In the Bitcoin universe, it seems most everyone has August 1 circled, starred, underlined, and highlighted on the calendar. Today’s the day of the “Hard Fork,” or the “Soft Fork,” or the end of life as we know it, or the beginning of the Bitcoin bull run.
Strategies for investors have been all over the map: sell all altcoins – those other cryptocurrencies, ranging in size from billions in market cap (Ethereum, Ripple) all the way down to that one “crap coin” that might go 10x or 100x (or 1000x) – or buy this altcoin or that altcoin and hold on for dear life. And then there’s BCH – Bitcoin Cash – aiming to become that fork (hard or soft, we’re not sure) that sets the world on fire. Or gets sold en masse once we figure out who is holding what.
A quick screenshot from this morning, though – 8:15 or so Central Time in the US, well into first day of the new era in other parts of the world – tells us that maybe the “hold the carp coins” strategery might make a little sense.
Nice little run, right? Everything is green – positive growth for the most-recent 24-hour period.
Were it that simple, though, practically everyone would have chosen altcoins as their post-fork, August 1 and beyond strategy.
Making sense of the nonsense
I’ve witnessed a whole bunch of craziness during the past few days. To wit:
- The creation of BCH – which was originally making the rounds as BCC, but BCC is the ticker for Bitconnect (where you can lend out your Bitcoin, sorta). (Use that affiliate link if you want to explore it, it’s an interesting site and the interest possibilities are rather crazy.)
- The lending madness on Poloniex, where people have loaned out Bitcoin at rates of 3 to 4 percent per day, on average, as others borrow the Bitcoin for their margin accounts and plan on, I don’t know, conquering the world.
- The resilience of Bitcoin itself – which, let’s face it, looks like a pretty stable investment right now, having really only oscillated between $2400 and $2900 USD during the past seven days.
Does this mean the Alts are back?
We personally moved in and out of a couple during the past week – in fact, one of our favorites, Siacoin, dropped into the 250-260 range and we dumped it – with plans of maybe returning soon.
Bargains appeared to be everywhere: Ripple’s XRP token was in the 5000s, Library Credits opened its private beta to the public and still stuck around below 20,000 Sats.
Tea leaves are tough to read, but the diversified strategy might actually be the way to go here. Right?
One last word…
It’s August 1, and, honestly, your guess may be as good as mine or anyone else’s. Rapid growth of all altcoins? BTC’s re-resurgence, testing $3000? Flight into coins like ETH and LTC and XRP as large-cap alternatives? All of the above?
As always, do your own research. Seek out professional advice for things like taxes and legal ramifications of your moves.
But one bet: the whole space – all of crypto – will benefit from the attention. So sitting on the sidelines might mean missing out on an asset class that could get larger and larger from here.