I have a theory. It is based on the following assumptions:
1) Blockchain technology is and/or will be a transformative technology.
2) Owning any form of crypto is equivalent to owning a share of stock (the real-world value of the coin's utility will eventually be reflected in the price of the coin, none of this store of value bullshit).
3) Bitcoin is outdated tech, we all know it. When you have to build a network on top of your existing network to get that network to do what the competing networks already do at a bare minimum, you're basically Kodak selling disposable cameras.
4) There are too many institutional players and too much money to be made to let the crypto market die.
5) Institutional players have started the expansion of the market from Bitcoin and Ethereum to a wider range of cryptos
evidence of this:
coinbase's announcement to add tokens to the exchange
Abra launch
Circle investing launch
Robinhood crypto launch
Bittrex, Poloniex, and Binance announcement that fiat deposits and withdrawals will soon be available
Yahoo exchange announcement
ETFs around the corner
I could go on....
However, we see that the entire market is being dragged down by Bitcoin, only to string back to life at the smallest signs of life left in the old-man.
So, two competing conclusions: The crypto market is dependent on the price of Bitcoin, and second, the Crypto market will not crash....
My solution, and what I think will be the solution that the market will collectively come-up with: Execute the leader. Let Ethereum (or BCH - laugh all you want but Roger Ver is basically on a one-man multi-billion dollar mission) take Bitcoin's place and the troop keeps marching on. I believe we will see a collective divergence away from Bitcoin soon, followed by a swift recovery.
1) Blockchain technology is and/or will be a transformative technology.
2) Owning any form of crypto is equivalent to owning a share of stock (the real-world value of the coin's utility will eventually be reflected in the price of the coin, none of this store of value bullshit).
3) Bitcoin is outdated tech, we all know it. When you have to build a network on top of your existing network to get that network to do what the competing networks already do at a bare minimum, you're basically Kodak selling disposable cameras.
4) There are too many institutional players and too much money to be made to let the crypto market die.
5) Institutional players have started the expansion of the market from Bitcoin and Ethereum to a wider range of cryptos
evidence of this:
coinbase's announcement to add tokens to the exchange
Abra launch
Circle investing launch
Robinhood crypto launch
Bittrex, Poloniex, and Binance announcement that fiat deposits and withdrawals will soon be available
Yahoo exchange announcement
ETFs around the corner
I could go on....
However, we see that the entire market is being dragged down by Bitcoin, only to string back to life at the smallest signs of life left in the old-man.
So, two competing conclusions: The crypto market is dependent on the price of Bitcoin, and second, the Crypto market will not crash....
My solution, and what I think will be the solution that the market will collectively come-up with: Execute the leader. Let Ethereum (or BCH - laugh all you want but Roger Ver is basically on a one-man multi-billion dollar mission) take Bitcoin's place and the troop keeps marching on. I believe we will see a collective divergence away from Bitcoin soon, followed by a swift recovery.