So, many of you are probably accutely aware of the price changes of bitcoin. You're staring at your wallet, converting to USD, and thinking.. ugh. It's mostly red, and it has been a rough ride for mostly a month. Some of you may have panicked already. Some of you might be panicking now. I can't tell you what to do with your money because I don't know your circumstance, but maybe I can share an insight that I had while at @pillarvc's event last night.
In the room were many young people, some still in college, with faces filled with energy and enthusiasm. In that crowd were a handful of older devs that seem pretty comfortable making the rounds at the various blockchain meetups (which I'll start attending more frequently to evangelize Steem). And ever fewer still were the handful of millionaires or people representing millionaires and billionaires looking to make active investments in existing coins, tokens, projects, people, and companies.
If I figured out anything last night is that at least in Boston this feels like a tough correction, but from what I saw it leaves me more confidant than before that it's just a correction. This isn't a crash. This isn't enron. This isn't Lehman. This is an early lifecycle business going through boom and bust cycles that fuel the growth. So, as your making your sad clown face staring at your wallet I would ask to consider this: The last time btc was at this price was around 11/24/17. You can read here about how price was in between 78-90 cents. I'm looking at steembotracker.com (because I own it and like the USD feed) and seeing that Steem is at-
Block chain isn't dead, it's reloading
Corrections are good. They let new buyers into the market. BTC continues to follow from what I can tell Metcalf's law and we seem to have little trouble increasing the number of people in the ecosystem, and that's increasing the number of people investing, building products, performing services, and building a crypto economy. It's magnificent to watch.
Other investments
This dip is so low that I'm now mobilizing to sell off some of my other investments to make more room for crypto. If I can pull this off I'll have the majority of my wealth in crypto, and even though there's risk it I'm confidant we'll bounce back. So, I don't know what's right for your family because I don't know your circumstance, risk tolerance, balance sheet, or cash flow, but I'm moving out of fear and into greed pretty hard.
Bullshit disclaimers
As usual, I pity the fool that takes this as financial advice or thinks I'm responsible for the decisions they make. Make up your own mind and just take this as a neat aside of what I'm doing for my family.
I powered up to the tune of 259 steem power today and have $5k USD in my wallet waiting to be deployed at the mid 3s and 2s should the price hit these levels. I'm buying the dip!
"I'm moving out of fear and into greed pretty hard"
I laughed out loud. Usually people move from fear into something else... I wasn't ready for that. It is likely a good move though!
i did the same thing at that line. had me crackin up.
I loved that line too! Ha!
Ha, I didn't move anywhere... I'm stuck in Fear!
I think far too often people think as goes Bitcoin, so goes Crypto. I think the HODL mindset seems to blind people to changes in the market conditions. You can make an investment long term because you believe in the fundamentals of that investment. When it works, great. When corrections happen though it's foolish to assume the market conditions that existed at the time of your original analysis are still valid. Wipe away everything you decided previously and look at the situation with a fresh mind.
Crypto is not like stocks where there is a tangible business behind the valuation. Bitcoin is not going to merge with Etherium at some point, or buy out Ripple. I can't help but look at BTC as a proof of concept. Crypto might be here to stay, but any one coin can be supplanted at any point by a newer on that does a better job at that coin's function. I like STEEM, it is unique and has a use case behind it that is interesting, and seems to have a leadership position in its niche. Bitcoin, I'm not sure it hasn't been supplanted by basically every other coin in terms of use case. Why should it remain valuable?
Exactly! I'll stick with Steem thank you!
good analysis!
It is going to be interesting to see where the cash goes when it leaves the stock market. I think that people know they can trust the block chain but the currencies themselves are going to have to demonstrate value. This should thin the herd of currencies a bit but leave the remaining a lot stronger than they were.
Bitcoin tends to recover very fast if you look at the charts the last 2 years and especially this year. So I am not worried if you are a HODLer with long term perspective. If you are looking to swing trade the market however, this could be a golden opportunity.
I think that if we are in for a correction again around this time, something tells me it can be in the 40-50% range due to what I mentioned above.
Fast recoveries in the past two years were on the back of Tether, a meaningless indicator going forward.
We are already beyond the 40-50% you speak of!
Something feels bad about this crash.
Buy low - sell high - buy low - make dough!
Always upvoted and always reliable content Aggroed. Please consider my blog as well. I currently have 70,000+ followers on Youtube, Twitter, and here combined where my goal is to help improve the crypto community. I'm a crypto analyst in the community with high accuracy calls, and a focus on improving YOUR trading game in a concise and educational manner.
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I love the Mr. T reference. Thanks for pointing out that it was the same price in November.
