You are viewing a single comment's thread from:
RE: The smart Contrarian, Bitcoin (BTC), Diamond coins (DMD) and reasons why BTC is absolutely crushing it!
There will be definitely lot of people who will make more money by buying Alt coins now than selling alt coins to buy bitcoin.
Let's do quick Math here:
Let's say if I buy 1 Bitcoin = $5600
I might get one token each from Bitcoin Gold and SegWit2x which would worth $1000 combined. Which can be around 20% increase, but prices can keep going up, so there could be huge potential. There are few good alts coins which are way down because of this. If everything sorts out then they will take their spot quickly. Many of these coins are up to 40% down than last few week's price. I would tell everyone that just do what your guts tells you to do. Do your own research and make the decision.
By end of this year
Hi Lykkejay, thanks for your reply! You make a good point. But consider this: Youre assuming that the price of BTC with be the same or higher than your 5600 USD. But what would happen if you sold say 1 BTCs worth of any altcoin (including DMD, mind you, DMD is more resilient because the community is made up of hamsters) to buy a BTC. Lets say you didnt sell too much in the reds at say 10% loss, compared to last week before the market preparing for the fork (you were really lucky with the price) and got your 1 BTC. Suddenly BTC gets banned in country X or Jamie Dimon 2 comes along and talks down the market and BTC goes down 20%-30%. Price falls to 3500, because of altcoins going down 40-50% with BTC you will not get more than say 4-500 USD for both your forks. If you look back at what happend, people sold to stop loss and whales moved in to buy up cheaply, price rised sharply again, you will not be that lucky to get in to your altcoin as fast and have netto loss because of all the FUD. Wealth transfered from weak hands to strong hands, because weak hands thought there is a free lunch to be had. But you might be right! Good luck!
Ive thought about this a bit, what you also have suggested is something called a crowded trade, it means, everyone is doing it and according to the law of supply and demand, you will know how things go when everyone is selling.