Crypto Academy Week 13 Homework Post For @imagen - Cryptocurrency Market
On this occasion I will try to answer questions from the homework given by the professor @imagen, as for this week's class related to the Cryptocurrency Market, well I will try to answer some of the questions given in this week's homework.
Explain in your own words the concept of Domination in the world of cryptocurrency. What is the dominance of Bitcoin when doing your job? (Serve at least 1 chart)
Domination is an object, whatever it is, which has a higher power than other objects in one container. it can be said which object has the higher strength due to the superiority it provides. if we talk about cryptocurrency then bitcoin has the highest dominance.
as we all know bitcoin is ranked 1 from other cryptocurrencies. this can be said that this coin dominates from other cryptocurrency coins. so if we say in the discussion of the percentage of dominance, at the beginning of the creation of bitcoin, we can say that the percentage of bitcoin dominance is at 100%. at the moment there are many other coins that have been created so that it can be said that the percentage of Bitcoin dominance has been adjusted to the market competition between other cryptocurrencies, so we can see the chart below.
so when I made this post the percentage of bitcoin dominance was 40.87% of the total cryptocurrency in the market, it can be said that bitcoin dominates the market compared to other cryptocurrencies, almost touching half of it.
Name at least 2 times the market experienced a strong decline, name several currencies that were affected. (Use screenshot)
OK, I will discuss the decline in bitcoin price that affects the value of other cryptocurrencies, there are cryptocurrencies that I will discuss are Binanc (BNB) and Ethereum (ETH), the effect of the decline in cryptocurrency due to the dominance of bitcoin in the cryptocurrency market is enormous.
Decline in value of cryptocurrency (July 30 to August 14, 2018)
On July 30 to August 14, 2018 bitcoin experienced a very significant price decline in those 15 days the value of bitcoin fell from $ 8208 to $ 6226 as shown in the chart below
On July 30th to August 14th 2018 Binance experienced a very significant price decline in those 15 days the value of Binance fell from $ 13.92 to $ 9.45 as shown in the chart below.
on July 30 to August 14, 2018 Ethereum experienced a very significant price decline as well, which was very significant in those 15 days the value of Ethereum fell from $ 465.73 to $ 282.99 as shown in the chart below
What is Altcoin Season?
as we all know altcoin is a term for other cryptocurrencies besides bitcoin. Altcoin season is an increase according to the value of altcoins which are influenced by the increase in the value of bitcoins, this all happens because bitcoin has a very large dominance in cryptocurrency. the altcoin season is an excellent opportunity for both traders and investors to take advantage of this increase in altcoins.
Give a brief description of at least 2 altcoins that are in the TOP 50.
Litecoin (LTC)
Litecoin has many similarities with bitcoin, but this coin was made as a form of modification or development of bitcoin by having several differences which are expected to be useful for investors and cryptocurrency miners. The differences include the speed in transactions and costs.
Litecoin is one of the most popular cryptocurrencies so that this coin is certainly very safe, Litecoin is supported by cryptographic techniques so that it can guarantee the transaction and recording process according to the rules. Cryptography is usually used to regulate the supply and demand of this coin. So it can be said that Litecoin is one of the most trusted altcoins
according to coingecko the current price of Litecoin (LTC) is $314,53 and is ranked 10th among other cryptocurrencies, while the circulating supply on the market is 66.752.414 out of a total supply of 84.000.000
Stellar (XLM)
Stellar (XLM) is a popular cryptocurrency. Stellar was created by Jad McCaleb with the hope of making transactions between countries quickly and without intermediaries, this solution really helps overcome the shortcomings of bitcoin. so it can be said that stellar (XLM) has the advantage of speed of transactions and at a very low cost because there are no intermediaries.
according to coingecko Stellar (XLM) current price is $0.666 and is ranked 14th among other cryptocurrencies, while the supply circulating on the market is 23.125.356.429 out of a total supply of 50.000.000.000
How can relevant news affect cryptocurrency prices positively or negatively? Name at least 3 examples. (Use screenshot) (Example: SENSO announces 70% token burn, within a week the price goes up by more than 100%)
Dogecoin
Everyone who knows cryptocurrency knows Dogecoin, because this coin became famous when Elon Musk made a tweet about this coin, while the tweet was made on April 15, 2021 which reads Doge Barking at th Moon, thus making investors buy this coin. at that time this coin experienced a very significant increase in price. the following can be seen from the graph below.
we can see from just someone's tweet can affect the increase of a coin, this is what is called into sentimental analysis.
Stellar (XLM)
One of the news that affects the value of other cryptocurrencies to increase is Stellar (XLM), while the news was officially released by the Office Comptroller Currency in November 2020, the content of the news is that the United States allows world banks to implement a digital money management system. so that it makes investors interested in investing in stellar by reviewing some of the advantages that this coin provides in transactions. As for the increase in the price of the coin, we can see it in the chart below.
Tron (TRX)
other news that affects the increase of a coin is on Tron (TRX). the news contains the agreement signed with DuckDAO. This news circulated around the end of March 2021. So that Tron experienced a very significant price increase. This can be said to be very profitable for investors who hold this coin because the increase in the price of this coin is more than 2 times the previous price. we can see this increase in the chart below
Describe one of the following Penny cryptocurrencies:
(Shiba Inu, Safeemon, or Eclipse)
Shiba Inu (SHIB)
if we look at a glance, the logo of Shiba Inu is almost the same as the Dogecoin logo, yes, you can say this coin was created to be a competitor to Dogecoin. Shiba Inu is a centralized meme token. Shiba Inu is an ERC20 token which means it is on the ethereum network. we can also see that in recent days the chart of the Shiba Inu has experienced a very significant increase in price. even the percentage increase in price is more than that of Dogecoin, even though the price of Dogecoin is higher than that of Shiba Inu. Let's take a look at the chart below
From the coinmarketcap data above we can see that the Shiba Inu (SHIB) is ranked 28th compared to other cryptocurrencies and has a price of $ 0.00001757
From the graph above, we can see the significant increase in the price of Shiba Inu (SHIB) a few days
That's all I can explain in homework this week. I hope it's easy understand
CC : @imagen
CC : @steemcurator02
Hola @mikejenseen
Gracias por participar en la Academia Cripto de Steemit.