I'm right there with you about selling off other investments to add more into my crypto portfolio. I know multiple people that are running away from crypto right now because of the bloodbath these past 2 months. But I see the bulls right over the horizon. Better to load up while crypto is low.
I'm uber-new to crypto but from everything I'm learning I have to agree that crypto is the future. On another note: Best disclaimer ever!
haha that was my reaction!
the main rule of investment is never to invest more than you can afford to lose. If you obey that one rule, you won't panick - ever.
Yes, this is a correction, and it won't be the last one. Some coins will die on the way, maybe even BTC. But the blockchain is an amazing new technology that is here to stay.
That's been my #1 rule. I am confident in blockchian tech and will as well invest most of my disposable wealth into more crypto. This is just like the dot com boom and bust. a few good websites made it past the finish line and few crashed and tumbled. Its all normal. Just do you research and place your bets
This is exactly what I needed to read right now. My gut tells me all will be well, and I’m glad to hear you echo the same sentiments.
I don’t know about bitcoin, but for crypto in general and coins liked steem or neo in particular I feel pretty confident.
Next year, today’s prices will probably look very cheap, just as last year prices look cheap today
Personally I believe bitcoin is getting back soon. Indeed a lifecycle business going through boom and bust cycles that fuel the growth, just as you've said. This is not the first time it has fallen. It always gets up, and this time it might get back stronger.
Otherwise see this as an opportunity for investment, no panicking. Don't be left out as it might not fall this low again.
To be honest. I'm losing faith in bitcoin on a daily basis. I've totally withdrawn my investments in btc and put them in Ethereum and Steem. But recently, I've noticed that bitcoin and ethereum have been following the same trend pattern which is leading to reduction in value. I feel the crypto world is under some form of stress cuz even our dear Steem has reduced considerable. I still have hope in cryptocurrency and especially in steemit. I hope we can bounce back
wait a few weeks. You'll be smiling again.
I really hope so. Thanks for the encouragement
ETH and LTC seem to move fairly decently in tandem with BTC, at least as far as i've surmised by watching them for the last couple months. but i think this is just a serious dip for the moment. once the Chinese New Year passes and US people get their tax refunds back, you're gonna see some very interesting times with the charts.
Interesting analysis. Thanks for this ☺. Hope increased
I would not mind if we went even deeper. Is a chance to buy lower
We all came in the crypto world for the reason that we believe in it. It wouldnt be healthy to have a 24/7 bullrun.
Its like life, you got great periods in life and some you wish you wouldnt be alive at the time...
Crypto is just like us people
The more people seeing btc is falling, the more people are buying and waiting for the right time to buy, until btc settle its problem, you'll see new currency in the making, UNITED as one
I agree this is the time to make or break. Good call on moving more into cryptos and I think it will bore you well. It is also good to know that the mainstream media and 'experts' are still against cryptos as this shows that the market has not reached it tops yet. We are still in the beginning of the innings.
Developing a seamless adoption user interface whom's continuous ease of use is the best way to ensure the propagation this glorious economic structure will be mainstream enough to purchase goods and services bia steem.
Entangling different categories of content especially in the mobile format will give rise to an incredible number of new users We must also ensure they regularly have positive experiences. Both in sharing their creations and experiencing others creations.
This is what we as early adopters must bring about in order to compete with the 'likes' of facebook and reddit. I'm all in on steem right now, though I have faith in many of the hardcore crypto communities that we will ride through the inevitable crash and come out giants on the other side.
I am suggesting a
This is simply the correction that we have been waiting for a long time... Now it's time to enter the market... We enter in the panic, we go out in the euphoria. This is where the bigwigs will enter to the market...
Both? I'm long term bearish on bitcoin but I can see it going up again Sunday night or on Monday.
Interesting post.
Good stuff, thanks
keep your morale worthy of motivation
financial is very difficult work. this post good informations. thanks
Hello sir
I don't seem to understand everything in your post. What's your advice to those with full wallet of digital currency. Are they safe? Would the price(value) rise again?
I can't tell you what to do. I'm HODLing and adding more in.
Alright
I'm new to all this so all I have is the ability read things like this and learn.
I am not looking to invest any of our money but to me it looks like the best way to build a good holding of crypto is just to spend time on Steemit - it's fun, there's no risk and you don't have to stress about market fluctiations.
So I am investing low but in time not money and I like it!
Ya, this dip finally brought me negative today, it sucks seeing that happen and wondering if I bought in too quick, I have most of what I'm comfortable investing in already, but this dip is so damn tempting that I want to put a bit more in...
