Hey friends,
My last "real" post (not all the donation contest, which btw is a great thing, you should check it out, and actifit posts) was published a long time ago. Why? Because I study and therefor have a lot of stuff to learn which is why I don't have much time for basically anything else. But today I want to write about an important topic which is:
The stabilized cryptomarket - Good or Bad?!?
Source
Do you remember the time Bitcoin was at a high of $20,000? That was crazy, right? Today 1 BTC is worth a little bit over $6,000. That's still a lot but compared to the all time high of 2017 it still feels strange to see Bitcoin at such a price. Some may hope it will go back to $20,000 because they missed their chance to sell their BTC at that price. Others hope for a rise of Bitcoin because they just recently "invested" in Bitcoin and have the dream to make a lot of money with it. But I wish that Bitcoin will stay at the current price. Well, maybe not at the exact price where it is right now, a little bit up wouldn't be bad but not too much.
You hate me now, don't you? You hate that I said something like this. But if you think about you will realize that it would be the best for all cryptocurrencies if their value wouldn't fluctuate too much anymore. Because right now we finally we have something like a stabilized cryptomarket.
Stabilized or not?
To answer that question we need to take a look at the BTC price chart. Here it is:
This is the chart of the last month. Do you notice that the price on the right site is nearly the same as the price on the left site? Sure, there were some change of the price, we can see a little down from 11th of October to 16th of October. But besides that everything seems kind of stable.
Okay, the BTC price looks stabilized. But what about other cryptocurrencies? Here are a few other big ones:
[Btw, the source of the screenshots is Coinmarketcap, a great site, you should check it out (no advertisement)]
Okay, that is strange. Those charts don't look like the BTC chart. All of them decreased. But if you take a look at the 3 month or 1 year charts you'll see that this is quite stabilized. Sure, we do have some fluctuations but we can see a clear trend here.
I could write a lot about the reasons for this current behavior of the cryptomarket but let's get to the really interesting part:
Is this GOOD or BAD?
I think it is a thing. And one of my most important reason for that is: Experience. I asked you before if you remember the time BTC was at $20,000 but now I am asking you: Do you remember what happened afterwards? The BTC price decreased faster than anyone expected and caused a chain reaction. More and more holders became nervous and tried to sell their crypto, which lead to an even bigger drop. If you can't remember that time at all (or you just repress that memory), take a look at that:
The price went from ~ $20,000 to ~ $15,000 (That is -25% !) in less than 1 week. And I hope we will never ever will have to see BTC decrease like that.
If we have a stable price we will have a good and healthy supply & demand ratio which will prevent that this happens again. So the most important question is:
Do you want a fast extra buck or a cryptocurrency that will still be worth something in the future?
I think it is really important for us to have a stabilized cryptomarket so that crypto can grow slowly and become great again. Let's just don't overdo by trying to get the price as high a possible. We need people who trust in crypto and then crypto will never go down!
What do you think about this topic? Let me know in the comments :)
See you next time, and have a nice week!