About 24 hours ago we witnessed a wild pump in Hive's value as it rose to about $1.49. It was a largely unexpected pump and it was interesting to observe patterns surrounding such a pump.

I came across a post by taskmaster on how he sought to take advantage of it by converting some liquid Hive into HBD in other to resell in light of a future drop in value. Of course he wasn't alone on this, as quite a few people did the same.

I believe the reaction to the pump perhaps show some important behavioral patterns about participants in the cryptospace which is important in understanding how to best plan maneuvering mass acceptance and adoption amongst users.

The first lesson here is that many crypto holders are maximalists. This of course has its advantages and disadvantages and I believe that crypto cannot simply be accepted as a mere pump and dump market. However, it doesn't mean that even ardent believers in the technological prowess of the blockchain will not take advantage of an opportunity to profit when it presents itself so willingly.

Secondly, the conversion of Hive into HBD showed that we crave stability but enjoy the profits from volatility. In the future, the cryptospace has to be way more stable in other to gain mass acceptance as a lot of critics lash on to its volatility when trying to downplay its influence in the financial sector. For us users, there is always a feeling to hedge our losses and prevent the erosion of any profits. This is why leofinance with projects such as Cub finance and DeFi are a viable option going forward and point towards future trajectory patterns for behavioral movement.

The third thing is perhaps one to note on the side. The speed in which many people took action showed the readiness for any eventuality transpiring on the space. Make no mistake, the same way there were people who took advantage selling in a pump is the same way people will take advantage by buying during a massive dump with the same speed of market reaction. We are in a way 'ever ready' in this space which means that at least on Hive we are fully accustomed to current market behavioral patterns.

Going Forward

In the future perhaps market behavior would vary greatly and we will have to adjust accordingly. I crave a more stable future but that could take years or even decades to achieve. Positioning ourselves in other to take advantage of any changes will instead be the focus until we can move beyond market swings. Hive, Leo and many other projects off the Hivechain offer an opportunity to take advantage of whatever price movements by the opportunity to keep earning regardless of prices. This distinct opportunity should be taken full advantage of as the potential for projects Hive and Leofinance still have the opportunity to make huge dividends.

Conclusion

Nothing wrong with taking opportunity when it presents itself. However, we must not lose sight of why we have faith in the space and show people there is also potential beyond mere pumps and dumps. The crypto sphere is one wild ride though, and only those who hang on tightly adjust accordingly will make the most of it.

Posted Using LeoFinance ^Beta