EOS is halfway through its ICO
I have been buying EOS since mid August on weekly basis. EOS is in ICO phase and it kinda make sense to buy on dollar cost averaging rather than buy at once. Its impossible to predict when the market will bottom. Anyways since day one, EOS has been under pressure, at a time price traded above 5 dollars.
It makes sense for price to be under pressure. There will be one billion tokens issued over a period of time. 20% of tokens were distributed within first 5 days of the ICO, 70% of tokens will be distributed 2m tokens a day (every 23 hours to be exact) and the last 10% will be issued the same way, but those will belong to Block one team.
So in total there will be 1 billion tokens, but only 900 million to investors. Currently 552 million tokens are already issued, representing 61.3% of ICO, or 55.2% of total tokens. As part of my strategy I don't consider the last 10% of tokens for the reason that they will be part of block one, I believe the company will hold them for a long time since they raised enough money already.
So a simple math, on May 15th 2018, ICO will end. After the ICO there will be no more inflation.
Source: eos.io
Short term excitement, or the start of a new trend?
EOS is trading at $0.67 per token, a jump of 33% from yesterday's low. I looked for recent news articles and there's nothing significant that could have caused EOS to climb. Most likely this is just a short term excitement and 2M tokens a day will keep pressuring on EOS.
Either way, if I'm proven correct, it will represent a great opportunity to keep buying cheap. The lower price goes the more I can buy on weekly basis.
What do you think? Please share your opinion.
Follows and upvotes are appreciated :)
Disclaimer: The information contained herein is author's opinion, does not purport to be comprehensive and is strictly for information purposes only. This is not a financial advice. It should not be regarded as investment/trading advice.