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RE: The Price of Steem should currently be trading at $2.22 and here's why:

in #steem7 years ago

The issue is that the more content posters on Steemit who want to make money that way will cash out putting downward pressure on the price of Steem. Having more users alone won’t increase the price, we need more users who want to buy Steem to push up the price.

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People like me who have long background in economics know that using just half of the payout for trading makes more sense than using all of the payout for trading. My account value went up from USD 0.52 to USD 2.34 due to effect of single post. It makes sense to leave Steam Power from awards accumulating and trade with just Steem and Steem Dollars.

That may be true but if you are blogging for a living you need to cash out to pay for things. Look at the highest valued posts from posters who regularly post. They all power down. Probably exghabge their Steem for fiat etc

I don't have enough Steem Power yet that I could power down... Obviously in few weeks I can reconsider how much Steem Power I want to keep and how much I want to exchange as Steem. I already transfered all my Steem and Steem Dollars to HitBTC so I can trade them to BTC and eventually trade to either Tether or move as BTC in Coinbase.