As we've all seen, the market has been going down a lot since the beginning of the year. A lot of things have happened since Bitcoin's peak at around 20 000$ in mid-December, and a lot of other interesting things are to happen during the year. What kind of things ? We never know, and that's the fantastic aspect linked with this crypto world, which I can compare with the chaos theory that I studied a lot during my school years: indeed, we have a typical scheme where the short-term behavior can be chaotic but the overall behavior (long-term) is still somehow predictable, like the Lorentz attractor:
The most famous "strange attractor" is the Lorentz attractor or butterfly. The strange attractor occurs in a bounded space, yet its length is infinite.
Well if you want some deep explanation about that physics theory that I admire a lot, I recommend this link:
http://csuw3.csuohio.edu/sciences/dept/physics/physicsweb/kaufman/yurkon/chaos.html
---About the coin
First of all, Tether is an unregulated cryptocurrency token whose issuer, Tether Limited, claims is backed by one dollar for each token issued. This is still widely doubted and Tether Limited has not issued a promised audit backing the claim. Well, all we can do is try to trust them and see what happens, because you really don't know much about that kind of issues in this world, let alone the fact one dollar is backing one tether. Who can prove it right now, apart from the organizations that manage it ?
According to its official site (https://tether.to/) it is combining the best of both worlds (the fiat one and the digital one). Indeed, it seems they have promised 1 dollar will always back up 1 tether, meaning 2 important consequences:
-you should normally never lose any investment on tether
-you should normally never gain any investment on tether either
That's why it is something like Dai (see my article if you haven't yet https://steemit.com/newbitcoinquest/@loonyfool/a-rare-dual-system-inside-the-crypto-world-makerdao-most-unpopular-high-value-coin-and-dai-the-coin-of-stability): something enabling the possibility to just convert money into crypto and store it in a safe way, knowing it is not volatile at all, unlike the other coins who have ups and downs quite often during the year as we've seen.
It also claims to be transparent, secure and integration-friendly. Now let's try to make a link between its behavior and the fact the market falls down sometimes, as many people seem to claim it is the main reason for it.
Here are some videos summarizing its properties once more and showing the link between tether and the market behavior.
---Evolution
So it has always stayed close to 1$ since its creation at the beginning of 2015. Moreover its marketcap has kept bursting since June 2017 (going from almost nothing to 2 000 million $ right now), so we can't correlate its evolution with the main coins behavior. Because they were also bursting in that period. So whatever happens with Tether can't be correlated with the main coins. It has kept having the same behavior as more volume of Tether has been traded, but the other coins' behavior have changed over time, meaning it can't be directly related with Tether. The only way Tether can bring something bad to the crypto market is in my view linked with the dollar rate: if it goes down, then of course you're not so tempted to put your coins in Tether. But again this is purely speculative. The dollar remains relatively stable.
---What I think about it
I live in Europe, so I'm not directly concerned by that dollar controversy. I trade with euros; still I follow the market in dollar value. I guess it's more convenient for us to have all the same type of numbers. But even for us European people, it's something interesting, because you don't have to be American to trust Tether (hence to trust the dollar). In a way, it is an interesting possibility to just store your coins when you feel you should. And an original way to trade euros or any other "traditional" currency with dollars.
As I said, Tether should be really interesting for one thing: during a crash, you can trade all your holdings for it and then just wait, as it won't fall down. When you're ready to trade again, that is to say, when you feel it will all go up again, you will just have to trade it back with the other currencies ! As simple as that ! That is really interesting. I don't see anything bad linked with it for now. Not sure why so much doubt has been spread over it; I think most people were looking for a scapegoat to explain the big crypto crash that just happened. But we have to look somewhere else than in the world of crypto itself to find a reason. There are multiple reasons for me but surely one of them is not Tether at all.
You have whales doing pump and dumps, you have whales influencing the market unfortunately, the blockchain might be new, money is still power in this environment. People with the more money can rule this world too and this is something to solve. But I still believe you can be smart and manage getting yourself to the top of the crypto wave in order to take everything you can from it. And never forget one simple thing: keep on steeming, because that is the easiest way to actually earn crypto by contributing to the blockchain ! I believe Steem and the whole Steemit platform is undervalued for now, and it should end up rising up soon during the year.
That's it ! Thanks for your attention ! I will be back soon with more of the same kind ! Stay crazy and keep making fun of life instead of letting it make fun of you :D
RULE NUMBER 1 Always expect the best, but be prepared for the worst !
