This video titled: "This Time It's Different? Very Large Ethereum Correction in Near Future?"
Assuming it is a bubble, does that mean it's anywhere close to popping? Real estate is in a bubble, stocks in general are in a bubble, yet people keep buying over priced houses and over priced stocks.
The correction that people fear is not a big deal for long term holders. For short term speculators on the other hand it could get nasty. Stakeholders can hold through the corrections just as they did with Bitcoin and simply wait for it to go up again. Steem had a correction last year and it's up again. Bitcoin went from $30 down to $2 and then to $100 and then $1000. If someone held, then they'd have won bigger than people who sold.
So why are there videos trying to convince people to cash out? Long term holders can simply wait until the dip and buy even more. If you see a correction coming it's a buying opportunity at some point. And Ethereum is headed into a mining winter, and proof fo stake. 2018 is looking liek it will be more bullish than 2017 even if this is a bubble and even if there are several corrections this year.
References
- http://www.cnbc.com/2017/05/23/bigger-than-bitcoin-enterprise-ethereum-alliance-grows-in-size.html
- ~~~ embed:ethtrader/comments/6cxbmi/i_predicted_the_last_two_liftoffs_the_next_one_is/?utm_content=title&utm_medium=hot&utm_source=reddit&utm_name=ethtrader reddit metadata:fGV0aHRyYWRlcnxodHRwczovL3d3dy5yZWRkaXQuY29tL3IvZXRodHJhZGVyL2NvbW1lbnRzLzZjeGJtaS9pX3ByZWRpY3RlZF90aGVfbGFzdF90d29fbGlmdG9mZnNfdGhlX25leHRfb25lX2lzLz91dG1fY29udGVudD10aXRsZSZ1dG1fbWVkaXVtPWhvdCZ1dG1fc291cmNlPXJlZGRpdCZ1dG1fbmFtZT1ldGh0cmFkZXJ8 ~~~
- ~~~ embed:ethtrader/comments/6ctwn1/coinbase_is_trending_on_the_app_store_new_money/?utm_content=title&utm_medium=hot&utm_source=reddit&utm_name=ethtrader reddit metadata:fGV0aHRyYWRlcnxodHRwczovL3d3dy5yZWRkaXQuY29tL3IvZXRodHJhZGVyL2NvbW1lbnRzLzZjdHduMS9jb2luYmFzZV9pc190cmVuZGluZ19vbl90aGVfYXBwX3N0b3JlX25ld19tb25leS8/dXRtX2NvbnRlbnQ9dGl0bGUmdXRtX21lZGl1bT1ob3QmdXRtX3NvdXJjZT1yZWRkaXQmdXRtX25hbWU9ZXRodHJhZGVyfA== ~~~
- http://www.reuters.com/article/us-fidelity-bitcoin-idUSKBN18J20P
- ~~~ embed:ethtrader/comments/6czkq9/someone_just_sold_33_of_krakens_total_eths/ reddit metadata:fGV0aHRyYWRlcnxodHRwczovL3d3dy5yZWRkaXQuY29tL3IvZXRodHJhZGVyL2NvbW1lbnRzLzZjemtxOS9zb21lb25lX2p1c3Rfc29sZF8zM19vZl9rcmFrZW5zX3RvdGFsX2V0aHMvfA== ~~~
This is from text books. For any asset to be in a bubble, it has to be widely held (or known, I would add) and it has to be above the average person power to acquire it. Those are by no means the case of cryptocurrencies.
This. Only a tiny percent of the public have any investment in the crypto economy - we are talking thousands among billions. There is volatility precisely because of the relatively small amount of value in the crypto economy. The first real bubble is still a couple years out, and will likely occur when the mainstream investor has fiat onramps available through conventional brokerages. What is happening now is just a tiny trickle of fiat squeezing through a very small valve and into the crypto economy, like the first trickle before a dam fails. When the dam bursts and fiat value can flow freely into crypto we will see a bubble no one can imagine. Let's not forget how little liquidity there is in most tokens, tokens which have international 24/7 trading exposure. $1M BTC could happen in a matter of weeks if the onramps can handle the throughput - it takes far less than a billion in fiat to increase the market value of BTC by a billion dollars. The last decade of central bank printing has created literally trillions in wealth that is sloshing around the world looking for return right now. If anyone can open the floodgates those trillions will pour into crypto.
Thank you for sharing! ☆☆☆☆☆😎
nice post :) look also at this post :
https://steemit.com/cruptocurrency/@vbnm21/free-mining-free-coins-free-eobot-com
Very well said. I myself follow this strategy of buy and hold.
For every 'cash out' comment, there's a buy and hold supporter, time will tell who's right or wrong. Currently airing on the side of buy n hold for your future!
We haven't even scratched the surface of what Ethereum can do. Why sell before proof of stake, before Raiden, before the mining winter, before Golem launches, before any useful apps? Anyone who really intends to use Ethereum wouldn't sell so soon. Speculators might sell.
Wow! 86 new large companies. I take it that Ethereum is here to stay.
Great advice! Thank you!
Nice Post,
I think arguments can be made for both sides, I like holding on to assets in general on the longer term as well, for me that seems a lot less stressful and just sell it when it get's high. Imagine if you've bought a few BITCOIN 7 years ago and held on to them. Saying that I have a lot of Day Trading friends as well making plenty of cash :)
Crypto can't be real asset.
I warn people that it's a bubble a) because I don't think most of these coins will be valuable in the long run and b) people are getting hyped on the idea that mainstream adoption is just around the corner, thus expecting large short term gains.
If there is a community behind it then it will always be valuable. The subculture / street credibility effect.
I don't mean they will go to zero, that just doesn't seem to happen. But they can lose the vast majority of their purchasing power and become obscure and irrelevant. MySpace was a powerful subculture worth billions, now merely a few million.
Myspace is still used. Also that is a horrible comparison.
MySpace is still used but how happy would you be now about having invested in it in its heyday?
I'm not sure why you think so. Are you arguing that cryptocurrencies could (individually) not become obscure and irrelevant? Or that they would maintain their purchasing power even in such a case?
Cryptocurrencies aren't companies. And the value is subjective. What is a Bitcoin worth? Whatever speculators decide.
It's true that cryptocurrencies aren't companies. But company share value is also subjective and often speculative. Is that really your basis for believing that cryptos can't become obscure and worthless?
BETTER
Of course its a bubble. This epic run is no different than any other hype cycle. 50% correction coming. Then back up to newer highs end of year into next. Summer is usually slow for whole finance industry.
I posting many times I was buying Ethereum under $10 last year. I am not saying its going to crash to $10 again but what I am saying is that a 50% correction is more likely than hitting $250 now. I think we see $80 to $100 no matter how good the news. That's the cycle of the market.
Then I buy more :D
That's what they all say until it drops 50%.
Crypto is not in a bubble yet. Jump in if you have not. Or you will tell the story those who looked down on bitcoin in 2009 are telling now. Just use a disposable fund to be in a safe place.
Yes its a bubble. Every Bitcoin epic run was followed by correction in the past. From 2011: $30 top of bubble back down to $2. In early 2013: $250 top back down to $65. Late 2013: $1200 top back down to $180. Now is no different. Yes its more stable ... all of crypto but a correction of 30-50% is coming.
As time ticks on more users more adoption and a more mature market. Still no where near massive adoption yet. Next year probably another Epic bubble as mainstream kicks in.
I See
It could go the other way.