I still have a ton of faith in the tech and the ability for blockchain to change everything. I think those reasons are why so many people are here, not just for the money, but for the change the tech represents
I am going to pull the trigger and accumulate more as soon as I see the price increase above the previous day high! I hope that comes soon because I am getting bored sitting on the sideline!
yeah, we're probably still goign down for another week or two, but we're getting there.
@aggroed I was telling my friend that this is the best time to buy bitcoin.bitcoin will bounce back if does so will sbd.
It’s definitely a correction. The whole ico craze really drove the prices up way past sustainable, until the companies who hosted those offering give something of value back and prove that the craze was worth the investment the FUD will drive prices lower. So anybody who’s fully believing in crypto as the future of global exchange knows that the adoption chart is still in an incline.
These are buying times right now. So many opportunities. HOWEVER, What I find hard to stomach are the haters. Haters talking smack can ruin a good thing just by stigma. The news cycle is full of "I told you so" talking heads predicting the doom of bitcoin and crypto.
This kind of talk prevents the needed new investors from diving in. So while I'm convinced of the crypto future, the still small voice in my head is asking, "Could the haters ruin it all?" Banking institutions and governments are scared of change. I think what we are seeing are torpedoes from bankster subs coming at crypto from all directions trying to blow it out of the water.
They are probably doing tat at the behest of the banks who are paying them to push prices down so the banks can buy, but I' a conspiracy theorist...
I think you are absolutely right with that statement. Bitcoin for example is the introduction point for investing in the blockchain. The cycles show bitcoin value decreased when ETH started gaining market share. Then it decreased again when the ALT coins got their share. It's about time for the cycle to move up, and the big institutions are working hard to push prices down to buy the dip.
I unfortunately, will not be able to buy the dip because I believe in each one of the tokens in my portfolio (day trading is too stressful for me). The market will recover, but as somebody say in a different comment, the HODL strategy needs to be adjusted to the market conditions.
Great post @aggroed
Will be back stronger than before!
But it needs some time 🤣
Well said! I'm getting as much as I can during this downtime. My wife and I invested in prepaid college for our kids so we didn't put much away for ourselves. I like when crypto goes down so I can buy more :)
I agree a dip in the market let’s those who would otherwise be priced out of the market get in.
Thanks for the advice.
Love the disclaimer!!!
I've been crying since dawn
Botcoin will recover and comeback strong....mark my words
Hope i can bemore greedy like you but i recently decided to go full time steemian. This feb 13 will be the firs steemit event in my city with TV interviewing us! Hope you check us out
No market ever heads straight up. There will be retracements along the way. In many ways, market corrections are healthy and useful. My only concern is that a lot of inexperienced people are now turning into day traders, thinking that they have the Midas Touch because everything seemed to go up forever.
Forex markets are extraordinarily volatile - if you open a retail brokerage account (in the fiat world), you usually have to pass an approval process (as in, you have to show a certain account size or a certain net worth) in order to trade forex (or other risky investments, like options). But that's not true with crypto - you can get started in 2 minutes with a few clicks. So that's the real risk, from my perspective. It makes it too easy to play with fire if you don't know what you're doing. Buyer beware (caveat emptor).
I'm going for the buy high, sell low strategy ;) I do agree thought that the dip lets people buy in....so it's helped me so far. Nice to be able to fill my little bags without having to buy the top.... I think that as more people understand crypto, more money will come in and push prices higher. The problem is still understanding and difficulty moving money around. Or perceived difficulty anyway.
I think it's an correction. good poste
@as31
This is a buying opportunity..... but I would tread lightly. Because Tether and Bitfinix, are a dark factor that can bring the market crashing. It could be another mount gox episode if tether is proven to be a scam. Tether created more than 2.3 billion coins in just 1.5 years..... and ignoring a subpoena. Looks and feel really fishy. I just hope I am wrong, but will have cash on the side...just in case I am right.
its FUD not a crash or correction.
IMO at least.
nice bitcoin......i love money .. thanks dear..
Selling off other assets is a BOLD move but what better time to to it then at such a massive dip :-)
I hope your rocket ride is only up from here!
@aggroed Do you think the sbd/steem pair will continue to increase or go back down? I'm hoping it goes back down, i got a stash of SBD that i wish i converted to steem a while ago now haha
Patience is a virtue! We just need to wait and the market will be green again. :) It's reloading, it's a correction, better buy while it's low and sell when it's high! Thank you @aggroed! :)
It´s a Correction, because how can it crash if it is only now starting to go up?
This is the so called Volatility of the crypto markets that we all love. :D
There was a great opportunity to buy on this discounts, the end of the deep was on Friday, so I think we could call this a Black week, so many cheap things/coins everywhere...