My prediction of cryptocurrency price bottom to happen when...
Bitcoin may likely not hold $6,000. What will be interesting to see is when Tether rises above many of today's top market cap cryptocurrencies. I am predicting now the market will bottom when either of the following conditions occur:
- Tether fails to hold up its 1 Tether to 1 USD exchange rate.
Or...
- Tether is evaluated to be worth more than XRP- Ripple.
I have my eye out on Tether as I do not see how the staircase down will stop if traders continue to short the market. Tether is second only to bitcoin in daily volume traded per coinmarketcap. The reality is most who trade for tether is in hopes of trading out of it for another crypto. This creates volatility that in my opinion is currently hurting prices. One can say the market has more liquidity due to Tether. Yet we need more holders of coins now than we have ever before.
The reality of coin holders in the past were few and those who got in first has benefited the most. Now more people are involved and the amount of coins have distributed to more. So what is to stop people from trading coins back and forth? By not trading at all! Although there were not as many crypto coins and users three to five years ago, but the ones who did invest only became rich because they held. The current market drop is proving to many that if you do not hold you will likely be losing. (Except for those who short the market, but then again it is difficult to time the market.)
I am nether buying into this or selling but just sitting with my hands tie. I feel Tether's evaluation is becoming more and more pronounced even though each coin is only worth $1. The coin can continue its climb up in market cap mainly to how every other coin is falling, but Tether does absolutely nothing as a crypto beyond holding par with the $1 USD. It is beyond my imagination that crypto prices can fall to the point that ETH is worth less but XRP is little different. Both BTC and ETH has proven examples of why they are worth more than other cryptos. Lets see how things go in the days ahead as crypto prices continue its stair case down.
Thanks for reading.
Thanks for reading.
Date of post: 8/11/2018