
4	Stellar (XLM)	0.36 – Feb 7th	0.87 – Jan 3rd	-58.62
5	EOS (EOS)	8.27 – Feb 7th	18.79 – Jan 13th	-55.99

2b. April 26th 2021: Another Strong Fall of BTC Price

On April 26th 2021, BTC price experienced another strong fall. The fall sent the price to USD48,981.44 from USD62,807.12. That was a -22.01% correction.

^{Another BTC price fall.}

Some of the coin affected by it is shown in the table below. Data was collected from coingecko.com.

No.	Cryptocurrency	New Price Value (USD) and Date	Fallen From (USD) and Date	Correction (%)
1	Basic Attention Token (BAT)	1.02 – Apr 26th	1.53 – Apr 16th, 2020	-33.33
2	Bitcoin Gold (BTG)	75.11 – Apr 26th	114.11 – Apr 17th	-34.18
3	OMG Network (OMG)	6.02 – Apr 26th	10.05 – Apr 17th	-40.10
4	Pirate Chain (ARRR)	5.97 – Apr 30th	13.04 – Apr 24	-54.22
5	Helium (HNT)	12.19 – Apr 23rd	18.70 – Apr 7th	-34.81

3. Altcoin Season

Altcoin Season or sometimes referred to as “Altseason” is when 75% of the top 50 coins (that means at least 38 coins) had better performance than BTC over the last “season”. A season is a 90 days period of time. So we are now in the Altseason.

In the last season, Bitcoin perfomance recorded at 19.9%, and 42 coins of the top 50 had better performance than BTC. They are :

^{The chart of top 50 Performance over the last season (90 days). Source.}

^{The 42 coins that showed better performance than BTC over the last season (90 days). Source.}

4. Several Altcoins Currently Are In The Top 50

Among current Top 50 coins, are: (TRX) and BitTorrent (BTT).

4a. TRON (TRX)

Tron is a blockchain-based decentralized platform that aims to build a free global digital content entertainment system with distributed storage technology, and provide cost-effectiveness to share digital content.

Tron was founded in September 2017 by a non-profit organization in Singapore known as the Tron Foundation. It is led by Justin Sun as CEO and has a dedicated in-house development team that includes renowned technology supporters. The Tron network uses its own cryptocurrency called Tron (TRX).

At the time this article was being prepared, TRON had price at USD0.129708. It’s market capitalization so far was USD9,349,561,942, which place TRX at rank #23. All Time High (ATH) achieved on Jan 05, 2018, at USD0.231673.

^{Max price chart of TRON (TRX).}

4b. BTT

The history of BitTorrent began as a file sharing company with peer-to-peer systems, long before blockchain technology was born thanks to BTC. According to wikipedia.org, BitTorrent was developed by Bram Cohen using the Python programming language and was first introduced at the CodeCon conference in 2002. BitTorrrent makes it easy for users to share various types of large files. Among the big names using BitTorrent's capabilities are Facebook and Twitter. The two well-known social media companies use BitTorrent to send updates to their servers.

In mid-2018, Tron Cryptocurrency founder Justin Sun acquired BitTorrent with a transaction value of USD140 million. Since then BitTorrent entered the crypto world with code name BTT.

At the time this article was being prepared, BTT had price at USD0.00647480. It’s market capitalization so far was USD4,219,361,041 (0.17%), which place BTT at rank #48. All Time High (ATH) achieved on April 05, 2021, at USD0.01356626.

^{Max price chart of BitTorrent (BTT).}

5. How Can Relevant News Influence The Price Of Cryptocurrencies In A Positive Or Negative Way

Certain news stories are able to influence the price of the related cryptocurrency. The influence could be in a positive or negative way. News involving wellknown public figure will have a powerful effect on the price of related cryptocurrency. Because it influences people's judgment, which will further influence their decisions.

