Who Will Be The Amazons Of Crypto?
By sanneh on ALTCOIN MAGAZINE
Some people compare the current cryptocurrency state of affairs to the situation back in the dot com era. What these two types have in common is that there were many projects launched, that promised great innovations, some bordering on the revolution — every single one of them promised a return on investment.
The dotcom era was a technological boom where the internet was in the early stages of its inception. Companies realized its potential and more importantly the potential to gather public funds in what was quickly becoming the next big thing and an investment opportunity you couldn’t afford to miss. That’s what the mainstream media was saying about it, at least.
The same type of parabole could be mirrored in the late 2017 cryptocurrency ICO era, where startups would gather millions of dollars in project funding, through the selling of tokens that would be used as a currency on the platform.
The dotcom era started with thousands of projects, many of which rose to great heights on the speculative market, valued well before there was anything substantial to grasp onto. Also known as a bubble, the prices kept rising across the board until reaching unsustainable levels. At that point, the bubble burst and so did the projects and the shareholder money that was keeping them afloat was now gone. This left a significant amount fewer projects on the market and the few that survived were scraping at the bottom. The same can now be said for cryptocurrencies.
After the great big bubble of 2017 and the inevitable collapse, the winter of 2018 was cold and ruthless. The freezing low prices wiped off more than 50% of the projects and left the ones that withstood holding on for dear life.
But Who Are The Amazons Of Crypto And How Should I Know That?
I hope you are convinced that there are similarities to the dot-com era. Investors who recognized the value in the midst of panic, fear, and chaos, and picked companies like Amazon, Cisco and eBay realized great returns.
And so there is an opportunity to do the same in the crypto market. The general idea is that a majority of the projects that were funded through ICOs in that time have since failed and are completely out of the picture. As the blockchain scene matures and gains clarity so will the projects and their tokens that give users real benefits thrive. So who are the Amazons of Cryptocurrency? What project is out there that is flying under the radar, but the team behind it has been working diligently despite the dire circumstances? Having an insight into the industry and a reasonable way to value projects may net you a fortune in the long run.
Investors like Benjamin Graham and Warren Buffet made fortunes in times of trouble, as Buffet says.
When there is blood in the streets, buy.
Or Graham’s illustrious quote:
“Buy low, sell dear”
