Every time the price of STEEM is going south, there is something interesting happening in the ecosystem. In very few words: it's an opportunity.
Let me explain.
The rewards pool value, displayed in steem.supply is showing the number of available tokens for the next 7 days. If this number decreases, it means there is a lot of activity and users are "drawing up" from it. If the number increases, it means the activity volume in the platform (mainly voting) is decreasing.
During the price pump in December last year, the rewards pool went constantly below 700k. But as you can see from the screenshot above, now it's around 713k. That's almost a 2% increase. When we're talking about millions, a 2% increase can mean a lot of money.
It's very easy to understand this situation from a psychological point of view: if the only motivation of users contributing to the platform is financial, when the price goes down, their involvement goes down. It's basic human behavior.
But, because it's basic, it means it's also not very profitable.
In other words, when others are fearful, be greedy (I think this is credited to Warren Buffet, but I doubt he's the first one he ever saw it).
These numbers are showing up something that we may not see very clearly, because we're emotionally entangled: when the overall sentiment is bearish, there is a real increase in the potential rewards.
It's up to you to take advantage of it, or not.
I'm a serial entrepreneur, blogger and ultrarunner. You can find me mainly on my blog at Dragos Roua where I write about productivity, business, relationships and running. Here on Steemit you may stay updated by following me @dragosroua.
Wanna know when you're getting paid?
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I know the feeling. That's why I created steem.supply, an easy to use and accurate tool for calculating your Steemit rewards |
Just checked steem.supply! Love it!
I earned $340 on a post, which is good.
At the time, steem was worth 10c.
That post made me 3400 steem, which is currently worth about $12,000.
Post in the dips and don't cash out :)
True words of wisdom :)
340 on post is more than good, I have made less from all my blogging so far...
The majority of STEEMians make less than $1 per article.
Before the pump, I was making less than $0.50 per article and I was ranked in the top 4,000 of author rewards. There are 200,000+ active users.
This has been my thinking, although it's nice to see the data to support my intuition. My feeling is that since people come to Steemit to make money, there are many people focused on how much they can get for their earnings in USD. Even watching David Pakman's interview w/@aggroed, Pakman was asking about SBD-to-USD conversions, which I thought was curious, given that I thought SBD was purely meant for upvotes (shows you more that I've never made enough SBD to even think about trying to exchange it). But I agree - take advantage of the bearish sentiment.
i.e. spam post like there is no tomorrow :)))
and don't get flagged somehow
The question is, how to do that?
How to take advantage of an increasing reward pool..
Interact more. Contribute more. Increase your chances for vote generation.
Well, one can at least follow the get rich quick steps here.
;)
I had a look at the steemsupply yesterday !
There are so many tools that new commers like me can feel drowned with infos !
What I have already understood is to follow the good persons like you ! And what you have said above about value and interst is so true !
When the BTC was going up the whole french press went crazy and everyone wanted to buy in , and now that it has gone down the press does not talk about it anymore and people interst just faded away .
What I regerte the most in this time is that people don't understand the wonderful tech that is behind all and how it will change the future for our kids ....
But thats huimans right ?
http://steemtools.com/ They are all listed here. Once I found this site I was even more overwhelmed but then came to terms with I won't need to use just about any of these to get the most out of steem. So be aware of them try them out see what sticks with how you use steem and like most social media platforms the more you put into it the more you get into it.
@dragosroua I like when you bring this to our attention it helps to know how STEEMIT acts depending on how the Price of STEEM is Acting..............
That's true, but it's kind of difficult for newbies to take advantage of it even though there level of interaction is high.
i lways pray for prices to increase,anyway i love steem.supply.because i cant spend 2hours without checking it,lol
@dragosroua what effect do you think the increase in the supply quantity of sbd will have on its price?
it will probably go down, that's the general rule. But I might be wrong.
Good point! Unfortunately, I think greed still strongly regulates the growth of the platform ...
Cheers
Nice and good post love it hoping to see more from you
I'm not understanding your view point dear @dragosroua:
STEEM Price Goes Down, Rewards Pool Goes Up Thanks!
Muy buena apreciación y consejo, aunque de momento no creo pueda aprovechar algo así jeje, saludos.
Nothing unusual.
It's a bit interesting at the moment as SBD has dropped below Steem for the first time in my short time here. It's going to become harder to power up, so I wonder how this is going to be for new users.
That's actually a very interesting correlation. I guess this also means that the platform also has a self-correction mechanism as the slight increase in the reward pool is indeed an incentive to become active again and continue to create value on the blockchain. And when more value is being created, the demand for the tools to create it (Steem Power) would hopefully increase.
Its good to see that it is a great time to try to build up from a minnow!
I thought I heard my husband say the same thing!