Today, those people who watch the cryptocurrency space are well aware of the volatility of the market, and that is an important issue, price fluctuations tend to destabilize, and right now would be a good time for the cryrtos to settle for a bit.
People who invest in for the long run don't need to worry, but those who speculate the market, at this time, may be in for a dip. major currencies seem to devaluate right now, except the Bitcoin, which keeps its own pretty good.
It's debatable that volatility of the market it's in full swing, since market cap went beyond USD100 billion. We have seen sharp turns up and down. This new market cap high seems to have quite an impact on the traders as well as speculators, and right now we can only guess where this going.
When Bitcoin sinks, all other altcoins follow suit, but not equally. Bitcoin is the trend leader, it has the smallest dips overtime, while the other alcoins suffer more. Now Dash is the only other currency matching Bitcoin in stability.
The cryptocurrency trading volume has also taken a downturn as well, but that is to be expected. We might see a little step back before the next skyrocket. However, there shall be future corrections to some currencies as they were way over traded and overvalued.
In any case. at this point is undeniable that the crypto space is maturing, and getting acceptance around the world. Not really a surprise, as people get more interested by the day.
I think we can all agree that survival of the cryptos as a whole is not the question, but some of those altcoins are going to disappear, not all of them have strong backing, and some are really shady.
We are entering a new age. The fantastic rise in Bitcoin price and the value of altcoins, generally speaking have sparked fears of an imminent bubble burst in the markets, that may have disastrous consequences. No matter how you look at it, the market will always turn, and is doing so as we speak, but as long as is not a sharp downward tendency is all good.
Now, I am very curious as of what will happen in August with Bitcoin, because how Bitcoin travels sets the tone. In this regard, I am sure that it may be a bit of a bumpy road ahead, and market value may plunge slightly for a relatively short while, but nothing to worry about in the grand scheme. Overall diversity in the crypto market will not be affected, if anything it will solidify a base with Bitcoin at the peak of it.
The only thing that may stir the waters, with maturing of the market, is the fact that cryptos take center stage, and the governments start paying more attention to the cryptos in general, and Bitcoin in particular. We all know governments, want control over everything. Becoming main stream is good and bad at the same time. It is positive to acknowledge the potential, and recognize them as currency, but I am afraid of government plans to regulate, in some way, the use of cryptos. There is a slight danger of becoming more like fiat currency. We all know for each measure there is always a counter measure, but that is to be seen.
09 July 2017
Marius C.
