RE: STEEM and BTS going Prime Time!

[cryptographic]

The correlation is strong, until it isn't. I don't think it's a question of if, only a question of when the big potential "upstarts" decouple with the generalized correlation. Being market weighted BTC is bad enough, and limiting the portfolio size only makes matter worse. Risk increases as potential reward falls. It should be the opposite in my view.

Comments

[ervinneb]

I understan your point and agree in general. But looking at this market - The common thought process is the following

1. If BTC goes down I will sell my alts, cuz if BTC goes down everything goes down.
2. If you look at the alts at the moment compared to BTC, it's a lot better your potfolio to have BTC compared to a basket of alts.
3. When BTC was at 6k STEEM and BTS were at 2.50$ and 0.16$. Currently BTC is at 9200$ and STEEM is at 2.38$ and BTS 0.156$ - The point being that people prefer to sell their alts and buy BTC when bitcoin is on a good discount rather than buy altcoins.

I am not saying that this is good or Coinbase should have 3-4 asssets, I am saying that at the moment people prefer to have BTC compared to alts and that could be seen from the charts.

Personally my long-term portfolio does not have any BTC or ETH as I believe Blockchain 3.0 will be much more preferred.

Thanks for the discussion, it's really great to have a meaningful discussion on Steemit, happens rarely to me.