So many people were messaging me asking me what to do. Like many of you I did not go unscathed. My primary holdings Steem, Stratis and Bitcoin all took major hits today. My only coin that did well was Flashcoin and that is because it is very new and does not have the exposure of the large exchanges yet. I guess not being on BIttrex yet was a blessing in disguise.
If you did not freak out and sell today you won your own personal psychological battle. My problem is that I don't back down. I just keep going in for more rounds and take the punches. In the end I know I will either win really big or take an epic loss. Today was a cumulative loss but I know I will recover like I have done so many times before.
Steem has a bizarre relationship with Bitcoin. Over the last few months each time Bitcoin goes up or down Steem seems to follow right behind. This relationship seems to be even more pronounced when Bitcoin breaks to the downside. If you are a user on Steemit you may have seen the value of your posts take a dip today. This is the reason.
Look at the chart below. At around 7:00 am EST, Bitcoin tanked and you can see Steem free fall along with it.
SBD's on the other hand are pegged to USD so they are not as directly correlated with Bitcoin. Usually SBD's are a favorite safe haven currency when the markets take a hit. Today it seems that the downward pressure of the markets and the continued selling of SteemDollars by Steemit users has caused them to dip under $1 USD. If you want a guaranteed 10% profit and you have Bitcoin on Bittrex here is your chance. I would do it but I have not Bitcoin on an exchange currently.
I am going to sit tight and let the Bitcoin storm pass. We have a few weeks until we know what the future of Bitcoin will be. Until that time the markets are going to be in for one hell of a wild ride. I personally will not be selling any of my Strat, Steem or Flashcoin at this time. I would not sell SBD's at this time either. Wait for the price to recover to $1 USD.
Now is a good time to step away from the computer and enjoy your summer.
