Selections at the Discount Buffet
We’ve seen huge sell-offs in numerous cryptourrency markets, including NEO and Litecoin, both of which are long-time Chinese favorites. Many people are accurately analyzing the situation as a market reaction to the news of renewed Chinese regulation in the cryptocurrency space, especially regarding ICOs. That NEO is built to facilitate other tokens has steeply effected its price, dragging it beneath the $20 mark at time of writing.
We would say that these are discount coins if you are already holding NEO, and perhaps a good entry point if you are not yet holding them. It seems evident that the news of Chinese regulation has shaken many coins lose from weak hands which would be directly affected by such changes to regulation. Big Brother has long arms and deep pockets for chasing down financial bad guys, so it’s understandable why so many would rush to the exit sign at the first whiff of regulation.
But the shakeout has made for a feast for the long-term NEO trader, and even provided short-term opportunities for people who have so far held off on NEO. The upcoming Red Pulse token offering is likely to increase the value of NEO as a whole regardless of what markets are unable to participate in the ICO, as those same markets will still have demand for the tokens at a later time such that they have become available.
Meanwhile, Litecoin has also fallen back to a good-buy range, dropping from a recent all-time-high of over $90 to just over $60 at time of writing. Long-term, the demand for Litecoin is likely to mirror that of Bitcoin and other cryptocurrencies, and so we can see a good buying opportunity with LTC as well.
Seems it’s discounts all day at the coin massacre buffet. Bear traders may be reveling in the shake-up, but ultimately everyone has certain bags they can fill in the melee. In the short game it’s easy to lose sight of the horizon, especially when you’re losing your shirt, but overall this market remains so young that any short-term losses really can be solved simply by holding fast – at least when we’re talking about coins which have fundamental long-term value.
Not, as it were, tokens based on the actions of specific companies or individuals, as we have in the ICO market. There, we experience a much more stock market-crash like effect when things go sour, so we must be even more vigilant.