Bitcoin CRASHED and You Are Poor, For Now - Hype and Utility Matters
The picture depicts my Bittrex trading account. A place where I leave some cryptocurrencies that I might want to trade or have easy access to. My assets are sorted by biggest gains. (lol, find that ironic?)
(don't give me a lecture on leaving funds on exchanges, I know.. these are easy access funds, not the bulk of holdings)
It's a pretty fair representation of my entire portfolio. It's red and down right now, but for weeks it has been mostly up and the value is about the same as where I was sitting 2 weeks ago. What it represents now is an opportunity to consider my bags and decide what I want to be in when this corrects and begins to go up again. Something that could happen as early as this afternoon, or it could take a couple of weeks.
One of my favorite things about Hive/Leo is the community rather than the investment, because when I was a noob in 2016 I hung out with people who had been in crypto longer than me. They remained calm and even laughed when projects or the entire market went up and down.
The volatility of Bitcoin and other cryptocurrencies is often a stated benefit for traders and others who play the markets. For me it is often a check of which projects are getting attention and where they are headed.
How I judge them
Short-term gains are often made via hype. I think Doge is the perfect example of this. DOGE is rising not on utility, but because people are saying their name and promoting the idea it will continue to rise. I don't know how far it can go, but it will continue to have high volume and likely some price gains as long as people are focused on it.
Long-term growth is based on solving a problem. Many hate BNB and the Binance Smart Chain, but it solves a problem, so people use it. Due to it solving a problem people talk about it.
Most projects have a weakness and all of crypto is a compromise. Two things will always remain true. If you solve a problem people will use your product even if they don't like the company/organization. If you create a lot of hype, people will think about your product whether it is good or bad.
That's why all news is ultimately good news.
That being said, I am not buying DOGE and I absolutely do use BNB, while it gets criticized I am unwilling to pay ETH fees right now, but the good news is that ETH seems to be working on trying to resolve their scalability issues.
How are you handling the DIP and are you making any changes?
Posted Using LeoFinance Beta
