STEEM and the $1.00 USD Psychological Level
Crypto Coins News
GOOD AFTERNOON STEEMIT!
As traders, we know that the price of a market is just purely a reflection of human behaviour. What we also know as human beings is that we don't always act rationally but for the most part, we are predictable, pattern following Neanderthals.
Why do you think psychological levels like round numbers work so well as support/resistance levels in trading? Well, this is because as human beings, we value simplicity.
Ever noticed how stores will place prices around whole numbers. Your brain would rather pay for something that costs $20.00 than $22.32 and marketing departments price their products accordingly. (Unless you're in the US with their ridiculous taxes that isn't included in price... seriously guys, what the hell is with that??)
Well as markets are just a reflection of human behaviour, they work around whole numbers exactly the same way. Evident no better than in the current price action of STEEM.
Just take a look at the daily chart below:
STEEM/USD Daily
Just look at all those wicks spiking down to the $1.00 USD mark and then price bouncing off it. Heck, price has even managed to get that trend line support line to line up with the $1.00 level, adding confluence to the level.
Zoom into an intraday chart and you can see the type of bouncy price action that I'm referring to:
STEEM/USD Hourly
BOING!
Get around it cyrpto traders.
Peace.
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The DDOS attack on steemit is having the desired effect and weighing sentiment badly IMHO. Sharp bounce off key support is encouraging though.
I'm not convinced that they are correlated.
But yes, strong levels are strong levels :)
I am absolutely convinced the DDOS attack added to selling pressure on STEEM. For many of those using and investing in the platform it showed a vulnerability - even if it was just a cosmetic one.
I personally am surprised steemit didn't have protection against DDOS and if they are the ones driving development then it may deserve a vote of no confidence from the market.
I'm not convinved they are correlated either as just the website was effected.
People were still able to access the blockchain post, comment, and do whatever they needed to do through other avenues.
To me this just goes to show how robust steem and the blockchain is that even when the site goes down steem and steemit are still full "steem" ahead.
@forexbrokr I have always felt "Give and you shall Receive." I was just listening to Omar @crypt0 and he was right. I did give in the comment section and I did receive even more in Return. People are so kind here on STEEMIT.
What a lovely story :) Thank you.
I was waiting for $1 to buy, then I looked at the chart and thought what if it goes under? So I then thought no rush to buy just yet.
Thanks for the reminder about the psychological levels, something well worth thinking about!
I just see $1.00 as a good level to keep accumulating at if I get a chance :)
Round number psychology at work in my mind!
@gyro Thank You for being nice enough to give me an UP Vote. Once again it is better to Give and know that we are spreading the Love around Steemit.....
Thanks for noticing! My upvote is not worth much (yet) but can you imaging the future if everyone thought as you and I do and spread more love around lol!
Yes I can and that is why I came back again to say Thank You......Gyro have a wonderful Day
So you believe that he price of a market is just purely a reflection of human behaviour? Ha ha ha. You are damly right dude. How I wish steem appreciates more against the dollar
Just be patient. It'll get there :)
fascinating, pictures and stories are very interesting. hopefully steem racing away,thanks @forexbrokr
No no, thank YOU!
I agree so much with you haha. It's like going to the shop with a crazy hot deal to buy ! 9.99$ your cookies instead of 10$ ! And you still think you will make a good deal haha =D
Haha we've all been there.
Upvoted. I'll be resteeming this now :)
Thank you pal.
on wards and up wards
You know it!
Eh I just think it went up due to the news of SMTs and then the hype wore off when nothing was happening in the near future and dropped back down to "normal"levels.
Didn't help that all alts are bleeding right now as bitcoin surges either.
Nothing has happened in terms of SMT adoption at the moment, but markets also like to look forward and price that future possibility in. I can't see why it should have dropped back down to these levels when the potential that has been opened up and will eventually come, is there. Should have a new floor a lot higher than $1.00 in my opinion.
I don't think the valuation should change until steem announces some partners that will be creating coins with the SMTs. Yes the possibility is there, but if no one adopts/uses it then it's just an idea.
take my upvote sir .
Thank you mate.