Like I said - I'm simply pointing out that what's being done is contributing heavily to the price action of Steem.
[replying from below]
Yes it is kind of obvious that when people sell, the price goes down. The question you aren't asking is why are they selling. What could be leading to this loss of confidence or loss of desire to continue holding. Every action has a cause. Every cause has an earlier cause.
You need to look deeper here than just going one level from the price and stopping at the point where investors decide to sell. Well actually you don't, but if you want to have an better-formed opinion, then you do.
Steem may be worthless in 5 or 10 weeks.
It may very well. Cryptos are a risky investment. Startups are risky ventures. Steem/it is both. Some, even with good ideas, fail. These risks are exactly what create the opportunities for people who buy at low prices to make a tremendous amount of money. If there were no risk, the price would be much higher and the potential gains much smaller.
I'm trying to understand why the selling continues
Because the people who own it, who are the only ones who get to make that determination, want to own less of it. The price declines because the people who currently want to buy it are only willing to do so at lower prices. That's really all there is to it.
@smooth How would i find this "why" as a newcomer to the scene (not just steemit but crypto in general) without any real clue of where to start? Thank you for any advice.
This convo seems split up between a few different threads.. I'm not sure the best point to insert my reply :) I replied to @ats-david's point about 'whales selling off being a bad thing' in a higher up point of the thread.
@smooth:
Why did the investors decide to sell? Why do they want to own LESS?
Or....the people who want to buy won't because there is no predictable ROI for them.
No. Don't say that. We want it to succeed. We all hope this wasn't just a burn and churn. My pittance of an investment isn't going to make a single bit of difference in the life of the platform or in my life. But if there were more of us dropping money in, and fewer of us selling, that would be sustainable. The only way to make that happen is with incentive for the investor.
Wouldn't you agree that whale and mega whale sock-puppet accounts decentralize and disincentivize?
I GUARANTEE that people like me and @ats-david are exactly the kind of users who would curate good content, reward the minnows, and give incentives to the newcomers when we reach middle class. THIS IS WHAT A PLACE LIKE THIS NEEDS. Blokes like us who care. There are gobs of us.
Unless it was the plan from the beginning to be a short-lived free-for-all, then I think it is worth hearing us out.
It's not meant to criticize. It's meant to save what's going on here. We want this place to succeed. But not just for the elite.