I'm sure you haven't seen anything related to the market from me before. Maybe I only made monthly predictions at the end of my power-up posts or talked about things I read in other posts, but today I want to talk a little about the market because I've been looking at the crypto market a lot lately.
First, I should mention that I'm not someone you can get investment advice from, so nothing you see here is investment advice. Do your own research and take the risk yourself. I'm just someone who shares their thoughts.
The crypto market hasn't been kind to us in recent days, weeks, or even months. Those who closely follow Hive will see that we haven't closed a single positive candle since January and that the price has only continued to fall. In my opinion, the real break occurred in October with the manipulation that caused all coins to drop by 75-80%. Until that day, Hive wasn't doing great price-wise, but it wasn't doing terribly either. It was always around the 20 cents we were used to. People thought the altcoin season was coming and that Hive would rise to some extent. Some were targeting $3, some $1, and some 80 cents. Now, however, the situation is very different. A 100% increase is needed for those 20 cents to return. 30 cents? It seems very unlikely! But in the crypto world, nothing is certain. We could go to sleep tonight at 10 cents and wake up tomorrow at 20 cents. We just need a big whale. So, is the problem only with Hive, or is it with the crypto market in general?
There's only one way to figure that out, and that's by comparing charts. I'll use the Tradingview website for comparison. I'll compare the 1-year price changes of altcoins that come to mind or have been popular in recent years with Hive. The cryptocurrencies I'll compare are Doge, Pepe, Wif, Floki, Fet, and Bonk. Comparing Hive with Ethereum, BNB, or XRP would be too harsh. Let's admit we're not one of those big players.
According to the prices provided by this website—and I should mention that I obtained all these prices from the Binance price provider—almost all altcoins have lost value over the past year. Only Doge has gained 18% in value among these 7 cryptocurrencies. Cryptocurrencies like Fet, Wif, and Floki have performed much worse than Hive. If you look at the charts, none of them have experienced a rise as significant as Hive's. Hive, Bonk, and Pepe have experienced a similar decline, losing between 50% and 60% of their value over the past year. So, Hive isn't actually the only cryptocurrency whose price has fallen. In fact, we aren't even one of the worst-performing cryptocurrencies. You can choose different cryptocurrencies instead of the 7 I selected. Except for a few outliers, Hive hasn't performed worse than most others, and you'll notice this too.
So what's the problem? The problem is that people are getting tired of these price drops. Moreover, apart from BTC, none of the other cryptocurrencies are rising as much as expected. As I mentioned above, there have been exceptions; some cryptocurrencies have gained 10 times their value this year, maybe even more, but how many of us are holding those cryptocurrencies? I only own Bitcoin and Hive, and Hive doesn't even make up a quarter of my Bitcoin wallet because, until a year ago, I thought holding Hive was always the best idea. But expanding the portfolio with major cryptocurrencies was a better idea. There's also this point. Let's say an altcoin is worth $100. When that altcoin loses 50% of its value, it drops to $50, and it needs to gain 100% in value to get back to $100. In other words, it needs to double. This rarely happens during declines and subsequent recoveries. Even in a scenario like a 10% drop followed by a 10% gain, it rarely happens, but even in such a case, there is still a loss in value. It dropped from $100 to $90, gained 10% in value, and became $99.
Long story short, as someone who doesn't understand the market very well, I can say that Hive is not one of the worst performing cryptocurrencies, but unfortunately, it doesn't perform well either, but this is also related to the general state of the market. I hope we return to those glorious days as soon as possible.
Thank you very much for reading, I hope you enjoyed it. I might post similar content occasionally, but I can't promise anything. The only advice I can give is that if you're not very familiar with the market, it's best to stay away from leveraged trading. See you next time!
P.S.: I just refreshed the page and saw that Doge hasn't gained value in the last year either. I guess it was at a very low level just before the chart was updated.
Posted Using INLEO