I’ve never seen a blue chip, which is going up only. If it does something is wrong may be it is a short squeeze, or a balloon. And I’m saying it as experienced trader with 8 years of securities trading experience. So this drop could prove Steem is not a balloon. I don’t believe someone is shorting (risk taking is enormous), although it’s not impossible (if someone big has seen a threat to his business).
So why it’s dropping so dramatically? The simple answer is someone is selling. Who? If you were in www.steemit.com last days, you probably already know. A guy who made $30 000 with several articles and his followers. He was marketing www.steemit.com as fast money to cash, although the main concept of Steemit is different . Yesterday @berniesanders downvoted his last article to show public that such behavior will not be tolerated more in the community.
If you ask me if I would sell steems?Definitely not. I will get you an example with Facebook. Now it’s trading $125, although it dropped to $18. There are many examples, but it could be boring for you.
If you ask me would I buy more. Not yet. Never buy a falling knife. It hurts.
Do I want to buy steems? Yes. I like it, like to steem, love the concept. When? I don’t know yet. It’s about my inside voice.
Right now I am staying and watching the chart to show me something familiar!
Volatility is normal for anything that rise 2000%.
http://www.marketwatch.com/story/new-digital-currency-sees-2000-price-rise-in-a-week-2016-07-15
Important words. There's a good reason why this is a meme:
But I think it's more likely speculators that are pushing the price down. That gibes with some weird pumps I've been seeing at Polo.
I've seen in the net that founders will raise funds from institutional investors.May be this is the reason!
The reason it's so volatile is because there is such low volume on the exchanges so relatively small buy and sell orders move the market.
People are skeptical for new crypto currencies. The same was with bitcoin but now is on 600$ http://www.coindesk.com/price/