Cryptocurrency Market [centralization] - page 2.

LeGaulois

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I don't get it why people constantly talk about Tether being a problem now, while it has been a potential problem for more than a year now. In other words, Tether right now isn't more of a potential threat than it was a good year ago

Even one year ago I have not really understood how Tether could be a threat, because I don't think so. But I agree with the rest of your comment.

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- On Friday, many virtual coins saw a violent sell-off with billions of dollars wiped off of the entire cryptocurrency market.[1]

Isn't Friday the day when Bitcoin jumped from ~$8,000 to ~$9,500? If so then it's quite the opposite of what is mentionned.

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-- Experts have cited worries over tighter regulation and concern that a digital coin called tether could destabilize the cryptocurrency market.[2]

Experts from CNBC.com? I didn't read the article fully but CNBC.com is one of the last media to listen to. I mean seriously.
As I said yesterday you can become homeless if you listen to them.

jaysabi

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Yes, Bitcoin has the biggest impact on all altcoins prices because Bitcoin is the most liquid crypto and the starting point for many alts. Starting point in that if you want to buy XYZ coin, you have to first to buy Bitcoin and then convert your btc to XYZ. The total price of all coins listed coinmarketcap is derived by weighted average of all known market pairings, between fiat and any coin and all other coins and any coin, including Bitcoin, which by weighted average is always among the most heavily weighted pairings. So by definition, when Bitcoin moves up or down it carries almost all alts with it as a function of how the price is determined. The only time it doesn't is in instances where a particular pairing is heavier than Bitcoin/particular alt, and the trading is in the opposite direction of the current Bitcoin price move.

oddwh

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In fact most of the coins are indexed on BTC price, which means if BTC crashes, others alts will follow. So yeah, because of that, BTC incluences the whole market.

You can take as example Ethereum, which survived a bit longer on the crash, because ETH is more indexed in USD than others coin.

About USDT, I completely follow 1Referee, it's not more a problem now.
And I would say, who cares if USDT really own what they are supposed to have ? We all know banks haven't the whole USD they are supposed to have, so USDT would be a good replica Tongue

. People are afraid of USDT just only because the price drops, and not the opposite, that's because we always (as humans) need an understandable reason when something negative happens.

CHENIEN

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I know we have different ideas about cryptocurrency market status, but for me, the real reason on what happening today in different cryptocurrencies are only behind the control of the management, only we can say and share are speculative ideas and we cannot determine the exact future and situation of all cryptocurrencies.

1Referee

legendary

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Experts are not experts at all, but plain hype drivers. I don't get it why people constantly talk about Tether being a problem now, while it has been a potential problem for more than a year now. In other words, Tether right now isn't more of a potential threat than it was a good year ago. It's exactly the same, but the shitload of fud and drama makes it stand out to get this market shaken up. Ignore all this and just more forward. Bitcoin is the front driver leading altcoins to their all time high, so if Bitcoin moves up, it boosts the entire altcoin market in the long run. Even if altcoins don't increase in value as per their ratio against Bitcoin, the increased USD value of Bitcoin will make all altcoins gain USD value as well.

Regarding whether or not we really need that many coins, the answer is no. However, since this is a free market where everyone can basically buy or fork a coin, we'll see them pop up like mushrooms after a rainy day for plenty of more years. The overall greed of this market makes sure there is a constant level of demand for these coins, so there will be a constant level of supply as well.

hugeblack

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Quote from: https://www.cnbc.com/2018/02/03/bitcoin-price-cryptocurrency-market-stabilizes-after-violent-sell-off.html

- On Friday, many virtual coins saw a violent sell-off with billions of dollars wiped off of the entire cryptocurrency market.[1]
- Experts have cited worries over tighter regulation and concern that a digital coin called tether could destabilize the cryptocurrency market.[2]

The last two days witnessed a harmonious movement of all currencies up and down "Almost all currencies have the same graph".
We have seen the same ups or downs for all currencies at the same time.

Do you think the market is going to be centralized? Or that Bitcoin has the greatest influence on this?
Do we really need all this number of currencies?

Topic: Cryptocurrency Market [centralization] - page 2. (Read 347 times)