I don't claim to be a world history buff, but I have some knowledge which I believe is broader then what the average Joe knows. Crypto is unique because it can be held individually and exchanged. Privacy used to be a thing..
In the world of barter some items are difficult to find price discovery with. However this form of exchange is the most private. It also works in the real world; rather then the digitized world. Monetization solves price discovery by pinning what would today seem almost an arbitrary number. Stonks are pumped, Crypto's are pumped, Precious metals suppressed (and possibly pumped in the future).
All we hear is everything is manipulated.
What is real and what is false? Does my apple by weight, color, quality, and shape increase it's price? To what extent? Today I have it pinned to a monetary debt based system which has BRRRrrrrrr directed in what seems to be an all expanding money engulfing abyss. Yet my apple fluctuates within a certain range pegged to this currency.
Some say where's the inflation? Precious metals are down! Seems deflationary! Or is that what the shadow BRRRrrrr is fighting behind the scenes! I'm sure the FED does not want to see runaway inflation..
Confidence! Confidence is what I hear that makes someone continue using a currency. When you need piles of it to buy said apple, perhaps confidence is lost. This does not mean you can necessarily overcome the fact that your locality can continue using a failed currency or medium of exchange. I'm pretty sure in places such as Venezuela there is a thriving barter economy. Bitcoin is as well respected as a medium of exchange. Even those Green bucks are a super hot 'commodity'.
Confidence in crypto..Confidence is anything. Ever heard of a gold rush? I can hold Gold and divide it. It can be prone to being lost but cannot be replicated at whim. Yes of course there is mining and equipment and costs. Supply and demand is a thing and big gold deposits potentially effect supply. Running a mining rig isn't exactly cheap or easy. When the herd rushing towards something; confidence is 'pamped'.
What are diamond watches? Do I have confidence in these things? Are they pretty to look at? I have heard diamonds are a pretty big scam. Those prices are manipulated as well! So when we say Diamond Hands; or Diamond Paws in LEO's CUB case; are we appreciated diamonds for both their monetary 'perception' and diamond hardness. Whois is to say? There's manipulation everywhere!
From $11 USD (again to a peg), to $2.. price is discovering and bouncing around. What would that looks like in a bearish market.. some will still perceive it to be a good thing to HODL. Why? Confidence in the crypto of course. Could the USD be flailing because really what does stimulus, Shadow Brrrrrrrr, deflation all mean! Again Venezuela covets USD against their own local currency. And look at USD!?
So why did I buy CUB? It was out of confidence. When systems fail, certain things lose their glitter. Human behavior including confidence is very important. It's interesting because even GOLD did show it's confidence when we were starting to show deflation last MARCH. Crypto wasn't coveted as highly as precious metals. Then the alleged money printing stimulus showed up and low and behold the stock market went back up, and crypto's also seemed to go back up. Gold and Silver (spot) we punished!
Alright to be fair we have to factor in the halving!
So where is this really going? As you can see I'm almost going on a tangent. Confidence in many things describe it's value. You can call it diamond paws, "I like the stock', whatever! Information, idealism, and even fundamentals can play into 'why that stock'. CUB simply has a good team behind it. Active and forward thinking. It utilizes the advantages of technology and continues outward on to other technological chains. Movement and ideas bring confidence as well. When things 'stagnate' like the world economy, confidence becomes waned.
Ride the wave so they say! Perhaps that is confidence that the wave is going up! I would continue to 'dollar' cost average your CUB going forward. There's more strength in the wave to come. I'm pretty confident of this!
Posted Using LeoFinance Beta