There is a general consensus among stock traders and investment advisors that, a slow (bearish) market is the right time to make an investment. The idea is that, there are profits to be made as the bears move out and the market performs better. Let us view this scenario in the case of the crypto market.
December 2018 is the right time to figure out the scenario of a slow crypto market. BITCOIN which was the sole pillar of the crypto market crashed and it is needless to say that, it pulled down almost every crypto that was being traded.
While BTC (BITCOIN) itself lost almost 70% of its average price in 2018, other tokens told a similar story. So is buying a good strategy in such a situation, there is surely no simple answer to this question. In the case of cryptos, the entire market sentiment (as of now) is influenced by the performance of one single crypto – BTC.
The origin of BITCOIN remains a mystery, it might have been launched to help with money transfers but in reality, BTC has been glorified for being nothing more than a pure and often wild, speculative instrument. With nothing of substance besides reckless speculation, the crash of the BTC price from $19,000 to $4,000 within 12 months should come as no surprise.
The bearish mood in the market might signal a buy but, buyers need to be extremely selective. Crypto markets are young and ‘expert’ advice needs to be addressed with a dose of caution.
Crypto enthusiasts should begin to review entire projects rather than, focus merely on the price of a crypto token. It might sound strange but, BITCOIN had absolutely no project behind it. It is important for a blockchain project (crypto included) to relate to the real world economy. Such a project would retain the excitement of being traded on the crypto exchange but would also, make a connection with a real life industry or business.
Don’t even think of mortgaging a house or car to buy a crypto, it is way too risky and you could lose everything. Things might be a bit different though, if you are blessed with a thick stack of loose cash to spend. Once again taking the BTC as an example, not even the best crypto analysist could predict such a fall.
When assessing a crypto that has been around for around a year, try to get information related to the ICO price of the token. We might not be wrong in saying that around, 70% of the cryptos launched in 2018 lost as much as 75% of their ICO value within, the first few weeks of being traded. Most of these cryptos would never see a revival – this is the sad reality.
Another very useful tip related to buying a crypto, this is applicable irrespective of market mood. A high priced crypto is not necessarily better than a reasonably priced or low priced token. If you went merely by price, BITCOIN still retains top spot but let’s not forget that it has shed more than 70% of its value in the past 12 months. On the other hand a crypto with a price under $1, could have achieved a handsome appreciation in value. It all boils down to analyzing the token and the project that promoted it.
The age old adage of ‘… not putting all your eggs in one basket …’ is extremely relevant when it comes to cryptos. Set up a budget that you would like to use for your crypto buying activity. Spread it across at least 2 to 3 projects, could be more if the budget can handle it. Make sure that you review the projects well, this can help reduce risk to a large extent.
Glitzkoin: The first diamond blockchain to be promoted by a veteran from the $90 billion diamond industry. The Glitzkoin project includes a comprehensive diamond trading platform nicknamed DiaEx, that supports both B2B and B2C trade in diamonds. Being actively supported by the crypto community, the project completed an ICO in June 2018, the GTN token was priced at $0.20 during the ICO. After being listed on Stellar based exchanges (Stellarport) in July 2018 – the GTN token has consistently put up a remarkable performance. The price range of the token from July 2018 to December 2018 has been from $0.18 to $0.30. With most cryptos launched during the same time, losing upto 70% of their ICO value within a few weeks of trading, the Glitzkoin GTN token continues to put up an impressive performance. Seasoned crypto traders continue to support the project, they realize that the fact that GTN token is the designated mode of payment on the DiaEx, ensures a second channel of demand for the token. Diamond traders operating on the DiaEx platform, would buy the GTN token to fulfill their payment obligations. The DiaEx diamond exchange is due to be launched in the first quarter of 2019.
The link provided below allows you to track and trade the GTN token on Stellarport.