RE: 4 Tips For Massive Long-Term Success On Steemit
Thanks for the video! I'm new to steemit. You say "lots of people are coming so you don't make as much because the price is higher." I think there are a lot of moving parts in that equation. Can you help me understand?
I assumed:
Overall the participation on steemit has grown even as the value of steem on the exchanges "zigzag". For instance this past week all cryptos including steem have been down. But activity on steem is not? If what you are saying is true it must relate to people's cashout value, seeing a decline and losing interest. And you are saying essentially to HODL, not just your investment, but continue to be steady with participation/content. Another factor is that cashing out here takes time and in that time STEEM is up again. I know you are focussed on the community's involvement in price and value, but I wonder how many are invested in STEEM without participating in steemit.
I read this blockchain is producing roughly $100k per day that becomes part of the power of the steem engine. So more active users does mean more division of that power. Is that directly related to STEEM price?
Think in larger "zigzags". The price going up over several months will attracted a wave of people, price correcting over several months will mean a lot of those people who came will lose interest. We're somewhere in the middle of STEEM/Steemit's 2nd major zigzag right now IMO.
If you believe that Steemit has long term potential then you'll be able to take big steps forward during the times when everyone else thinks it's dying. Most people thought Steem was dying from Nov-April and they all left... but those of us that kept at it made significant gains... This cycle will probably happen multiple times before Steemit is a mainstream success.
Also activity on Steemit is not super correlated with price movement right now. but it has been very correlated in the past and it will be again in the future.
Thanks for the response, insight, and interesting speculation! I wasn't really aware that STEEM traded at $4.50 USD in July 2016 and then slid to $.10 USD by October (4 months). It then fell even below $.8 cents going to March 2017. It makes sense that as you say during that period from October to March people lost interest in STEEM. Meanwhile BTC didn't take any such hit in price. I think it's important to notice that the price slide we are on now from the high at the beginning of this month of June correlates with the greater slide in BTC and Ethereum. Has the downtrend of our 2nd zigzag pattern started? Can a social media platform survive another giant exodus? I'm not sure volatility in investment vehicles and social media are comparable, but steem certainly is a good experiment in the correlation.
@dan-atstarlite I'm curious to your opinion: What caused the price to drop last fall? Why did people get back in this spring?
Is there a way to see historical steemit usage stats?