Bitcoin Misery Index, hahaha I love it. It is hilarious watching Tom Lee explain what drives BTC prices relating to hedge fun behaviors and emerging market influences. It could very well be true that large hedge fund managers are the ones behind the drastic volitilty of the crypto markets, secretly plotting the massive pump and dumps resulting in redonkulous profits for their share holders.
NOT!!!
The only thing I agree with Tom is that there is a lot to learn about the crypto market and one important lesson that I learned is never ever trade on emotions. Know your goals and jump in and out of your price points is my current strategy. If you are a holdr because you have lost so much already and are pot committed, then hold on for dear life and pray.
As for me, I am exercising patience and hoping in when the market is all red to catch a small wave of 5-10% then hop right back out to wait for the next set of waves. Eventually I will hop on and hodlr but I agree with you that BTC’s floor could easily drop to the $2k-$3k range. As more regulations and monitoring are inevitably implemented, more people will sell and prices will continue to drop. I truly believe though that crypto will yield profits to those who hodlr for at least 8-9 years. Don’t ask me where or how I came up with that number, haha. All major companies like amazon, Microsoft, or Apple did not become dominant over night. Same with Bitcoin or STEEM, adoption will slowly develop as long as they create value to consumers.
Abadeepbadeep abadatsall folks. Best of luck with all your crypto ventures.
hahaha.
Ya, even if there are some reasons why hedge fund managers will buy Bitcoin more when emerging markets do well..
Stuff like that doesn't have a real sway on the price. Bitcoin can be wonky to think about, but if you take some different asset, like the price of corn...
If hedge fund money poured into it for some tangential reason that had nothing to do with the fundamentals of corn, then the smart money would know to sell or short to off-set it.
So hedge fund tricks, or anything that causes random buying pressure (or random selling pressure), doesn't necessarily hold as impacting the price.
The fundamentals is what really drives it.
Ya! I think I've heard disruptive technologies take about 10 years to really get going. Like AOL in the '90s, then about 10 years later you start to have Facebook and YouTube and the internet as we know it.
So we're probably getting close to the point where Bitcoin can be practical and useful.
And the first use cases won't be in the West. But in economies with shakier currencies and more need for it.
And currency issues will hit the West at some point too, if they don't back them up in Bitcoin before that. :p