The Great Crypto Culling of July 2017

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SilverDoge
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The Great Crypto Culling of July 2017

Postby SilverDoge » Tue Jul 11, 2017

Less than a month ago, on June 20th, 2017, the total market capitalization for the entire crypto space peaked at $116 billion. As I type this on July 11, 2017, that number is now under $78 billion. That is a loss of over 32% from the peak. What makes this even worse is that new projects have been added in that time, so the losses for previously existing crypto projects is even worse than that. To put everything in perspective though, on May 7th, 2017, we were under $50 billion total.

Chart: https://coinmarketcap.com/charts/

This is the pain of the crypto markets that can be unleashed at any time. There are numerous reasons that could account for this pullback. Segwit upgrades, flight to safety, profit taking from early investors, uncertainty about bitcoin forks, big players wanting to buy in cheaply and causing panic among weak hands and new investors. But does that change the fundamentals of why I chose to get into crypto in the first place? No.

From the market peak, I likely have more paper losses in fiat terms than probably anyone else in this forum, but I haven't cashed out any crypto to fiat during this mini-crash. This is because 1) the fiat I've invested I am 100% prepared to lose all of it (if necessary) and I recommend one never invest more than they are prepared to lose in this space, 2) the fundamental reasons for getting into crytpo and supporting these projects hasn't changed, 3) I'm not simply chasing paper profits, 4) I don't trade on emotion.

I'm not advising anyone on how to act during this set-back, I'm merely stating what I am doing, and want people to know that I have NOT lost all hope and sold everything. I wish I had more fiat to throw into the game right now, but that is a common problem to have. There are some amazing deals out there right now, and the big money players with strong hands are going to make a killing.

I don't know how low this all will go. I don't see bitcoin going under $1,300 unless it forks. That said, stay of strong mind and body, and if there are others that were contemplating getting into crypto... this might just be opportunity calling.
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Long John
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Re: The Great Crypto Culling of July 2017

Postby Long John » Tue Jul 11, 2017

I too wish I had lots of fiat to buy up these bargains. Those who do, and can wait it out, will score big. Unfortunately I am limited in what I can do. I bought a small amount on Coinbase with some USD I had handy from a previous sale of ETH, but quickly burned through that. I generally rely on trades to stay in the game and right now there is no trading for me. Why take a loss on Coin A in order to buy Coin B cheap? I'm down to owning coins I have reason to believe in, already did my personal culling before this crash. I do have some ETH that I paid less than it's worth, but what a waste to sell that right now. Forget it. Sit and hold and marvel as the market does its thing.

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Re: The Great Crypto Culling of July 2017

Postby Silversaving » Tue Jul 11, 2017

I'm thankful to have got in early this year. Because of that, this pullback/crash/whatever hasn't bothered me as much as it would have if I'd only started a month ago. Bitcoin can go to $100 and I'd still be up from where I started this year (thanks to some great alt trading). So sure, I'd love a straight line up forever and a private island to retire on....but crypto has been good to me and I anticipate it will continue to be good to me in the months and years to come. Until I get to the magic number I've set for myself in crypto, I'll keep plugging away at my day job and doing my best to get out and enjoy life.

EVERYONE from the start has said: don't invest anything you can't afford to lose. I put in a bit shy of $6k initially and have already paid myself back. Nobody should be spending the rent money on their crypto portfolio. Even today (as people bemoan their losses), I consider getting involved with crypto to be the single most profitable thing I'd done in my lifetime.

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Re: The Great Crypto Culling of July 2017

Postby jareksdad » Tue Jul 11, 2017

My dr has been trying to get me to buy ethereum or whatever it's called for the last yr.
Looks like he is making a fortune ( if he cashes out)
Whatever happened to the old saying if you don't hold it you don't own it.......

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Re: The Great Crypto Culling of July 2017

Postby Long John » Sun Jul 16, 2017

The next stage...

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Re: The Great Crypto Culling of July 2017

Postby silverpv » Sun Jul 16, 2017

Been fortunate to pull most of my initial principle out to PM's regularly through the top and down but I am looking at putting in a considerable amount more now. Selling off some stagnant picks in the stock market to see if I can cash in on the firesale. I think the fork is pretty certain the question is if the dump will happen or not. There's 3 possible outcomes.

Aug 1 BTC Split

* BTC - Bitcoin + SegWit
* BTC 2x - Bitcoin + SegWit + 2MB block limit
* BTC ABC - Bitcoin + 2mb limit

credit to this post on reddit for the great summary with both technical and drama breakdown. https://np.reddit.com/r/Buttcoin/commen ... s/dk9c27f/

The market uncertainty exists because no one knows which one or how deep the division will go. This is obviously a problem for retailers because it is a power struggle. BTC with SegWit only will still cause problems with scaling. BTC2x will cause a split and force the overall bitcoin community to choose between BTC or BTC2x. BTC ABC is for purists who believe SegWit doesn't belong in the code because it changes the fundamental nature of bitcoin. BTC2x gives the option to use SegWite and BTCABC ignores SegWit altogether. The price dump obviously affects all cryptos since most are denominated in BTC.

My plan is to drop in to pick up some BTC before the hardfork to possibly pick up all 3 versions. It's very likely the price could go down or one or the other splits could go to 0. Both have communities though and a developer group. What this points to is the problem with decentralization when people can't agree and would rather fork and split the chain. Problem with splitting the chain now is who owns the branding for BTC? I do think one will be better for business and the other will be good for retail. What it is showing though is the power vacuum in decentralized development. For people like us, the one that becomes dominant is important because all btc backed companies depends on BTC funding.

I think this is a blip in the story, but if it is resolved or the split happens then they can move on to competing which should the market forward. That is unless, theres some implosion and everything goes to 0, which is possible but not likely. These aren't tulips and I don't think the technology will die because 2 teams are having a popularity contest.

