The "colluding" exchanges could end up giving a big boost to steem prices
How's this for an interesting twist on things...
We all know that several of the largest steem exchanges powered up their steem in order to help Justin Sun regain access to his 'frozen' steem... and in doing so they were under the impression they would regain access to that powered up steem very quickly.
However, that hasn't been the case.
The ability to quickly do a HF that allowed those select exchanges to power all that steem right back down has been difficult to do witch Sun losing roughly half of the Top 20 witness spots back to the community...
Currently, that HF is impossible for him to do, and with the current stalemate, it doesn't look like much is going to be changing in that regard any time soon.
Which means, the exchanges are stuck with all their customer's steem powered up with no ability for them to get it powered down any time soon.
So, what do the exchanges do from here?
They already have egg on their face from helping Sun and getting their names and reputations dragged through the mud all over the media during the past week or so.
Making it all but impossible for them to use that stake to vote with yet again due to the very public blowback they will (and did) receive.
So, how do they appease their customers?
They may have to start buying up steem on the open market!
What do exchanges do when they list a coin in the first place?
In order to make a market they either acquire a large chunk from the development team getting the coin listed, or they buy up a large stake in order to adequately make a liquid market for the coin.
With their customer's steem frozen, it is very possible that they will have to start buying up steem in order to meet withdrawal and liquidity demands.
The other option is for them to just leave those customers steem locked for 13 weeks (or however long it takes to get it fully liquid again based on any upcoming changes), but as of right now they haven't even started a power down yet.
And remember, with that steem all 'frozen' a ton of liquid supply is removed from the market, making it easier than every to push prices up.
Justin Sun and team could also provide a nice boost to steem prices...
Right now there is a war raging between Sun and the community witnesses trying to take control over the Top 20 witness spots.
If Sun can't get the exchanges to help again and he starts to lose control of the majority of those spots, he may be forced to go out into the open market himself and buy up more steem (and power it up) in order to keep his witnesses voted in.
Members of the community are already doing that right now in order to keep their witnesses in.
And like I mentioned above, with much of the liquid supply removed from the equation, it is easier than ever to move prices up.
As you can see, we have several scenarios playing out right now that could end up propelling the price of steem higher in the very near future.
In fact, it may already be happening as steem has moved up to the 74th spot on coinmarketcap.
It had been hovering around 78th-80th over much of the past week or so.
Exciting times we are in!
Stay informed my friends.
-Doc