You are viewing a single comment's thread from:

RE: Bitcoin Bounces Hard But Cryptocarnage Remains

in #bitcoin7 years ago

Fundamentals rarely have anything to do with markets.

Fundamentals do not price Tesla at $350 or bitcoin at $20K.

The market and what is going on with a company, industry, or blockchain rarely match. That is why some things are over priced, under priced, or even bubbled.

Over time, things should adjust...but sometimes they do not.

Sentiment drives market...it is a glorified casino....fear and greed are the motivators.

That is why the technicals and algorithmic trading can be success...because the behavior sprung from sentiment is often predictable.

Sort:  

I disagree there, because T.A. is based off of market psychology, which is based off of pack mentality and fundamentals - bitcoin hits prices due to supply and demand, which occurs because people want something, which is again based off of fundamentals.