I hope though after all of this we'll see the split and money will come flowing back in. Or the ultra conspiracy theory is that all of this is a sham and the biggest pump and dump ever! $60 billion came in, pulled in chasing money and then subsequently dumped, which i doubt but is entirely possible by some cartel with $60b in cash.

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Re: The Great Crypto Culling of July 2017

Postby SilverDoge » Sun Jul 16, 2017

silverpv wrote:Been fortunate to pull most of my initial principle out to PM's regularly through the top and down but I am looking at putting in a considerable amount more now. Selling off some stagnant picks in the stock market to see if I can cash in on the firesale. I think the fork is pretty certain the question is if the dump will happen or not. There's 3 possible outcomes.

Aug 1 BTC Split

* BTC - Bitcoin + SegWit
* BTC 2x - Bitcoin + SegWit + 2MB block limit
* BTC ABC - Bitcoin + 2mb limit

credit to this post on reddit for the great summary with both technical and drama breakdown. https://np.reddit.com/r/Buttcoin/commen ... s/dk9c27f/

The market uncertainty exists because no one knows which one or how deep the division will go. This is obviously a problem for retailers because it is a power struggle. BTC with SegWit only will still cause problems with scaling. BTC2x will cause a split and force the overall bitcoin community to choose between BTC or BTC2x. BTC ABC is for purists who believe SegWit doesn't belong in the code because it changes the fundamental nature of bitcoin. BTC2x gives the option to use SegWite and BTCABC ignores SegWit altogether. The price dump obviously affects all cryptos since most are denominated in BTC.

My plan is to drop in to pick up some BTC before the hardfork to possibly pick up all 3 versions. It's very likely the price could go down or one or the other splits could go to 0. Both have communities though and a developer group. What this points to is the problem with decentralization when people can't agree and would rather fork and split the chain. Problem with splitting the chain now is who owns the branding for BTC? I do think one will be better for business and the other will be good for retail. What it is showing though is the power vacuum in decentralized development. For people like us, the one that becomes dominant is important because all btc backed companies depends on BTC funding.

I think this is a blip in the story, but if it is resolved or the split happens then they can move on to competing which should the market forward. That is unless, theres some implosion and everything goes to 0, which is possible but not likely. These aren't tulips and I don't think the technology will die because 2 teams are having a popularity contest.

I hope though after all of this we'll see the split and money will come flowing back in. Or the ultra conspiracy theory is that all of this is a sham and the biggest pump and dump ever! $60 billion came in, pulled in chasing money and then subsequently dumped, which i doubt but is entirely possible by some cartel with $60b in cash.


This is necessary disruption in the bitcoin space. This argument has cost me thousands of fiat dollars on paper but I am thrilled about it. Bitcoin needs to get past this hump and it also shows the problem of a governance structure that is seemingly ad hoc. Dash, PIVX and other alt currencies have already fixed this governance and self-funding issue, but they have nowhere near the network effects that bitcoin has. I'm okay with a bitcoin split if that is what it takes. It will be a sad day initially, but we will move on from it. By creating a fork, there will likely be an alt-coin that will one day overtake bitcoin. The question of course, is which one will it be?
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Re: The Great Crypto Culling of July 2017

Postby Long John » Wed Jul 19, 2017

SilverDoge wrote:By creating a fork, there will likely be an alt-coin that will one day overtake bitcoin. The question of course, is which one will it be?


It doesn't matter to me, as long as it's Litecoin or PIVX or Antshares/NEO or QRL or something I have put my chips on. No, it'll be some ICO you were hot on and I passed on or didn't stay in. I suspect at least half of the things we both now hold will be gone or as good as gone in a few years, since we're talking about culling. I hope I am out of those by then. I fact I know I will be out of some of them, because I won't be into 10 different cryptos in a couple years. Maybe a couple, with something else entirely consuming my attention and money. Dinosaur fossils, maybe.

One thing the Great Crypto Culling hasn't culled is pumping and dumping. Coins soar up from the depths of obscurity to the top 10 of Bittrex like a skyrocket and plunge down just as fast, shoveling bitcoin into the pockets of the P&D'ers along the way. Sometimes new coins, sometimes old coins that languish on the lo-vol pages until someone decides to pump it. Probably the same on other exchanges; Bittrex is the one I watch. This past week or so: Syndicate, Voxels, Siberian, TenX, Numeraire (remember when Numeraire was kicking ETH's azz?) and others. The great crash and culling didn't stop people from jumping in all the way to the top. There's something about a coin that's up 100% or more that's just irresistible. Surely it will go up another 100%, right?

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Re: The Great Crypto Culling of July 2017

Postby SilverDoge » Mon Sep 25, 2017

SilverDoge wrote:Less than a month ago, on June 20th, 2017, the total market capitalization for the entire crypto space peaked at $116 billion. As I type this on July 11, 2017, that number is now under $78 billion. That is a loss of over 32% from the peak.


Do you guys remember the panic and calamity during this culling from July this year? With the most recent dip, I had almost forgotten about this mini-dip (of only 32%).
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Long John
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Re: The Great Crypto Culling of July 2017

Postby Long John » Mon Sep 25, 2017

I forget, did the July crash bring out people saying they always knew crypto was a house of cards? The run up to $5000 put a cork in that, but the recent declines reinvigorated that view. One thing's for sure, this early-stage volatility and wild swings are an acquired taste.

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Re: The Great Crypto Culling of July 2017

Postby silverpv » Mon Sep 25, 2017

Yeah I remember it, sat on the sidelines for awhile thinking it would happen again. Picked up a bit at the $3k/$200 mark. If it doesn't go down, it'll head up..


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