Stop the plunge: If 5000 active Steemian buy 240 Steem per month, S...

Ever wonder why Steem's fiat value keeps plunging compare to its peers. The reason is that Steem has relatively higher selling pressure than its peers. Therefore, it cannot keep up with the low demand, specially in the bear market.

There is 8.5% inflation rate for Steem's emission and 800K Steem are sold by STINC each month. Though Steem is purchased by new and old investors, however, rate of purchase cannot keep up with the selling pressure. Hence Steem is bleeding compared to its peers. Some of the coins such as ICOs have literally zero inflation rate. For these ICOs, someone who has bought the coin has to sell for someone to buy. Therefore, their coin's price bleed's slowly.

In case of Steem, ICO is going for three years if one consider STINC's ninja-mined Steem are sold to open market as a long ICO sell. At this selling rate (800K per month), STINC will be out of pocket in seven years. This is one of the reason, SPS is added to HF21 since STINC cannot spend development funds forever. However, ICO sold on bull market or with hyper marketing has better audience. ICO like sell by STINC has bad effect in Steem's price in bear market.

As a result, Steem's ranking is going down forever. It is shame that a coin with one of the most developments now sits at 78 while scam like Monacoin or meme Coin- DOGE have better ranking than Steem.

One of the ways to keep up Steem's price is to buy up these cheap Steem from the market. If we assume there are 1.2M Steem including 800K Steem are for sell every month, then 40K steem are for sell each day. If 5000 active Steemians on average buy up 8 Steem a day or 240 Steem per month, then Steem's price may not fall further. At 25 cents a Steem, it is $60 only. For a Steemian in a developed country, it is quite easy. However, for a developing country it could a big sum of money.

However, it is the average estimate that 5K active Steemian have to buy 240 Steem per month at least in the bear market. In the bull market, the new investors will enter in drove, then we can sell these Steem to provide more liquidity.

There are some recent achievements on Steem purchase that are encouraging. Long time blogger and investor Hive account@ezzy has reached 100K Steem. Popular vlogger and investor Hive account@exyle is planning to make his holding to up to 250K SP. I, myself, has plan to buy another 30K Steem to make 100K Steem this year.

Currently, I had a big loss in Fitbit that has wiped out all my trading profit and incurred $3.8K loss. Fitbit and STINC has similar problem with leadership. Though FITBIT has very good MVP, its leadership lacks skills and charisma to please the investors. Similarly, STINC's early leadership squandered the opportunity of the popularity by not making any marketing effort or selling large number of Steem in bull market to hedge. I am still not convinced with STINC's current leadership's lack of interest in any aggressive marketing effort.

For example, if they spend few thousand bucks in marketing. Then they can easily recoup the cost by selling Steem at higher price. In fact, they are in perennial ICO sale, why not do the minimum marketing.

We are in internal marketing bubble for Steem (including this blog post), preaching too much goodies about Steem to our own converted disciples. The target should the potential convertees.

Therefore, I am encouraging fellow die-hard Steemians to buy as much as possible Steem in this great bear market to stop the bleeding. We can use these Steem to buy our favorite TOKENs and keep earning at better rate. I strongly believe that purchasing Steem at this fire sell will be considered as a great investing decisions in coming years.

Stop the plunge: If 5000 active Steemian buy 240 Steem per month, Steem price will stop the bleeding.