RULE NUMBER 2 Never regret anything you made (or didn't make), always look forward to the new opportunities !
RULE NUMBER 3 Knowledge is power !
RULE NUMBER 4 Trust no one !
RULE NUMBER 5 The safer the better !
RULE NUMBER 6 Don't do anything that would contradict one of the aforementioned rules !
BONUS RULE (OBVIOUS) : THE BLOCKCHAIN IS HERE TO STAY ! STEEMIT WILL OVERRUN DICTATORSHIPS LIKE FACEBOOK ! FUCK THE BANKERS, THE POLITICIANS AND THE FAKE "OIL-WORLD" COMPANY !
MY CRYPTO-RELATED POSTS SO FAR : HAVE A LOOK IF YOU ENJOYED WHAT YOU SAW !
https://steemit.com/bitcoin/@loonyfool/china-and-bitcoin-mining-decisions-can-change-things-in-the-market
https://steemit.com/cryptocurrency/@loonyfool/crypto-alert-bitcoin-in-free-fall
https://steemit.com/cryptocurrencies/@loonyfool/crypto-news-ripple-bursting-my-views-don-t-get-emotional
https://steemit.com/cryptocurrency/@loonyfool/crypto-alert-what-is-happening-right-now-is-crazy-here-is-my-point-of-view
https://steemit.com/crypto/@loonyfool/vitalik-buterin-founder-of-ethereum-interesting-analysis-this-is-my-pick-of-the-day-as-a-crypto-video-lesson
https://steemit.com/ico/@loonyfool/new-interesting-ico-travelblock
https://steemit.com/cryptopedia/@loonyfool/the-metaphysics-of-cryptocurrency-putting-clear-sightedness-into-action
https://steemit.com/cryptonews/@loonyfool/japanese-companies-to-start-paying-in-crypto
https://steemit.com/cryptonews/@loonyfool/introducing-dlc-dollarcoin-and-a-spectacular-rise
https://steemit.com/cryptopedia/@loonyfool/coin-of-the-day-centurion-cnt
https://steemit.com/cryptopedia/@loonyfool/linking-gold-with-a-cryptocoin-goldblocks-dream-coming-true
https://steemit.com/cryptopedia/@loonyfool/chesscoin-the-coin-linked-with-a-game
https://steemit.com/cryptopedia/@loonyfool/making-life-online-easier-with-signatum-sigt
https://steemit.com/cryptopedia/@loonyfool/hodlcoin-the-coin-for-holding-purposes
https://steemit.com/cryptonews/@loonyfool/cryptoworld-crazy-week-review-always-beware-of-the-scam
https://steemit.com/newbitcoinquest/@loonyfool/a-rare-dual-system-inside-the-crypto-world-makerdao-most-unpopular-high-value-coin-and-dai-the-coin-of-stability
https://steemit.com/newbitcoinquest/@loonyfool/introducing-litecred-the-possible-future-of-litecoin
https://steemit.com/cryptonews/@loonyfool/january-s-2nd-drain-my-explanation-cme-contracts-my-2018-predictions
https://steemit.com/ethereum/@loonyfool/scam-alert-never-do-anything-with-this-eth-address-and-never-leave-anything-online-too-long-especially-on-blockchain-info
https://steemit.com/altcoin/@loonyfool/nebulas-the-next-blockchain-google
https://steemit.com/bitcoin/@loonyfool/news-alert-cryptocurrency-robbery-attempt-with-guns-in-canada
https://steemit.com/crypto/@loonyfool/introducing-minexcoin-a-low-volatility-oriented-coin
https://steemit.com/bitcoin/@loonyfool/they-can-call-it-bloodbath-i-m-calling-it-discount-period
https://steemit.com/ico/@loonyfool/new-ico-affiliate-coin-25-coins-offered-so-jump-in-d
https://steemit.com/steemit/@loonyfool/facebook-begins-to-lose-members-d-hahaha-nervous-laugh
https://steemit.com/bitcoin/@loonyfool/clif-high-a-mysterious-financial-analyst-with-crazy-predictions
https://steemit.com/bitcoin/@loonyfool/tips-on-how-to-handle-this-period-as-fear-uncertainty-and-doubt-keep-spreading-over-the-place
https://steemit.com/blockchain/@loonyfool/technical-understanding-of-the-blockchain-through-programming
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https://soundcloud.com/user-845067406/hydrogen (with the most successful creation I believe, but you can also take a look at the others)
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