Opinion: Is this a Cryptocurrency correction or a complete reset?
This is my opinion only and it changes daily...
This week I bought into the market making a purchase of Ether and Litecoin as the market seemed to be close to bottoming out. Market capitalisation had turned up for a couple of days it seemed like a good time.
Two days later we seem on the brink of a collapse. It is hard to know if this is a correction or a reset to what the market deems true value for these currencies. I'm still believing that this is a lot of nervous investors that are exiting the market as their quick gains are not presenting themselves.
The sell off turns into a spiralling downward trend as nervousness breeds more fear and doubt and the market continues to drop. Ether is now at November 2017 levels and Bitcoin seems to be on the way down to a possible $6,500 price point. Is it time to panic sell? No is my current opinion but I will admit I've had some doubts. This is the first time I have considered trading into Tether at any point.
Summary of what I'm going to do for now
The fiat I have invested is put in the market with a 2-3 year view. I'm HODLing. I'm not going to admit I'm not disappointed. I'm a little scared like many others but, I believe in cryptocurrency as a technology, so my fear is more that it won't be ETH or BTC or LTC that rises to the top after this event. Perhaps it will be EOS? (I hold EOS and believe it will live up to promises.)
Anyway... it feels good to put this out there... All we can do is wait and see!
Thanks for your honest thoughts. I can understand your frustration but remember that timing any type of trading market is impossible. The key factor is to ensure your fundamental reason for wanting to invest holds. The technology behind the space continues to expand into the mainstream so capital will only continue to come into the market in my opinion. However, markets can become irrational and moves prices up and down as we have seen for the last couple of months. Take this time to invest in yourself by researching more about where you want to put your money and never invest more than you are willing to lose. Lastly, remember great investors believe we should fear when other are greedy and be greedy when other are fearful. Like you say, time will tell!
Hey thanks for reading and replying! I'm definitely on the same page as you and don't regret my buys at all to be honest.
The goal of this post is to put down what I'm thinking now so I can evaluate again in a month or two. I will no doubt have a completely different view when that time comes.
Trading is great fun and I did not really consider the depth with which I would evaluate myself as much as analyse the market!