It all comes down to supply and demand. An equilibrium will eventually be reached at some point (the historical chart of Litecoin is a great example of one that eventually came to its equilibrium point after a huge bubble, when it then flatlined for ages (until a new speculative bubble formed)).
And there are many factor which contribute to buying vs selling presure. On the sell side there is profit taking from the recent rise, lots whales that got in early that are constantly powering down for an easy income(!), witnesses paying for server costs, and users caching out because they view the platform only as a way to earn fiat money. On the buy side, it's basically users and investors who think the value of steem should grow if the whole ecosystem grows (so just like bitcoin for example, which has no intrinsic value). Only when these opposing forces balance will we reach a stable price! :)
ahh so you are on the buy side, waiting to see it grow! Just curious, how long have you been studying crypto currency, you seem to follow a lot of trends. Do you think what happen to Litecoin would likely happen to Steem?
I'm trying to be professional trader (well, it's easier now as im able to do this full time), so I have some long term holdings (mostly STEEM POWER, but also a few other tokens), and then I have my trading account. In my trading account I've been completely in fiat (e.g. USD) from a few weeks ago. But I'm always Looking for a good time to buy in and make a quick profit and then get out again ;) (did this with ETH today actually!), but if I believe the market is starting on a long term up-trend again I'll want to convert a lot of that fiat back into BTC/ETH/.. and hold that longer term.
Litecoin: well, it's a completely different thing from steem. It's a clone of bitcoin, but has some advantages over it right now. Probably you'd need to do some research on it....it's would take quite long to go into all the technical details here ;)
That's pretty cool. I've always wanted to have the ability to 1. work for myself and 2. work from home. That's why I got pretty excited when I discovered Steemit, because I think this platform can help me achieve my goal. I also have my own business selling a coloring book I published, paintings, and greeting cards and such.
I'm interested in learning more about crypto currency and trading because that too could help me achieve my ultimate goal. The dream would be to have the ability to travel and work all in one. :)
Perhaps, but it's difficult to know...it worked for me, but I just happened to be at the right place at the right time, you could say. Although I did wait patiently for around three years from the end of the last bubble...and I don't think many people really believed it would explode again this quickly (even though many people would say they believed it would explode), myself included.
3 years... you are very patient! :) With most investments in life, I found that the good ones take time.
There's that (money aspect), but also if you are into the tech .... it's very hard to leave this space I think because it's just such an amazing and disruptive idea. I.e., money completely without any governments involved or any need for banks!!
Similar with all the new decentralised entities which can now just issue tokens to power their apps.
Yes. I agree. I use to nerd out with my friend George about Bitcoins... and he loved the idea of no government ruling the currency. Can't get taxed when no one owns it ;)