Sunday, September 3, 2017

Crytpo GSS!

I'm travelling, so I'll keep it brief.

The crypto market felt very overheated. In 1 and a half months, Ethereum went from $140 to $400 and Bitcoin went from $1900 to $5000. It has just stopped it's ridiculous ascent.

Honestly, I felt that the gains have been too fast, too quick and too steep. Even with all the new money flooding in the prop the market, the market does have "some" sort of mechanism that helps to achieve "fair" values.

I know in the recent weeks, tons and tons and tons of fresh, new investors have been joining the crypto game. How do I know? A few things - the massive numbers of emails that are being sent to me, the spike of group members in the Telegram group that I am in, and the general increase of interest of it with the general public.

As much as I would like to see mainstream adoption of cryptos, the technology is quite user-unfriendly still at these stages. However, progress is being made at rapid speeds and I'm quite certain that by 2020, cryptos will be a huge force to be reckoned with.

Anyway, what this means is that all the new people in the past weeks have seen huge gains of up to 185% in the major currencies, and much more in the alternative and smaller ones. A shakeout to scare all these newbies and do a transfer from weak hands to strong hands is necessary for a healthy market, in my opinion.

Many of these people either own it through a CFD and are just trading it, or own it through an exchange. Almost all of them have never made a transaction with it. It's scary to think that people are throwing in thousands of dollars into this "technology", but they actually have never used it before and don't even really know what it does. Oh well, I guess it's okay as long as it props up the prices of the cryptos I own? Haha

Over the past day, Ethereum have dropping an astonishing 15% within a day. Anyone that thinks the crypto market is maturing to the point that there isn't much volatility and opportunities anymore is clearly out of their mind.

Hopefully this "dip" is actually part of something bigger and flushes out the weak hands and money chasers. It's a good time to separate the flippers from the long term believers for many projects as well.

I'd expect this correction to last a while, enough to make the newbies panic and we have another dip lower. Personally, I've been very disciplined to gradually scale myself in as the prices keep dropping.

With the upcoming Metropolis part 1 hardfork and a few good ICOs coming up, I'm particularly very excited for the progress and development of all my interested projects. I'm quite sure that by end of Q1 2018, my portfolio is going to be very nice and fat with many of my invested tokens making huge profits with their huge progresses.

Crypto is a crazy game guys. If you have no idea what you are doing and if you are only in it for the money, it's going to be a bumpy ride.

Right now, I'm fully prepared for the market to drop another 40% from these already lower prices. I hope it doesn't come to that, but that's just the kind of volatility and buffers that I think about.

Stay safe, it's a crazy world out there.

2 comments:

  1. Read in Bloomberg about China's Central Bank crackdown on ICO.

    ReplyDelete
  2. I bought more yesterday and today slightly less. This opportunity I think is hard to come by. China want to control everything. If they still think this way, then they should build a new wall higher than the great wall around their country to see if it work. After so many horrible years of communism, still want to control. If the world accept this eventually, they will be the biggest loser.

    peter

    ReplyDelete

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