📉 Bitcoin's The Hardest Currency To Crash. 👌
If bitcoin were a car it would be the Batmobile because of all its strengths and technological capabilities. Think of all the qualities that made you decide that bitcoin was a better currency than fiat currencies and how much higher you'd be willing to pay to own a bitcoin. Would you buy some at $20k, $50k, $100k or $1M even if it were fractions of a bitcoin?
Based on your answer why wouldn't you buy bitcoin at the current price levels? If you are willing to buy it at $20K and above, then it shouldn't matter if it goes on to dip below current prices after you buy it because you know it's value. The Batmobile is still worth much more crashed than an ordinary car simply because of the technology that can be salvaged from it.
Bitcoin is hard to crash because too many people in this space understand the massive value of not only bitcoin but cryptocurrencies and blockchain as a whole. Most of these people are known as hodlers, they buy crypto assets to hold for the long-term because of what they're worth further down the line.
A few days ago I hinted in a post about the bitcoin genie being out the bottle. Once you've used crypto and made a payment with it you can never go back to anything else because it is so efficient to use as a money. It is also a cheaper and safer form of storing value compared to precious metals and other assets that can be confiscated.
So whenever someone tries to "manipulate" the market to crash this provides hodlers the opportunity to buy more and if need be this will continue until there's no more bitcoin to manipulate except the lot in hodlers' wallets. If that were to happen then we would really see how much bitcoin is worth when the only people selling are those who've been hodling through the ups and downs over the years.
To elaborate on the value of bitcoin let's look at the numbers because apparently, they don't lie. As of June 2018, there is approximately $1.67 trillion in circulation and more are being printed as we speak. According to my calculations, that means there are 80 000 dollars for each bitcoin in existence. Based on that statistic alone it means a bitcoin should be valued at $80 000 which is more than 12 times its current valuation.
That isn't taking into account any of bitcoin's attributes such as privacy, lower fees, border-less, accessibility, and deflation just to name a few. Not to mention that half of the world's population, roughly 3.6 billion people, have access to the internet. Only a third of the 3.6 billion people have access to a bank account which makes you fully realize the scope of bitcoins superiority over any fiat currency.
On the other hand Bitcoin definitely, some issues but none are more pressing than it's scalability issues which prevent it from being able to accommodate a mass adoption. We saw the effects of these issues back in December when transaction volumes were at all-time highs and Bitcoin's seven transactions per hour just weren't cutting it.
There's work being done behind the scenes to address these issues on both sides. Bitcoin is looking to implement the lightning network for fast transactions, which solves the scalability issue, and even lower fees. The fiat system simply cannot ignore that blockchain is the future of money systems and are looking for ways to transition to this system.
I believe it is safe to say regulated or not Bitcoin isn't going anywhere and it's only a matter of time before cryptocurrencies become the new standard form of money and payments. The secret to success is knowing where to position yourself and stand firm in that spot until you realize your goal.
When the future becomes the present on which side will you be positioned in? A few days ago I wrote a post titled 'Trader or Hodler? Choose Wisely' where I shared the pros and cons of both.
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I think there will be another sell off at the mid to end of July. It will break $5000, then it will get to $4200 and then get below $3000 to shake out the week hands then hang on. I think there are some other good coins out there and one i am really really bullish on is Rchain, i think it will be a big player coming into next year. Rchain scalability will be 100 000 transactions a second putting them in the realm of VISA..........watch this space. I also think Telcoin is as cheap as it can get right now and they are the bank for the unbankable using telcos as banks because most of the world don't have access to banking systems but they have mobile phones. Only way is up for this coin. This is not advice this is just my thoughts.
I will definitely look into these projects. I don't see bitcoin going anywhere below $5k as I mention in one of my last blogs that the people remaining are mostly hodlers that are likely to buy than sell bitcoin at current or lower prices.
Well looks like i was way off lol
Right, it's hard to crash. But it would be good for the whole market if the other crypto currencies did not depend just on Bitcoins price and growth. Do you agree?
Yeah, for sure. Most alt-coins truly are dependent and serve different purposes than bitcoin. I do think the reason why they're tied to bitcoin is that they're paired to it on exchanges. It would be better if they were paired for trading with Tether.
Was the delay on bitcoin's end? Glad you were able to log in.
Yes, it was bitcoin's blockchain. Transactions were being processed slowly sometimes taking 12 hours to be confirmed if at all.