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RE: Ask Me Anything Contest The Best Questions Win SBD - Dragging You Up With Me Week #6
Do you think steem/sbd can have a chance to beat the price of eth and btc on the future
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This has a lot to do with trading pairs and intrinsic value, Yes I see a grand future for STEEM but no I doubt that STEEM will ever beat out BTC or ETH for market dominance.
As of right now STEEM has very limited trading pairs making the price action of STEEM relevant to the price action of its pair aka BTC. As BTC makes a move it’s pairs are only able to follow the movement or be victim of it.
The only way we would see any positive movement otherwise would be if we have STEEM listed in exchanges with FIAT trading partners allowing people to buy in and cash out directly with FIAT rather then having to go through another coin such as BTC to then exchange for STEEM.
This system has made Bitcoin king with a massive 40%+ overall market dominance as all transactions must go through BTC or the like to then find the destination simultaneously adding to the market volume of both coins. Now if STEEM was listed with a FIAT trading partner like BTC is then that volume would not relate to other coins market volume and dominance thus we could see a greater impact on positive price action separate from the other coins.
As for STEEM beating out BTC for price per token I am not sure that is ever possible. STEEM is inflationary vs BTC being deflationary, meaning there is no maximum limit of tokens to be created for STEEM which scarcity creates demand which relates to intrinsic value.
Then on top of that you must consider market cap relative to market dominance, first we would have to break away from the relationship of other crypto trading pairs then also have massive amounts of money flood into the market cap to then push up our market dominance thus increasing coin value.
I can see a $100 STEEM in the future but I cannot see a less than $100 BTC at the same time unless something happens with the BTC network making it loose its intrinsic value which being deflationary is currently constantly rising.
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Very nice info thanks d00k13
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Your quite welcome thank you for participating!
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