Many people reading or writing on steemit are quite in confidence with the cryptoworld, being aware of pros and cons.
In particular, we know cryptos are very volatile; we know that their price is manipulated; we also know that they are getting mainstream now.
So what's going on now ?
The circle indicates the first summer dump. The dump till 2136 is the second summer dump.
The recent massive influx of new users/owners/traders/whatever has brought up many advantages and disadvantages.
First, they inflated the price. When something goes up fast, the crash effect is not only possible but also very very bad due to a seesaw of emotions.
Second, many don't know what the hell are doing. They only bought hoping for a quick buck, easy money and when they see red or some small loss - they freak out, creating an avalanche effect.
Third, as I mentioned, the great majority of the markets are being manipulated by whales. Not just the most obvious - PnD , Pump and Dump - but also bigger ones; in fact, the price is easily inflated by a very small amount compared to the total.
Fourth, the mainstream media shilling can worsen the effects, one way or the other, especially for easily-influenced people.
Fifth, try not to look at this events as a rational, but rather as an irrational thing. Markets, as many people have written about, tend to have their own logic and are very responsive to the most weird things.
Sixth and final, volatility is pretty common in crypto. You as well others should learn to ride it hard and learn from it, because that is the way to make money and, of course, having fun.
Too many pump and dumpers and given the low liquidity compared to forex, i think it's inevitable we see wild price swings.
I'm buying on the dips for what i think has mid to long term potential. Hopefully it pans out.
Buy the dip, as always