Hi Wolf,
Of course, having a shorter power-down period also brings the risk of increased selling. But then again, if people want to sell, they should feel free to do so.
I am glad that you have also identified an increased selling pressure as one of the risks involved with the implementation of the four weeks power down period. And with increased selling pressure, permit me to say, comes a declining STEEM price.
Dumping STEEM will be the order of the day regardless of whether the price goes up or down. If it goes up, those who have earned free Steem from curation rewards will dump it faster and the situation will be the same if STEEM is falling - people who don't want their fingers get burnt will exit. These are natural human instincts.
I have heard a lot of people arguing that there are no lock up periods for Bitcoin and yet it is the king coin. Really? Does Bitcoin reward people who stake it from inflation? Or does STEEM half like Bitcoin every four years. Both coins are absolutely different.
At this point of falling Steem prices, we should even be talking about increasing the power down window to about six months than reducing it. We need to bring some stability to the price of Steem. And clearly, that cannot be done by reducing the power down period.
The link below contains my thought on this new proposal:
Thanks for sharing your thoughts, anyway.