The most probable reason is STEEM is correcting compared to other cryptocurrencies. In the recent bear market (e.g BTC 5750), STEEM fell too much compared to other cryptos. Before that when BTC reached peak $10K, STEEM almost ranked 24. After that STEEM is falling in ranking as low as 36.
In the meantime, STEEM had some good news such as good progress on Hivemind, Hardfork 20 and SMT. STEEM also ranked high (among top 10) by the independent agencies. STEEM blockchain acquired 1M users. All these are hidden pressure that just erupted in this correction.
Another cause could be that a big number of investors are buying STEEM in loads since it is in historic lows (last 12 months) compared to its usual price. Simply look at BTC ratio of STEEM, 0.0003-0.0004 BTC per STEEM is average price for STEEM. In this bear trend it almost touched 0.0002 and so, is the buying opportunity.
Or, there could be an insider buying pressure, for example, it could happen that some investors know that STEEM will be in OKex or Bitfinex, the remaining big exchanges. Or, hivemind/hf20 will be released within a week or two.
If BTC move further up $7000, then STEEM bull run can get more power to reach $3 and more.
STEEM is still undervalued. With SMT it will the in the realm of smart-contract type coins such as ETH, EOS, Cardano, TRON. Interestingly, except ETH none have a viable products such as 400 DApps and millions of users other than roadplan. Therefore, I believe if SMT released within 2018, it can easily reach top 10-15 ranks within the coinmarketcap. Therefore, this low price of STEEM is a great buying opportunity before SMTs.
Disclaimer: This opinion is not a financial advice, it my personal perspective and opinion. Please seek professionals for financial decisions.
Image sources: Most images are open sourced (e.g. Pixabay, Wikimedia etc.) with Creative common license. Some images are used with due courtesy to respected owners.
Thanks for reading.
Cryptominer since 2013, occasional trader and tech blogger
