Crypto Predictions - 12/31/2017
The aggregate rise of cryptocurrency prices has been emaciated for the past several weeks. While I do not believe that cryptos are destined to stagnate or plummet in the long term, I do believe that this is the short-term end to the parabolic rises in crypto prices that we've become accustomed to.
This period of stagnation opens the door to major corrections. Because so many crypto investors decided to invest solely because of these coins' meteoric rise, lots of these coin dilettantes will be spooked by the recent slowdown, and many will exit the market.
Thus, I believe that there's a significant possibility (maybe a 50% chance) that many of the coins will lose as much as 80 or 90% of their value (I know I'm echoing Charlie Lee here).
HOWEVER, while I am bearish in the short term, I am very bullish about the long term. I believe that crypto prices will recover from a crash, and I think that several "winners" will probably be widely adopted as true currencies (not just investment vehicles - for which purpose most coins are currently being used). My money would be on Ripple's XRP, since it has top-notch senior leadership with the ability to negotiate its way into acceptance by major corporations.
In sum, prepare for a wild ride, and possibly deep dives in the short run. Over the next five years, I expect certain coins to rise significantly, to stabilize in value, and to earn common acceptance as a means of exchange.
Do some more research dude.
The banksters behind Ripple the blockchain, are not committed to using XRP the token in the future.
The version of Ripple blockchain that the banksters end up using will be a private version. You thought the horse would change its spots and let you participate in what they view as "their rightful profits"
You are naive. Banksters have no intention of sharing with you. They have the intention of continuing to shave percentages, which is their basic business model.
Do some more research before you keep spreading positive news about XRP the token.
You don't seem to have cited any research whatsoever. Sounds more like a hunch mixed with some sort of animosity toward bankers.
https://steemit.com/cryptocurrency/@primeer/why-ripple-token-xrp-is-terribly-overvalued
http://mashable.com/2017/12/29/ripple-currency-is-not-actually-currency/#5mg1vE0_ugqt
https://www.forbes.com/sites/ksamani/2017/12/20/the-bear-case-for-xrp-bitcoin-futures-edition/#3296489914e6
https://en.wikipedia.org/wiki/The_Scorpion_and_the_Frog
If you haven't seen the fable about the scorpion and the frog, pointer is above.
I have no animosity towards bankers. Just as I have no animosity to scorpions.
But I have enough experience and wisdom born from years, and enough common sense to know that:
The reason why an investment in XRP tokens is guaranteed to eventually lose you money is no more complex than that.
Every animal has an innate nature it cannot run away from or hide for long. Including bankers.
Stated differently - the bankers will definitely find a way to use ripple blockchain technology to become more efficient at cross border fund transfers.
But they aren't going to share that increased efficiency with "Joe Public". They will take increased efficiency into their margins.
They are corporations. They exist to make a profit for their shareholders. They don't exist to pass on windfall profits to "Joe Public" dudes, who happened to buy some XRP tokens with dreams of getting rich without having to work for it.
That doesn't make bankers "bad". And "profit" is not a dirty word.
But you shouldn't reasonably expect that you are going to get rich for doing nothing, while the bankers and Ripple Inc are working hard and spending research dollars on innovation.
If you want to make crypto profits, you need to be investing in public blockchain projects, that have a reasonable chance of linking into the real world of $$ flows.
I understand your position better now. It's a valid argument. For now, I think XRP holders' interests coincide with the Ripple Corporation (both have an interest in XRP's value increasing - it gives credence to the company and constitutes good publicity). However, if they ever do want XRP to be widely adopted as a currency (as opposed to an investment vehicle), they may try to implement some sort of monetary policy to control volatility (which is highly undesirable in a currency). This could have the effect of limiting XRP's profitability to the holders, to the benefit of the company.
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The top coins have never lost 90% of their value and I don't see why that would happen in 2018. If anything, they're going to rise in value.
Crypto currencies have very little value other than the value people choose to ascribe to them (sure they can be used as a currency, but I'd wager at least 80% of the crypto holdings in the world are used for investment purposes - not currency/transactional purposes). Unlike stocks, there's no revenue stream to back up the value. Therefore, we are left with the fact that the skyrocketing value of crypto currencies is based almost entirely on people's expectation that they will CONTINUE to rise in value. Once this expectation disappears, so will the bullish enthusiasm for crypto, leaving the bears to run the show for a while. Maybe 90% is a bit of a stretch, but I think the crypto community is stuck in its own echo chamber - dismissing any suggestion that these assets may be vulnerable to retrenchment as "FUD."