RE: Science is the way – is Gridcoin going to help it?
Well, when the price was over 4x what it is now did all the Gridcoin miners sell? Nope. Thats because Gridcoin has value in excess of pure monetary value, many people strongly believe in the mission of aiding science. As you said BOINC has been around for well over a decade, and many people like myself 'threw our money out the window' burning electric for no financial reward. Now consider there are between 400,000 and 2 million people using BOINC and paying their electric, and Gridcoin has reached about 3,000 of them so far. If they join and the coin supply gets constricted by a factor of 100 or more, what might happen to the price?
Will we all sell then, no. Why? Because we aren't going to kill the thing that draws new people to BOINC, it's more than money, it's a mission to improve humanity.
Of course not all of them managed to sell. The reason why the prize went steadily down after the pump was that they were continuously selling after realizing that the growth won’t be steady. As I said I also believe in a "science mission" and I’m not telling anyone not too.
There is a set supply of coins right? So if more people join there will be more competition causing everyone to earn less of those coins. That doesn’t have to influence the prize, but in crypto one never knows:P Or am I wrong.
I believe that everyone in crypto (who doesn’t take it strictly as an investment), who actually believes in the blockchain, sees the effort as a mission to improve humanity:). As i said, I sincerely do hope that your mission will succeed, but i have my doubts.
There was plenty of time to sell, it took weeks to fall back, thats because in my opinion, its not miners selling, its opportunistic traders selling and moving the price.
No way to prove it, thats just my gut feeling.
i agree with you:
most miners of coins sell to cover costs while those "playing" a market will buy low and sell high, which is fine and overall healthy for a market. a market has tendencies and not every rapid rise and drop is a pump and dump. many people use Technical Analysis to place price points and many of these people arrive at the same entrance and exit points which cause rapid spikes and dips as everyone rushes to get as close to these points as possible. maybe.
While we need traders to make liquidity and that is valuable, it does concern me that they are just sucking value out of the cryptosphere back to fiat.