The last few months saw a bear run in the pricing of crytocurrency. Today, we see a breakout to the upside which might be a sign of better days to come. The market is a funny animal. Therefore, we will have to watch to see where this takes us.
While many of us are ready for the FUD to be over and bull market to take over, the truth is that, unless you are a trader, it does not matter. There is a good possibility that this move today is just a false start which will reverse. Of course, the flip side is also possible. We could be at the start of a run in the market.
That said, do you know the entire cryptocurrency industry has been in a bull run the last few months? While the pricing action was beat to a pulp by the mainstream media, bankers, people going short, and whoever else jumped on the bandwagon, the truth determining factor of a start up industry really took off.
Development continued without interruption during the last quarter. On the Hive blockchain, as an example, we witnessed many new applications emerge. Some might end up being huge while others nothing. That is the was development goes.
We are walking a parallel line with the creation of the Internet more than a couple decades ago. The dot com run in the markets was sensational for a lot of people. It was also horrific for others who were caught with Yahoo at $500 a share. Regardless of where you look on the pricing scale, the development and creation was consistent over that entire time. Companies were being created in droves. Like with any new industry, a great many failed. However, today we see a few names that came out of that era which are now enormous (Google and Amazon).
Blockchain is the technology of 2018. This is the year it breaks out no matter what the pricing does. It is being embraced across the spectrum. Many different industries are starting to figure out ways to apply this technology to their business models. The advantages are simply to great to ignore it.
Will this be reflected in the price?
At some point it will. Markets always get in line with what is occurring. The challenge is that there can be a disconnect for an extremely long time. We were seriously over priced at the beginning of January. At this point, one can make the case, with all the development that took place recently, we are looking at something that is under priced (as a whole). Again, we can go up or down from here, markets have a mind of their own.
I tell people to ignore the FUD and pricing action when things are going bad. On an up day, while it is a relief to many, the same suggestion holds true.
IGNORE PRICING ACTION!!!!
If the market takes off, great. On the other hand, if it does reverse, so be it. When we focus upon the technology, the companies (applications) that are forming, and the areas that we can contribute, we can guarantee a smooth upward progression. The growth curve in these areas is bullish. It is also exponential.
If you found this article informative, please give an upvote and rehive.
