Bitcoin Rockets and Paranoia is Setting in Among Many of My Fellow AltCoin Holders.
A few weeks ago someone asked me why the altcoins tend to lose value in Bitcoin terms and USD when the price of Bitcoin rises. In today's case this is true. There are three types of scenarios.
- Bitcoin rises and altcoins rise with it as the whole market cap goes up. This is what we saw throughout the first half of the year. During this type of market everyone is a winner.
- Bitcoin rises and altcoins dip due to big news in Bitcoin. This is what we are seeing now as Bitcoin is working through its problems and the community is scrambling to buy Bitcoin so that they can get free BCC (Bitcoin Cash). I dub this effect, "The Bitcoin Rubberband Effect".
- Altcoin fever sets in when Bitcoin volatility gets boring.
The Bitcoin Rubberband Effect.
When Bitcoin rises quickly due to some exciting news FOMO sets in and the community jumps on the Bitcoin bandwagon. The price will shoot up to crazy highs before settling. Then as the Bitcoin market slows down the whales in crypto will look for other places to profit. As soon as experienced traders see this they will also move their Bitcoin profits into altcoins. This is when big money is made. Altcoins will rise quickly and regain their positions relative to Bitcoin. This is when it gets very exciting in Crypto Currency markets.
Remember, when everyone else is going in one direction it is best to sneak in and get some amazing deals. The question is what is more fun, speculating on BCC (Bitcoin Cash) or knowing a fat payday is coming whether Bitcoin Cash is successful or not? My bet is on the altcoin market so I am not participating in this Bitcoin run up.
If You Think What is Happening in the Crypto Markets is Odd, This is For You!
The more I watch coinmarketcap the more random movements appears.
be careful some things always work until they don't
History is our friend.
Pretty spot on with what we all have been experiencing with Bitcoin and Altcoin. Let see what happens as we get closer and closer to August 1st.
Bitcoin all time high is my guess and then BOOM! It will drop.
the way i see it bitcoin is like the reserve currency for crypto's of the world. all the other crypo's are like individual country's currency.
This is kind of strange, that altcoins fall, when Bitcoin rise. In my opinion BCC( Bitcoin cash) is trash. It will be interesting to see what happens after 1st August. I bet that it will be positive overall for Bitcoin.
a very confusing time in crypto world.putting some bitcoin into cold storage and the rest will invest in some in promising altcoins.nice share
Buy Low sell High......... buy the rumor, sell the news I don't know why so many people tend to do the opposite...... they lose money that way.
IMHO I'm suspecting that people are dumping their alts to get into bitcoin to profit from BCC and that's what has been fueling the BTC price rise lately and it explains the drop in most alts we are seeing today
If it's the case then we might see more BTC strength and more alts weakness until Aug 1st when people will be taking profit by selling BCC and may be reentering the alts market
That's exactly what I'm planning to do, holding my BTC until the 1st then buying back all the alts I use to own (I sold all my alts for BTC earlier this month)
Hey brother...not a fan of this new coin, and I am in agreement it is going to be another ETC. I am not buying any extra BTC right now to get any BCC, right now I am scooping up some of my alt coins that have dropped in price while everyone else is chasing this BTC/BCC fork.
That is essentially what I am doing. I might add a short on Bitmex about 6 hours before the fork.
Wow, very informative article. I often wonder how those types of spikes happen. Always good to learn more about the world of cryptocurrency; I am totally new! That GIF is for me - lol.
It is weird this time because of the Bitcoin fork.
Interesting analysis, I'm agree with you that the big profits will come from altcoins, however, as you say in other comment, BCC might succeed like ETC. I'll hold my few BTC to ge some BCC but still aslo will keep my alts and see what happens.
Would you mind if I translate this post to spanish? with the respective credits of course and linking your original article as well. I'll post other one with a different position and i want to share both perspectives.
Do Bitcoin holders get BCC? I was trying to find info on this..??
Yes but not all exchanges support this.
Select exchanges and of course if you hold them privately you will.
It seems like everyone is pumping bitcoin so they have an opportunity to benefit from exchanges like bittrex who are offering bitcoin cash to a 1:1 ratio.
What I'm fearful is the backlash and the rubberband effect it will have. I feel like people see no value in BCC, they only want it as they see it as a way to get free money so it will almost inevitably get dumped.
I guess we will have to wait @hilarski and see but at the moment there is a huge altcoin dump and squeeze as people are craving to get them hands on some 'free money'.
It seems to me, that Altcon — antagonist of Bitcoin. And acts as a reserve currency. Like the Dollar and Gold, for example :=))
Yes, absolutely
I was thinking the same thing about Steem price going down. It will be perfect opportunity to buy.
