So I am definitely new to the Crypto-Currency world being just a member since Mid-May of this year. So I welcome the feedback, but here goes...
Investment scams in the bot world of Telegram took the crypto world by storm starting with Bet Robot in February/March and a bunch of other short lived scams shortly thereafter. Coincidentally, or not, the price of Bitcoin and others started to skyrocket to where it was a few weeks ago after which it started on this pullback that we all have been seeing recently. I am theorizing that this may not be a coincidence and if you could bear with me, I will explain.
So although quite a few people made considerable profits with some of those programs, the majority of people, myself included, lost portions of what they invested and, to my understanding, it was in the tens of thousands of people who lost everything.
So just picture, for a moment, a direct correlation to the number of people getting into the bot scams and driving up the price of bitcoin and then, quite abruptly, pulled back when everyone finally caught on to the fact that these get rich quick investment schemes were not what they were cracked up to be. I remember this because bitcoin was about to reach $3k when it all ended, at least as far as the popular high risk investments.
So of course, when the perpetrators started to cash in their profits from running the various scams, I am speculating that this is when the price of bitcoin and the rest started to fall.
So there might be quite a few people who want nothing to do with cryptocurrency if their introduction was into one of these scams. However, like myself, I recognized the value of cryptocurrency and stuck around for the long haul and I don't think I am alone among those who took the recent plunge into the digital currency world.
This is why I don't see the price falling back to where it was in the beginning of the year and am hopeful that we have reached the bottom of this correction.
Thanks for reading and if you liked my "Big Picture" style analysis, please give me a follow and Upvote.
I certainly see the bot situation as a contributing factor but the market's been due for a correction, bitcoin's gonna be down until the scaling situation blows over and ethereum's clogged network and the dump on GDAX all contributed to what's going on. You're right that there's still a lot of smart money in crypto and hopefully this is the bottom; I think you're right but only time will tell. Thanks for sharing your ideas!
Thanks for the reply. That is a good point regarding the scaling issue and clogged network. At least that shows high interest, which should at least maintain the price. The dump on GDAX might also be an indication that profits are being made, which should keep the investors coming back for more and ultimately driving up the prices.
Interesting take, thanks for sharing!
My pleasure, thanks!
Good read my friend, I enjoyed reading your take on whats happening with the alt market. I am not quite sure whats going on myself. But I believe things will bonce back as always in time. Never this less this correction has had me sweating the past few days haha.
Thanks for the reply, I was sweating myself a bit.
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