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Here’s Why The Siacoin (SC) Economics Set It Up For Future Gains

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Siacoin
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Siacoin (SC) has been a wild ride over the last six months or so. Back in April, SC went for around $0.0008 a coin. By mid-June, this was up to close to $0.02 a piece – a close to 2,500% run. By November, however, things had dipped to $0.003 and it looked as though the mid-year run was all but behind the coin.

Then things started to pick up again.

At close of play yesterday, Siacoin logged fresh all-time highs and recorded a market capitalization of just shy of $764 million. Today, things have corrected somewhat, but this is likely far more to do with a space-wide correction (and the resulting collateral implications for the smaller coins) than it is any fault of Siacoin’s.

SC Daily Chart

SC Daily Chart

With this in mind, then, where can things go from here?

Let’s take a look.

First up, it’s worth noting that there may be a couple of days of weakness ahead. The wider markets, as mentioned, have taken something of a hit today and there’s a good chance that the weakness will continue moving into the holiday period.

With that said, however, these can be great opportunities to pick up some cheap coins – assuming you can uncover those that have the potential to piggyback the overarching upside momentum as and when things turn around.

So, is Siacoin one of these potential winners?

We think so. For anyone new to this coin, it’s a key component of a storage network type system called Sia, which is similar (in some ways) to the already established networks out there – Storj, etc. It’s also very different in other ways and it’s in one of these differences that we base our long-term bull thesis.

Basically, anyone that wanst to ‘rent’ out some of their hard drive storage space to Sia users has to download a local file and then tell the protocol how much you want to rent out (how much space, that is).

You then have to buy some Siacoin and ‘stake’ it, as a sort of signal that you’re active. Storj doesn’t require this. You then have to make sure that the company always has access to the file (so, you’ve got to leave your computer on). If the person whose file is on your computer tries to access it and it’s not available because you’re not connected to the network, you lose some of your Siacoin (it gets burnt).

And this is why we like it.

First, because participants have to buy Siacoin before they can rent out their storage space. This produces a steady and consistent demand for the coin, which over time should translate to a price increase.

Second, because the supply decreases over time as participants fail to meet the availability rules associated with the network and – in turn – have their Siacoin burnt as punishment. This will cause a steadily decreasing supply of the coin which, again, will gradually push up price (assuming demand for the service remains constant or increases).

Keep in mind that the company has to compete with Storj in this space and that its ability to do so is not guaranteed – Storj has some big names behind it and is (probably) the most well-established player in the decentralized peer-to-peer storage game as things stand. With that said, however, it’s incredibly competitive from a price perspective and this economics of the Sia system, as outlined above, position the coin for appreciation on two fronts as and when the company grows its base of users.

Bottom line: this one could be a winner and right now it’s correcting after a big run, meaning some cheap coins are on offer ahead of a recovery.

 

We will be updating our subscribers as soon as we know more. For the latest on SC, sign up below!

Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Please conduct your own thorough research before investing in any cryptocurrency.


Image courtesy of Sia.tech

Bitcoin

Investors Beware: Another Large Bitcoin Crash Might Be Coming

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The crypto prices have surged quite high in the last few months. Of course, their progress is nowhere near the one seen in 2017, but they appear to be getting there, one day at the time. However, things might not be as simple as that, and according to recent performance — it is more than possible that a major Bitcoin crash is incoming.

The fact is that cryptos saw a massive amount of growth in a very short period. Bitcoin itself more than doubled its price in only two months. Now, the rally is starting to crash in on itself, and the coin is already about $1,000 lower than last week. If such development does come to pass, a lot of people will experience quite large losses, although experienced investors might find some opportunities, and leverage in order to enhance their holdings’ long-term value.

For example, Bitcoin dominance is expected to crash very quickly, which will work in favor of quite a lot of altcoins. While this does not seem to be the best time to invest in BTC, altcoins are another story, and diversifying a portfolio now might end up being very profitable in days to come.

Bitcoin behavior mirrors the pre-bear market situation

The crash that analysts are predicting right now comes as a direct consequence of all the hype that has been building up in…

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Bitcoin

The Bitcoin Revolution: Everything You Need To Know To Take Profits

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Bitcoin is soaring high in the cryptomarket once again, and experts are expecting a return of the bullish trend of 2017. The current Bitcoin price is $7,615 as of 23 May 6:56 AM UTC. This significant jump comes just six months after the Bitcoin price plummeted to a low of $3150 in December 2018. Since then, Bitcoin has experienced steady growth and gain in the market. However, in the last 30 days, the Bitcoin price peaked to $8,320.82, its highest price ever. This phenomenal jump occurred in a span of only 10 days breaking the Bitcoin record so far of significant gains made in short time frames. This positive growth has led to experts forecasting the Bitcoin price to hit the $20,000 mark by the end of this year.

Since entering the market almost 11 years ago, Bitcoin is still at the top of the global cryptocurrencies list. The current circulating supply of Bitcoin is at unbelievable 17,708,875 BTC. The market trend of the Bitcoin price has remained positive even when the currency did not maintain an uptrend. Cryptocurrency researchers believe that Bitcoin has the potential to grow up to a high of USD 50,000 within the next two years.

How to Profit from Bitcoin…

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Altcoins

3 Altcoins That Are Outperforming Bitcoin and Will Likely Face Consequences

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The crypto market is going through a period of massive recovery in the past few months, which has caused the investors’ optimism to return. While all eyes are on Bitcoin (BTC), as usual, the largest coin seems to be struggling with a major resistance level at $8,000 at the moment. While this level was breached a few times now, every breach resulted in a correction.

At the time of writing, BTC is approaching this level yet again, with its current price being at $7,985,79, and rising further. The price managed to grow by 1.06% in the last 24 hours, and will undoubtedly hit $8,000 in a matter of hours, if not sooner.

However, while Bitcoin continues to remain volatile and struggles with waves of growth and decline, there are some altcoins that are not following its path. Of course, most of them are performing in pretty much the same manner as BTC, as they always had. But, a few coins have actually managed to outperform Bitcoin in recent months.

While optimists believe that this might lead to decoupling from Bitcoin — something that only Binance Coin (BNB) managed to pull off up to this point — it is likely that there will be consequences for these cryptos. This likely means that a price drop for these specific coins awaits somewhere in the near future, as outperforming BTC…

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