8.5% increase over last 24h when most other cryptos are red is a good sign. Do you think BTC might reach 3k$ before August 1?
Sure, it could reach and All Time High due to this FOMO but I think it will come back down quickly. That is just my opinion.
I don't think its odd, everything should be buying only bitcoin , altcoins are mostly scams
Um, No!
Upvoted and also resteemed :)
Thank you so much.
I was looking at ETH/BTC today and figured that it was a golden opportunity to flip. I'll hold the ETH I've gained very cheaply now and wait for the inevitable gains. BCC could end up being worthless as everyone dumps it for quick profit - and a great many will have flipped their ALT coins expensively into BTC (at a deficit) to try and catch the opportunity. They could end up bearing a reasonable loss or find themselves stuck in a long holding position to regain their margins - assuming that BTC continues to rise long-term. Time will tell :)
If we just sit back and wait for it to rain BTC we will be making nice profits in Altcoins.
...and there's something nice about that :)
Bitcoin is smiling in our faces while people is in panic but i want a little fall soon to buy cheap
I hope everything will grow because I am so crazy today!
Thank you so much for your support man!
Can't afford to get into Bitcoin anyway. Looking for good (and affordable) altcoins to invest in.
You can buy fractions of a Bitcoin. ;-)
low price STEEM is a nice starting point - for obvious reasons. But spread the risk regardless ;)
Thank You Randy... Your post is a balanced, well reasoned response to what we are currently observing and it certainly helps confirm my gut feelings...
Thanks Again... Have a Good Weekend !!
I appreciate that, have a wonderful weekend as well.
this is market no thing in balance every time
Wow, all the BCC tokens being given out at a 1:1 ration for free? It must be so valuable . . . lol
It looks like you are not buying the FOMO either.
Cheap bitcoin coming up next week! At least I hope so...
I am just closing my eyes and not touching anything in crypto for couple weeks at least.
Bitcoin cash will definitely going fail , it is nothing more than a trash.
That is how I feel to but it might succeed like ETC (Ethereum Classic).
I agree. It may well have some legs. There's a lot of (common) sense in what they're doing.
Buy bitcoins, sell it... then buy altcoins :)
Timing is everything if you make that play.
Greetings @hilarski !
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Haha those memes though :D Great idea adding those, it really makes things fun.
Those three points are pretty accurate, @Hilarski. Am I safe to say that the solution to staying safe with all three situations would be to simply diversify?
Haha it's pretty funny if you think about it :D There's a reason why the Whales are where they are.. They know what they're doing lol. It says exactly that in the irony of that example :D
Nice post. I trust we will talk again soon.
but i think altcoin is best than other small coins and its rise soon like etherium..whats ur thougt about altcoin @hilarski sir
I am not a big Ethereum fan. There are other Smart Contract platforms coming along like EOS, Guld and Stratis.
That owl is very cute!
Great analysis and explanation @hilarski. I totally agree and approve. Upvoted & RESTEEMED.
Thank you, no need to chase something that does not exist when we already have some great altcoins available.
Indeed! And your welcome :]
Superb!🤤
https://steemit.com/adventure/@pinkbiru21/holiday-in-mickey-holiday-brastagi
Plise vote back
How about stop spamming! 1st warning, next time you get a 100% Flag for free.
Nice
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A very nice article @hilarski! I am following you!
Resteemed! Thanks for sharing!
same applies for ether when Btc rise eth rise just slowly when btc fall badly eth fall badly what's is this therory
I agree completely. I've loved buying more Steem at 40k, Storj at 13k and others. Still holding around 25% in BTC for diversification though.
You guys should check out Fastcoin. I think it will be the next most innovative crypto coin out there!
I'm new and only have BTC, so I'll just wait on buying alt coins. This is gonna be crazy
Knowing a fat payday is coming.
I just in case all the bitcoins transferred to altcoyins. Until 1 August :)
I'm just keeping the coins I have, and buying some more at cheap prices. The whole fork and BCC thing doesn't interest me, and I'll be glad when it's done. In the meantime, I get to add to my crypto portfolio at low prices, and make some nice profits on them later when their values rise.
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Sometimes we have to stop looking at news and prices.
The key is to investing in value. People go crazy buying and selling, while people who make real money invest in value.
Just look at the richest men in the world.
News, in the vast majority of cases, only serve to take money from the sardines to feed the sharks.
Bitcoin and some altcoins have a great future ahead.
Great post my friend :D
Congratulations!