Topic: You should NOT be buying altcoins now! (Read 495 times)

Well, if you plan in hodling the altcoins then I think the time for buying is as right as any. Altcoins, especially those small in value (always look at this relatively - you have to check the scarcity, number of the coins/tokens in circulation and total number to be issued ever, that is) have a potential of high returns on investment.

I noticed the advice that they should not be bought especially because it is expected for Bitcoin and Ethereum to rise and they have to gain strength against BTC and ETH first.
That advise is wrong for two reasons:

1. This math is not correct. If you buy 1 ETH (I am using the ETH and not BTC here to keep the math round and easy, while also staying close to the real current value) for - say 1000 USD, and then buy 100 "X" coin worth 10 USD each, here is what will happen if ETH goes up more then the X coin.  
Let's say that X coin rose 10 times and ETH 20 times.
Now your X coin portfolio is worth 100x100 = 10.000 USD. In order to sell them you have to convert back to ETH, so you buy ETH at 20x1000 = 20.000 USD, which means you can buy 0,5 ETH. Now you sell 0,5 ETH and you will earn 20.000 uSDx0,5 USD = 10.000 USD. Yes, you are able to buy less, but it is worth more.

Since your investment at the beginning was 1.000 USD  that means at the end you have increased the value of your investment by 10, the same as you would if you sold the X coin directly.

All of this of course if you don't take fees into account.

2. 2018. will bring us the FIAT adoption on exchanges. Which will both make the above dilemma obsolete and solve the problem of conversion fees.

I couldn't really reject the idea behind this "dont buy when everyone was buying" is valid argument. But 2018 is gonna be very unique year when everyone will keep on buying. so i dont agree hard.

It had been always a good time to buy BTC for me.
Really, I still dont know where it will go even if I do the math.
All are just predictions which are not accurate enough to believe in.

Regarding with altcoins, not all will be dumped. There are some who are still going crazy just so to pull investors in their side.

Like all general statements, there has to call for certain exceptions. There are always alt-coins that are still in price, the problem is that it takes an awful lot of time to evaluate them properly and some patience to realise profit.

Its gonna end bad for your friend probably but thats what happens when you have no experience you gota learn from your mistakes.

What you say is advised by Warren Buffett too:




But if you want to advise people not to buy alts right now, you must be sure that alts will not rise more than this. I kind of doubt that.  

Agree this is how I made most of my money. I have started with 1 btc and now I have over 10btc by doing alt game   

I think this is not a right recommend. The first time of the year is always the good time to invest in altcoin. you can see the history of altcoins in the January, 2017 and in December, 2017 to understand

I think this separation is stupid and it's time to move away from him. too many altcoins and too little bitcoin.

We should not criticize anyone's opinion, we should only argue on one issue. I understand your placement, but weaving the emotion aside and using the logic, What time to buy altcoin? The market cap has been increasing exponentially we must examine this question.

I agree with this...  I got back into crypto few days ago and when I tried to create account with major exchanges, most of them weren't accepting new registration due to heavy demand.  I believe there are a lot of newcomers coming into cryptocurrency space and that will benefit most coins out there.

What? Why? What for?? When everyone buys you sell, when everyone sells you buy? Usually people sell if for any item there is a normal (high) price, but buy at a low price, so I did not understand your point of view.

For me its the best strategy that you will do, first comment what altcoin you already invested for after the price pump then sell that altcoin after that go back to forum and look for dumping ones. In this way, you guarantee that you will earn a lot, just be cautious since this kind of strategy is doing by others and might lead to greater loss on your side

Keep in mind crypto fever is just rising.. New money is coming like newer before. All dealers are in big trouble because millions and millions peoples are hopping in.. I honestly think that now is wery good time buy almost anything. Expecially coins that hawe been long time in market and hawe good name  
My friend just bought 5 coins basically by name..

I did own both and what I try to explain here is not to bash on bitcoin, I genuinely try to understand the reasoning for someone to advice that you should buy bitcoins.
yet, please convince me why I would still hold bitcoins? The only reason I would think of would be that I believe that it would rise in price. For transactions it is not usable at all atm and extremely expensive. If that is the only reason, then the next question in my mind would be: "why do people still think that bitcoin will rise?". I'm not saying it is not possible, it is just illogical, even if it is purely because people who want to gain money keep pumping the bubble.

Bitcoin drops in price as far as I know were caused by people (bitcoin.com) or platforms (steam) who were sending messages to the world that bitcoin is at its limits (ok, some are people who want to scam you in another coin *cough* bitcoin cash.., but certainly not all of them). Which is probably true given the transaction times and transaction fees to send something. If it would rise even more or the usage becomes more then these problems become worse. more problems means more public complaints, less usability, less incentive to buy. I imagine a storm of complaints coming from people who hold bitcoins that are basically worthless since they have to pay an insane amount of money just to transfer some. They probably won't care since they got rich holding them in that case, yet who would still buy them at that point when the transaction fee to get them is so high to buy them and to sell them again you'll lose a few 100 dollars. I do all my transactions recently in ETH because bitcoin is basically burning a big chunk of your money at the point you buy it.
If nobody buys anymore.. price will drop again, that or bitcoin will become a niche and be useful for the super rich. Or am I missing something?

So I really can't see why some are saying that bitcoin will hit 100 000 some day. I do not claim to understand this, I am following this as a hobby and not looking into the techs as much as I would want to, but by all means give me arguments that what I am saying is wrong.

Besides of that, it is true that it is inferior tech and there are still people out there who are no creating coins because they want to improve the technology or provide other use cases. Most of the coins out there have better tech than bitcoin. Granted, most of the coins out there copied the tech from another coin. Originally the possibility of moving money out of control of governments and a certain degree of 'anonymity' made bitcoin popular as far as I know. Why would a coin that provides better anonymity (hence the hype on anonymous coins recently I assume), faster and cheaper transactions, better toolchains, other use cases not take over at some point.

At some point, if it is not in the first 2-3 years and if blockchain is here to stay, then it is not unthinkable that some other coin will take over. Nobody knows which one.. for all we know nobody gains a thing and loses everything if the winner appears to be a completely new coin created by a political council once bitcoin-likes are completely accepted by governments and banks (if ever they will accept that or if ever the community will accept government control, yet remember laws can make it difficult for people to put money in and out of bitcoin) and the only way to gain these coins will be by exchanging with banks. Nobody can predict what will happen. So is it worth investing in altcoins.. who knows... probably not in the very long run, but why is bitcoin better?


  

People should know the risk of putting money int cryptocurrency, they are unstable and unpredictibale investment that involves a lot of risques to it, first let me say that your friend is a bit stupid because why put that much into a coin that is only worth 2$, i mean just thinking about if the price goes down he will have no time to exchange it and will lose for sure, we are not saying that people should not invest in altcoins and we are not saying that they should put all of their moeny in them, cryptocurrencies are just another assets that we recommend taking advantage of its rise and its cuurent developpemnt to make profit, and wether you want to invest in them is up to you, if you want to invest in them or just holding to bitcoin is totaly up to you.

The price of all altcoins fell. When will you buy if you do not buy now?
You said yesterday that the price of all altcoins rises and you could not buy. You do not buy it when you get a chance to buy it.

Oh well, all coins are due for a new correction now and then. I have made profit from Tron yet I am here hodling even if know that it has to correct. But, yeah, you are right... go to ICOs instead and buy cheap

thanks man

OP, I agreed with your views. Buying in over hyped coins are risky and you will most likely ended up becoming a bag holder buying what others are selling. It is better to avoid buying during a pump.