Cryptos Crushed: And When Bitcoin Catches a Cold, the Altcoins Catch Pneumonia
In the short while it took to finish this article (about one hour), all the cryptos were smashed. And when Bitcoin catches a cold, the Altcoins catch Pneumonia.
This was my lead chart right as I was about ready to post this piece.
Bitcoin is down again today, allegedly on news from Goldman Sachs. It does not matter what the news is really, the pattern remains the same.
This is my captured screen shot about ban hour ago. I post an update below.
The lone exception to the general rule "When Bitcoin catches a cold, the Altcoins catch Pneumonia" is Tether.
But Tether is pegged to the US dollar, one for one. It is merely a trading vehicle to swap in and out of other cryptos.
Many suspect the money in Tether is really not there. Fraud accusations float repeatedly and Tether has not had a believable audit.
Investing.Com lists 2222 cryptos. I point that out because anything in the top 20 is "seemingly" very high up on the list.
Take a gander at VeChain, currently in spot 17 (oops now 18 in the time it took to pull up the following chart).
Last week VeChain had an amazing rally. If you think you can spot that on a chart, you are mistaken.
13/01/2018 is January 13. Investing needs to let people pick a date order preference or default to where someone is viewing, or both (ideally let the user pick).
To me, what makes most sense is YYYY-MM-DD. Traditional US is month first while Europe is day first.
That aside, note that VeChain hit $8.07 on January 13, this year. It is currently sitting at $0.016 (about a penny and a half).
That's a mere 99.8% decline, this year, despite at least one 100% rally. Out of curiosity let's check.
If you bought anywhere close to the top, or even 75% from the top you now have a near total loss despite a 200% rally.
And that is a top-20 Altcoin.
Update - All Cryptos Smashed
In the time it took to write this post and create charts (about an hour). Bitcoin was crushed.
But "Black Diamond" at number 24 is up 50% today, as I currently type.
So, hey, not to worry. There is no bubble.
As we all know, hash rates are soaring, and the hash rate predicts price.
If you believe that nonsense, please consider Investigating Claims Regarding the Bitcoin Hash Rate: Fact vs. Fantasy.
Mike "Mish" Shedlock