This is not just about Ether and XEM. Actually if you watch closely every time ether goes down a lot of other crypto go up and vice versa. There are daily opportunities in cross trading cryptos. This doesn't mean that anyone is switching it is just short term and mid term trading opportunities. This is the kind of flow that we should NOT desire cause it would always behave in pump and dump manner.
What is really happening is there are very few number of investors that started to clearly see the future of NEM. Probably most of which are in Japan and happen to know about the recent news before anyone else. These are the ones buying low now before others would realize the bright future of NEM. Moreover it seems that they are doing it slowly to acquire as much XEM as possible at as low price as possible. This is good, and this is the kind of volume that we should desire cause these are long term investors and for that reason XEM will never get back to 40. Probably we will be kissing the 60 range goodbye this week.
Nailed it right here. Especially the first paragraph.
All you see on exchanges are pump and dumps, often initiated by whales who are either 1. maximizing profit by manipulating markets 2. toying with markets as they're already plenty wealthy -- probably BTC holders. It's the waves they create that day traders hope to gain profit on as well -- this is pretty much where the volume is from (case in point, when ETH volume died, BTS shot up). It's a vicious cycle that really just amounts to an expensive game of musical chairs with ultimately one person left standing (Ie: that one bagholder who left it too late).
No coin can escape it (as long as they don't branch out from exchanges), from the typical standard shitcoin to the rare, promising coin like XEM. This is all exchanges/all alt markets in a nutshell.
It's good that XEM is getting public exposure that helps it to break out of the (incorrect) "alt" among alt stigma. Bringing in people outside of typical crypto/exchange circles is absolutely whats needed.
yes, with altcoins, there is only so much $$$ sloshing around trying to find the 'next big thing'. This amount is finite with everyone competing for this limited capital. So most are speculators.
NEM needs to break this dependence. hopefully the new exchange in the works will help with this!
