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RE: Contest | 25-Word-Comment - Monkey Business | - 6 Steem
You do know what I am talking about bro @aneukpineung78, we discussed it many times, it is the lesson learned inside the crypto itself. I mean increasing the price is not the simple as holding steem or burning a small amount out of the market. What do we need to understand from the point of view of a trader when we know so many people hold it we will worry that the price will go down at any time they release those held crypto and flood the market, I am right?
We understand one of the fundamental laws in trading that said if supply increases without a corresponding increase in demand, prices will fall. In practice: when there is a lot of selling, it means there is a lot of supply hitting the market. A sudden and large increase in supply, without a corresponding increase in demand, will inevitably lead to a price drop in the commodity.
Applying this to Steem (the blockchain) and STEEM (the currency), it seems that, whether acknowledged or not, with the massive production of STEEM like we have been seeing recently on Steem, it is hard to see STEEM reaching the moon again, even with the stellar support from the Sun. It is hard, not impossible.