Cryptologist always sensitive about any updates in the network of the first cryptocurrency, adhering to the main rule – “does it Work? Don’t touch!”. But bitcoin has already reached the technological limit. This is what provokes the need for updates.
Update SegWit (Segregated Witness) was taken in summer. In itself, the update has caused a fierce debate around the applications, right down to whether it was at all. To come to a common denominator, in new York in may this year, the largest representatives of the bitcoin community signed the so called Memorandum – new York agreement (New York Agreement – NYA).
Initial SegWit is a technological solution to the software part of the blockchain of bitcoin to increase its capacity. In other words, it’s an update that will allow bitcoin to be faster and more reliable as a means of payment.
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Initial SegWit can be called softform (softfork), that is backwards-compatible. in this case, there remains the possibility to refuse SegWit if it turns out that it didn’t work. You can not say about SegWit2x. According to the plan the fork SegWit2x the result would be irreversible.
I have already explained, what is hard – and softform. Let’s try to understand why events around SegWit2x cause so many disputes.
Among the supporters of the SegWit2x those who upgrade will receive additional benefits. The 2 opponents are more restrained and crying out to the mind, resulting in arguments and arguments.
Thus, big players make strong statements, and ordinary users do not understand the subject, take a particular position on the basis of the submission of arguments. It is for the minds (votes) of these uncomprehending Amateurs now is a struggle. Very similar to politics, and suffer from this, as usual, simple!
On the background of the rapid rise in prices for other cryptocurrencies like Ethereum, Dash, Waves, capturadora to invest their bitcoins in altcoins. Now the situation has changed. They try their most profitable to sell it to buy bitcoins, obtained in resultatet forks.
Of course, no one will understand where and how the coin better, and just starts to sell one in favor of another, gaining instant profit. It used to be a fork of Bitcoin with Cash, then with Bitcoin Gold. It should work the third time, isn’t it?
There is one little “but” – the previous experience points the players will rush most.
How to make money on the obvious movement of the market?
In cryptocurrency trading, the share of Amateur trading is very large – about half. However, over the last few months some desperate funds decided to invest part of their capital in classic bitcoin. They are called “whales”.
If “whales” see that Amateurs do not only sell altcoins, buying bitcoin, but spend untold quantity of money to buy digital gold, in anticipation of fabulous wealth, the face of the obvious bullish trend.
While growth continues – everyone is happy, but every trader should know that UPS should be a sharp correction. In contrast to the “domestic” traders “whales” know it. Their task is not only to earn more, but also to minimize their own risks, showing positive results to management.
Optimalnoe the solution in this situation is to consolidate successes and not to participate in the pursuit of additional profit by staying a couple of days before day X.
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The instability of the market it is better to wait with the most stable asset. So a few days before the hard forks SegWit2x, “whales” began the Exodus from bitcoin or altcoins back into the U.S. dollar. But recent statements by supporters SegWit2x indicate that hard forks will not happen due to the unwillingness of the split network and community into two rival camps.
However, it looks like nadvigayuschuyusya correction of bitcoin. Apparently, the rollback can be deep – about 30% from the current level.
The preferred option of risk hedging, in my opinion, would be to buy altcoins. To record the income in respect of dollar/Euro/yen – literally means out of the race, to show weakness and give extra profits to the owners of altcoins.
Thus, the strategy of the current moment will change in favor of altcoins. To wait correction will not only be the most peaceful solution, but also the most profitable.
Probably, bitcoin will drop to $5000 or even below. A series of religious holidays will ship the first cryptocurrency in deep hibernation. Winter is a time of altcoins.
This period can be good to assess what cryptocurrency really worth something and which will die, and not revived after the fall of the bitcoin rally. About other tokens and their growth is not even considered.
The cryptocurrency market is still very young and to expect appropriate behavior from inexperienced traders it is not necessary. “Investor herd” will behave based on rules “inaction is tantamount to losses.”
For those who want to get the bonus from the game in risk, but does not know how to do it, I would recommend constantly monitor developments in the market and include your own analytical skills. Remember that it is better lost profit than recorded losses.
Kir Kelevra, independent capturador