Most people don't understand how to trade, or why markets fluctuate.
Its even worse in the alt-coins, because of their low per-unit value, it doesn't take a lot of money to dominate the order book on an exchange and scare all the newbies into selling.
Adding to the disarray is most people are putting money into alt-coins without a shred of due diligence. No fundamental research, no trading plan, no desire other than turning a quick profit.
This doesn't lead to mature markets with differing investment horizons. It ends up being similar to the OTC "Penny Stocks", where pumps and dumps are daily events.
Some alts will mature and get past that phase, but most will fail and be left on the sea floor of lost opportunities.
Totally agree. Most people getting into crypto are not traders per se. Just regular folk trying to diversify into something new and innovative. Which makes purchasing choices such an all important factor. And that's just buying them!
When it comes to attempting to play the market with buying and selling! Well, I see it like a kid playing with matches. Dangerous and best avoided.
Thanks for the great feedback, bud. :)