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RE: Is winter still coming? Hardfork effect on Steemit trading
I think the volume, prior to the hardfork, had already factored in the hardfork. The day of release just formalizes the sentiment of the market. I would interpret any sell offs, post hardfork, as weak hands that are looking to cash out while the price is up.
I guess the real answer would come from the volume of power down. The market has guarantees now, but that is for the long run. I am just afraid there are too many weak hands. With a shorter powering down, it is feasible to retrieve the SP you got.
The sell offs that just happened was profit taking, no weak hands. Now we have consolidation phase.
@snowflake, I'm still learning the market side of stuff - I've never had a brain for numbers - but I'm trying. Can you explain consolidation phase to me like I'm a 5th grader? I mean that sincerely :)
Consolidation is the term for a stock or security that is neither continuing nor reversing a larger price trend. Consolidated stocks typically trade within limited price ranges and offer relatively few trading opportunities until another pattern emerges. I think you'll get the drift from this graphic...
Thanks for the technical explanation. I knew those phenomenon without knowing the actual names.
A consolidation phase is a period generally after a pump and dump where the price is trying to find a new resistance level ( an equilibrium between bid/ask).
Once the pump and dump is over, there are 3 type of traders, those who took profit, those who sold at a loss and those who are still holding because they didn't want to sell at a loss ( it's because of these people that the price almost always consolidate at a higher price than were a bubble starts)
The rally started around 15k satoshi, topped at 45k sat and fell back to 29k sat. I expect the price to find resistance around 25k sat which is higher than were the rally started.
I rode the pump but forget to switch my order before the dump. I still didn't loose anything I think.