Why Steem & SBD cannot fall back to its former low value

kenhudoy(61)

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In recent weeks, we have witness the sharp increase of Steem Based Dollar (SBD) and currently Steem which lead to the increase in user activity in steemit being that folks do not wanna miss an opportunity to cash in from the huge profits these increases brings to the table.
Interestingly, many who hitherto did not heed advices to keep blogging, earn and power up their steem are biting their fingers and wishing for Steem and SBD price hike to drop so they can rush, buy up and power up! However, is this possible? The answer is no and below are few of my reasons

 . Increase in new members. There is a high rate of new members joining the steem ecosystem and coming with their own genuine and external funds to buy up steem and power up. Increase activities comes with increase in demand and being that steem has a lot of goodies to offer, we will surely see more significant price increases. So the best option now is to keep working hard to earn good amount of sbd, buy steem through blocktrades and power up or use external funds to buy up steem and power up!

 Hardfork 20 (Velocity)- With the resent planned hard fork 20, many investors and steemians are optimistic that a lot of issues will be resolved and we shall have a better platform for many. This is because it will allow steem to onboard users in their millions & will streamline the process of account creation by removing the profitability of creating free acounts. This means that the main bottleneck holding steem back from growing very fast will be eliminated. Read up more from @steemitblog here

 SMT release- With the planned SMT ( Smart Media Tokens) release soon this year, we are seeing lots of investors trying to key in before the actual launch. More so, according to @ned ( Steemit C.E.O) 3 months ago, in his Introduction of SMT’s, he surmised that;

Smart Media Tokens is a new way for publishers to monetize their online content and community, based on battle-tested blockchain technology.
Get more info from the white paper here
Read up more from @ned post here

 Fast processing and zero downtime
We all witnessed how cryptokitties (https://www.cryptokitties.co/) clogged & crippled the ethereum net work as the time and cost of transaction processing took forever. As posted by @steemitblog ,

According to http://blocktivity.info/, the Ethereum blockchain was maxed out at 100% capacity. At that time, there were more than 21,000 unconfirmed transactions sitting there , just waiting to be processed. Many users were unable to purchase their kitties, because the network doesn’t have enough capacity to let the transactions through.

However, Steem is already processing similar volume of transaction without any hitch as all transactions gets processed in 3 seconds and at zero fee or no cost at all. Thanks to this, we expect a lot of businesses and investors who will prefer cost free and fast transaction option than high cost of gas with delays in transaction time as we experience using ethereum network, meaning price of steem will keep shooting up.

For more info on how steem blockchain handles huge transaction per day click here

 Community backing
Since prices in cryptocurrency is based on speculations and community to maintain its highs or lows, and knowing that like Bitcoin, Ethereum, EOS, Bitshares ,Ripple, Elyte etc steemit is having a growing community who loves and sings the steemit song, we expect better price ahead and I see steem price shooting up above USD 100 by second quarter of this year & like Bitcoin, we shall both take a moon ride and celebrate in the moon!

bitcoin in the moon.gif
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So If you sit on the fence and await for steem price to fall very low for you to buy, keep waiting on planet earth as we are already on the moon ride. For the wise ones, now is time to buy and power up!
Do you agree or as usual is @kenhudoy talking bullshit? Send in your comments below
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