• Earlier this year, Tesla CEO Elon Musk said Tesla would buy Bitcoin. This made the price of Bitcoin skyrocket. On February 8, 2021, Tesla announced that it had bought Bitcoin for $ 1.5 billion. The reportage on this can be read here. On February 8 2021, BTC price was at USD38,833.34. The picture below shows that the price chart of BTC after that day was in a positif trend.
  ^{February 8th, when Tesla announce that they have bought USD1.5 billion worth of BTC.}
• At the US Senate hearing on Tuesday (19/1), the US Secretary of Treasury, Janet Yellen, expressed concern that cryptocurrencies could be used to finance illegal activities. The statement came after the President of the European Central Bank Christine Lagarde called for global regulation of the use of bitcoin.
  ^{January 19th, when US Secretary of Treasury expressed concern about cryptocurrency.}
• On Thursday April 15th this year, Tesla CEO Elon Musk posted a tweet saying "DOGE Barking at the Moon". It sends the DOGE price up.
  ^{April 15th, when Tesla CEO posted the tweet.}

6. SafeMoon (SAFEMOON)

SAFEMOON is an altcoin launched in March 2021. When launched, SAFEMOON had price at USD0.0000000010. At the time this article was being prepared (March 15th), the price of SAFEMOON is USD0.00000989. That’s +12,362.50% correction. SAFEMOON has unique way on rewarding it’s holders. It claims that it will reward holder and “punish” trader. People who trade SAFEMOON (seller) will be imposed with a 10% penalty tax fee, 5% of this tax fee will be redistibuted to another people who still hold the cryptocurrency.

^{Price chart of the newborn and soon famous SAFEMOON.}

There are many opinions on the internet comparing SAFEMOON with DOGE. Many people predict that SAFEMOON will follow in DOGE's footsteps when it comes to scoring success. And there is also a mention that SAFEMOON is very likely to become DOGE's first competitor and even replace DOGE's popularity, although many also deny that SAFEMOON will become so popular.

Thanks

Thanks Professor @imagen for the lesson about Mercado de Criptomonedas.

Pictures Sourcing

• The editorial picture was created by me.
• Pictures in which was taken from another website was credited.
• All another pictures were screenshots and were edited with Photoshop CS 3.

Sources and Reading Suggestion

• https://dictionary.cambridge.org/dictionary/english/dominance;
• https://www.lexico.com/definition/dominance;
• https://dictionary.cambridge.org/dictionary/english/dominance;
• https://coinmarketcap.com/charts/;
• https://coinranking.com/;
• https://id.tradingview.com/markets/cryptocurrencies/global-charts/;
• https://www.blockchaincenter.net/altcoin-season-index/;
• https://www.bittorrent.com/token/btt/;
  https://blockchainmedia.id/membaca-peluang-aset-kripto-bittorrent-btt/;
• https://medium.com/teknomuslim/bittorrent-untuk-transfer-file-di-internet-7a8010a73758;
• https://en.m.wikipedia.org/wiki/BitTorrent;
• https://infokomputer.grid.id/read/12884813/bos-tron-cryptocurrency-akuisisi-bittorrent-senilai-rp19-triliun;
• https://tekno.kompas.com/read/2018/06/19/15300067/bittorrent-diakuisisi-perusahaan-mata-uang-digital;
• https://www.cnbc.com/2021/02/08/tesla-buys-1point5-billion-in-bitcoin.html;
• https://internasional.kontan.co.id/news/harga-bitcoin-terus-anjlok-jadi-yang-terburuk-sejak-maret-2020;
• https://investasi.kontan.co.id/news/ini-penyebab-dogecoin-melonjak-400-dalam-seminggu;
• https://www.tomsguide.com/news/what-is-safemoon-price-where-to-buy-news;
• https://www.scotsman.com/lifestyle/money/what-is-safemoon-new-cryptocurrency-explained-how-to-buy-in-uk-and-could-it-rival-dogecoin-in-popularity-3207467;

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^{Picture created by @aneukpineung78}

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