The Perception of Cryptocurrency Value

Source Node: 862571
Sajjad Hussain
Photo by Dmitry Demidko on Unsplash

The current market of cryptocurrencies is hot, congested by investors but hides many risks, the increased money flows into the crypto market disrupts the sectors of the real economy, the financial innovation, and technological enhancements bring growth, value, and return to the financial world, behind excess returns the chance of getting trap by Ponzi scheme is imminent, the cryptocurrency market is fragile and highly volatile and even without government endorsement, in fact, the possibility of getting high yields is increasing constantly, major cryptocurrencies are often impacted with each other when one falls the other coins also take the same path.

Dogecoin

Bitcoin which is the leader in the crypto world, legendary returned the excess values due to popularity, unique technological identity, and ease of use, investors who left behind in Bitcoin profit tsunami urgently seeking another coin that produces such wealth as Bitcoin does, maybe Dogecoin fulfill this desire of investors, but the problem with Dogecoin is its inflation, Bitcoin has limited capacity while Dogecoin has unlimited capacity.

Bubble

The science behind a bubble is when a bubble gradually rises, the market speculators try to expand more because they want every investor to put their share on this bubble, an irrational investment behavior is the favorite one among speculators when everyone agrees to give everything to this bubble, the charm of the bubble is at the peak, but the outcome of such bubble is ultimately disastrous in many respects, the great advice here is to move with ulterior motives, invest in the asset value, not over-speculation, the really rational approach will strengthen and empower capital and the real economy.

Securities and Exchange Commission

Since the start of this year the Bitcoin, Dogecoin, and Ethereum have experienced growth and prosperity over stocks and bonds, Bitcoin already jump to 1 trillion U.S. dollars in market value and the Ethereum and Dogecoin also take the same path, but recent plunge also raises the question of scam and Ponzi schemes, however, the Bitcoin and Ethereum are always far behind the real scam but what about the Dogecoin, which is admitted by US Securities and Exchange Commission (SEC) a purely speculative currency, due to nonexistence of virtual currency proper government and bank endorsements, super deceptive speculator behavior, and with high volatility, it is very difficult for one individual to judge the true value behind the cryptocurrency.

Assistance

In order to invest in the true value of the crypto asset, one needs to understand the financing behavior of the cryptocurrency, the existence of abnormal conditions associated with encrypted assets, how fraudulent entities taking part in crypto investment, pyramid schemes, money laundering, and other illegal and criminal activities, one needs to gather all such information when investing in crypto assets, the supervision by authority or any other institution in respect of the crypto investment is the backbone of the investors, the assistance they get from these elements not only provide good-faith but investors get more cognizant returns

Speculators

Speculators often advise investors to avoid supervision of anyone, they mark supervision as an anti-democratic and negative factor to the market because if these elements persist in the market, they often weaken the speculator’s propaganda, speculators continued hype always disturbed by the rational view of the market, wrong views means fall into the trap of speculators, dreaming and seeking shortcut always generate disastrous consequences.

Source: https://medium.com/cryptocurrencies-ups-and-down/the-perception-of-cryptocurrency-value-f0e7119aa0de?source=rss——-8—————–cryptocurrency

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