Bulls think it is too bearish, bears think it is too bullish, someone said. We here at trustnodes think no one has a clue what to think.
Crypto prices have been moving in a pretty straight line for about a week, and if we ignore some slight divergence, you could say it has been in a straight line for about a month.
Take ethereum. It went up and up in April when tariffs were announced, then down and down for no obvious reason. Greeting summer, it decided to try the straight line.
Price has become somewhat boring in a way, for the first time in a reasonably long crypto time. The global market cap of $250 billion, for example, feels like a stable feature now.
Yet sometime, when we hear 96 bitcoins are half a million dollars, you do go wow. Million? You do feel like one hasn’t quite acclimatized to the stupendous run up of 2017.
We have, however, become a bit more accustomed to a minister here or there, or even a president, mentioning cryptos, but in some other aspects it’s as if they don’t exist.
When you look at unicorns, for example, rarely does anyone mention Coinbase or Binance or Bitmain. Or when you look at investments and so on or crowdfunding, hardly do they mention ICO-ed companies.
So cryptos are still sort of at the edge of crossing the tipping point. They may have done so with the young ones, but as far as the general population is concerned, haven’t yet.
This is perfectly illustrated by today’s news that South Korean banks hold 8% of their total investment assets in cryptos.
That translates to $2 billion which, the central bank there says, is insignificant. In regards to the general population itself, it is just under 10% that hold crypto. That’s not quite an insignificant number, but it is a fair point, cryptos are still pretty small.
Global derivates are $500 trillions. That is many, many, billions. Global stocks are around $100 trillion. Then some $50 trillion in government and corporate bonds. $2 billion in that picture is a rounding number in a way, as is even $250 billion.
So you have this sort of two different worlds here, where on the one hand there is a pretty decent-sized population and even market cap and on the other hand where it isn’t really that much in the big picture.
Or, on the one hand where there is quite a bit of economic activity with the economic growth in some nations partly due to cryptos, and on the other hand where cryptos sort of don’t exist at all in calculations of unicorns and all that jazz.
Then you have some cryptos like bitcoin apparently passing the base money of the vast majority of national currencies by far, to rise within top 20, and yet in a way it is still tiny.
That’s just how much we have a clue about the current money system, but at least where cryptos are concerned we have some nice stats and a tinge of red for today:
There is some green in all that red, but what stands more is the -10% for plenty and the -17% for Tezos, while the big four are somewhat relatively stable.
Now, it wouldn’t surprise us if tomorrow we have the same picture, but in green reverse. And then maybe back to red and green ping pong. Yet, you can never tell with these things.
It is the quiet season. World Cup is on. Heatwaves all over the world. Developers coding all sorts. Traditional companies trying the crypto lot. The quiet before the storm, as they once used to say. Perhaps though, who on earth is to know.