RE: Crypto & Cardio #3 - Bitcoin vs Everything else and my approach to locking in Crypto Profits
All that makes a lot of sense. Even now that Bitcoin dominance is around 40% or less.
Do you think whether it would make sense to re-evaluate this approach at some point? What I'm thinking is that if some utility coin were to grow significantly and begin to derive its value from real world use, that is, directly from fiat conversions, wouldn't it make sense to gradually stop focusing on Bitcoin?
How far do you think STEEM is from that? What I'm hoping to see is more pay-to-pay serviced using the Steem blockchain and creating buying pressure toward STEEM and thus increasingly detaching the Steem price from the general ongoing crypto hype. It will take SMTs, the Hive and more onboarding via popular and well-marketed apps. But I think we will get there in the not too distant future.
Yep - I think there will come a time when some coins will grow significantly enough not to be looked at in terms of their BTC value.
It is arguable that pegged assets, like SBD, should be looked at in such terms.
To be honest, I think STEEM (like most other crypto) is a long way from detaching it's price from Bitcoin/ crypto hype.
It is clear that the number of active users of Steem and apps like SteemMonsters are too low to support the current price of STEEM. It would be interesting if valid and reliable metrics were developed for measuring that.
I think speculation as to it's future value is also baked into the STEEM price... as with most cryptos.
This is precisely why it has been wise to keep advertisements out of Steemit and the rest of the apps that people use to access the blockchain. The money would have been a pittance and made it painfully obvious how much the price is dependent on the ongoing hype. This is why investing fiat into the cryptosphere is somewhat questionable at the moment, in my opinion. The year 2018 is the year when crypto will have to begin to put up or shut up. It will take some time before you may be able to pick potential long-term winners. What should be done right now is pay very close attention to the technological potentials and real world use driven value propositions.