What goes up must come down, spinning wheel spinnin round… Great song btw… oldie but goodie. Coinbase effect is gone except it is temp 15-20% rise.
You really think gold, aapl, etc will come back down to their original prices? Uh no. So. What goes up doesn’t come back down.
This is a high marker even for me. Wow I hope so!
Nobody knows how high, or how long. An easier question is “Will it go up or down”. If everyone thinks it will be higher in a year, the longer it stays low the better, since it gives us a chance to buy some. I see this bear market as a chance to buy a few without risking money I can’t afford.
I do not care so much about the price. We have to take into account, that bitcoin market dominance is higher than a year ago and significantly over 50 %. That means all alt coins together do not reach the value of bitcoin.
This fact is in contrast to the fact, that with the current price it is not possible to mine bitcoin and to cover costs at the same time. I do not really understand, why bitcoin is not breaking down, but maybe the fact, that a couple of miners gave already up, makes mining easier for the rest, because the competition is less heavy.
But all in all bitcoin is very dominant and his dominance was growing, the deeper his price went down. At the same time Cardano ADA market share went down disproportionally at the deepest it was 0.8 % market share.
Perhaps since 1 or 2 weeks this trend is stagnating if not changing: Bitcoin dominance went down from nearly 54 % to 51,5 % and Cardano share is now over 1 %.
I think, if Cardano market share goes up, it would be a sign, that market participants are realizing, that Cardano technology is superior to other ones, especially bitcoin.
Because the overall price level is so much dominated by other coins and the correlation between overall market capitalization and Cardano prize is very high, it can go down again, but from my point of view it would be a good sign, if Cardano could manage to reach higher market shares about 2 % or higher in the next weeks.
The price of Cardano will go up, if business cases can be established. I see, that there is very much development going on, to establish an ecosystem for realizing things, but all will depend on the success of Shelley. I assume, in the 2nd half of 2019 we will reach 1 $. But there is a risk, that another coin with proof of stake is faster and the winner takes it all…
Really interesting piece Matthias