As I said yesterday, I believe that certain cryptos are already leading the crypto market back to bullishness.
These posts will tell you why I think that: One month into the bull market and The Unbearable (but quite bullable) Crypto Market.
Today I want to write one of those little zero-supporting-documentation futurist monologues of mine. I want to tell you what my crytal ball has been showing me as I stare at the future and extrapolate what I know and observe now.
From https://pixabay.com/en/car-road-asphalt-delorean-3249989/
Through the future goggles - Follow up on current crypto bullishness
Bitcoin has already left its mark in the modern Zeitgeist. It's widely known (if not particularly widely used) and the novelty of it has somewhat worn off. Having just turned 10 years old, it's no longer the new kid on the block and we can't rely on the "brand new tech" hype wave to sweep it along any further. In times to come, Bitcoin will most certainly prove itself and people will once again race to acquire it, but for now, it has played all of its major hands and must be content to sit back and allow society to catch up with blockchain technology and to adopt it.
This may sound like I'm preaching BTC price stagnation, I'm not. BTC price has been badly suppressed in 2018 and lots of fantastic BTC related news was swept under the carpet by bearish sentiment, news which has yet to be priced into BTC, so I wouldn't worry too much about that.
The ICO bubble came and went and the market was flooded with shitcoins. While interest in them has waned substantially, they have by no means disappeared. Fortunately for us, some have disappeared. The bad ones, the weak ones, the ones with poor plans or poor management teams have started to die. For the older coins this is good news, it doesn't affect new coins, but older ones that have survived this long are now starting to gain a modicum of credibility. The longer they continue to survive, the more they gain. So a coin launched last month will have little to no credibility, whereas a coin like UTrust (which I spoke about yesterday) is starting to become believable - people will start to believe that it will be able to do what it was designed to do. Coins like Litecoin which have been around for several years have proven their staying power and completed most, if not all of their time-line objectives. Investors are now at the stage where they are trusting coins like that.
That's great, so what does this mean to me or to the future of crypto?
It means that coins can, and are, starting to succeed. As I mentioned in those two posts I linked to right at the beginning of this one, some coins appear to be leading a charge back to a bull market. As I said yesterday, I firmly believe this - and here is why:
BTC has spearheaded the crypto charge so far, largely on its own, perhaps with some help from Ethereum and intermittent market hype from various other altcoins, but mostly BTC. Now that it is starting to run out of novelty value, early adopters and market hype, the driving force behind the next wave of crypto bullishness will step up.
A very interesting thing happened in March to June 2017 and then again in December 2017 / January 2018. The altcoins started to receive serious attention, especially during January 2018. Ultimately the hype did not last and BTC was able to claw some market dominance back, but:
- BTC never regained anything even remotely like the market dominance that it enjoyed before the initial altcoin hype, and
- Many altcoins became well known and regarded as serious assets by forward thinking investors.
The latter of these two points is not a situation that can now be reversed. There are some great altcoins out there (fundamentally far better and more capable than BTC itself!). Those more established coins that remain well-managed, corruption free, solvent, sufficiently popular and perhaps just a little lucky will no doubt start to come to the fore now.
From https://coinmarketcap.com/charts/#dominance-percentage
Further evidence of this can be seen by looking at the more recent BTC climbs. In 2017, if BTC climbed then altcoins fell (as investors sold their alts for the climbing BTC), the alts would then "catch up later once BTC slowed down. But in 2018 when BTC climbed the alts would climb even faster (the good alts anyway). I wrote a post about that too if you want to read more about it: https://steemit.com/cryptocurrency/@bitbrain/supercharge-your-bitcoin
Altcoins are the future
Altcoins are here to stay, and what's more, I think that they can start leading future crypto market growth.
They will do this through adoption and through fulfilling their purposes as detailed in their whitepapers. This is happening right now. For a crypto enthusiast like me, it's thrilling to watch, these are very exciting times! I speak about many great coins and there are more than enough examples of them in my other posts. To illustrate my point in this post, I'm going to use just one of many examples.
I'm going to choose my second favourite crypto as a good example of this (my favourite coin (NEO) is still horribly undervalued and people have not even started to wake up to the reality of what that coin can do!). The coin I will use is CargoX (CXO), an Ethereum based token designed to be used by the shipping industry.
Like most ICOs, CargoX made bold promises early on. But as a good crypto, and one that has now been around long enough to start establishing some credibility, CargoX is beginning to deliver on those promises and show that it can indeed do what it said it would be able to.
CargoX promised us a "smart" bill of lading (B/L) and they have delivered. It's been demonstrated live at conferences and it's been successfully used in the live working environment too. CargoX are doing what they said they would do. Their token is working as they said it would and they are adapting as required as they go along. Their path to success is being publicised and can be tracked and verified. Most importantly, they continue to partner with major industry players, players who can turn a small startup company into a logistics world leader.
CargoX will grow and CargoX will continue to grow. Fundamentally, it is very difficult to see how it could fail from a business point of view (obviously the usual business risks remain, but the business model is solid). I've invested a fairly decent amount in it because I see a lot of scope for the growth of CargoX and its CXO token.
Altcoins keep the future bullish
The CargoX success story is the case for many other coins too. They are now becoming established in their niche markets. Their tokens are gaining inherent value, even if the market currently grossly under-prices them. As the true value of the utility of these tokens becomes realised, I foresee that they will have no other option than to grow considerably in value. While altcoins will always have some sort of link to BTC, I foresee that link growing weaker and weaker to the point that altcoins are practically independent of the ups and downs of BTC. In the same way that the price of soya bean shares is not directly linked to the price of luxury car manufacturer shares, the prices of altcoins will move relatively independently of BTC and of one another.
But one common factor will affect all of them; as some of the altcoins lead the charge to prosperity, so they will drive up that all important credibility factor. In simple terms, they will become the brand ambassadors for blockchain technology, freeing BTC of the burden of carrying that heavy mantle alone. This will lead to far greater market positivity and will be beneficial to the crypto market in general. Unfortunately many undeserving shitcoins will tag along for the ride, but hopefully they will fall by the wayside before too long.
In essence, this means that even if BTC starts dropping in price tomorrow and just carries on going down, the altcoins will come to the rescue and save the crypto market (and probably save BTC too). The scope for growth and the enormous amount of utility value potentially sitting in the many altcoins will ensure growth in the crypto market for decades to come. I believe that this will keep the market growing between its logarithmic growth trendlines, just as it has been doing for the last decade (as I showed in this post: https://mentormarket.io/cryptocurrency/@bitbrain/bitcoin-in-light-of-the-latest-developments).
Yours in crypto,
Bit Brain
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