Bitcoin sneezes and the rest of Crypto catches a cold
Bitcoin starts selling off, everything else sells off even more
In what has been common place in crypto, altcoins are selling off hard when bitcoin dips.
There is an old saying in crypto that when bitcoin sneezes (or dips) the rest of the crypto market catches a cold (or dips even more).
Bitcoin got up over $11,900 last night only to start selling off basically ever since.
It seemed to accelerate when jobs data came out in the US that wasn't as positive as many investors had hoped, sending stocks and bitcoin down.
The altcoin market took it on the chin even more...
(Source: https://cointelegraph.com/news/bitcoin-price-briefly-crashes-to-112k-after-us-jobs-data-disappoints)
I suspect this dip will be short lived...
If this is indeed the start of the next major bull market, and I suspect it is, then these dips will be short lived.
If you look at a chart from late 2016 through the end of 2017, which was the last major bull market, you will see that there were plenty of dips along the way.
However, these dips didn't last long and they didn't go very deep.
Every single one of them turned out to be a buying opportunity all the way up to $20k.
There is no guarantee that this time will be exactly the same, but if we do believe this is the start of the next major bull market rally, these dips are useful for picking up some more coin.
While not trading much, I do like to trend around a core position in bitcoin in order to build up my stake. Meaning when things get overheated I like to take some off the table and put it back to work on dips with the goal of getting more BTC than I had previously.
In bull markets that means selling when metrics get overbought and buying back when these dips happen. It's not easy to do and often can result in having less BTC than you started with when the big moves up happen, so keep that in mind.
STEEM weak as well...
As I look across the markets there are a handful of coins that are doing well today irregardless of the negative environment.
STEEM isn't one of them.
Check it out:
(Source: https://coinmarketcap.com/2/)
Luckily it's not down more than it is with the main steemit account powering down and sending 2.5 million to Binance this morning.
What they plan on doing with that STEEM is anyone's guess since they don't feel the need to let us know anything about it.
It's not a great sign but the price isn't down as much as it would be if they dumped those 2.5 million on the bid.
Either way, it would be great to get STEEM back on the first page of Coinmarketcap.
It's important for getting including with the next bull market.
Stay informed my friends.
-Doc
Isn't it a good thing if Steemit dumps it's stake on the market? I know the price will drop initially, but we will be able to buy the Steem up, at a discount and make the Steem Blockchain more decentralized in the long run? No having one entity with such a large stake anymore?
In the long run possibly. But I was hoping Just would use some of his resources to build STEEM up. IE get it listed on more exchanges, get it integrated at more places, help provide funds to build some apps etc. Or even just pump the price... If they are bailing on their investment, all that goes out the window.