In the end we had a good ... nose. Not only Bitcoin went up as we mentioned yesterday, but the whole crypto market was experiencing glory. Most of the major cryptocurrencies had double-digit yields.
At least for the time being, what we explained on Friday is confirmed. The reasons why, apparently, we saw the bottom, close to $ 6,500
The year did not start badly. We had a high year for Bitcoin on January 3, 5, 6, 7, 8 and yesterday, 14! Bitcoin is trading at $ 8,775, while Ethereum climbed to $ 167, up 11% yesterday.
The protagonist of yesterday's rise was Bitcoin SV (a different cryptocurrency from the well-known Bitcoin). Its price doubled in hours! 10 days ago it was $ 92 and yesterday it reached 458! Dash also had a similar course. From $ 40 to $ 140 in a matter of days! Not bad at all! The reason behind the… launch of Bitcoin SV was that it leaked an unconfirmed reputation. That its founder, Australian Craig Wright, received the Tulip Trust's private keys. That means it will own $ 1.1 billion worth of Bitcoin worth $ 10 billion.
Craig Wright was involved in the crypto space, claiming to be Satoshi Nakamoto himself. However, few have been convinced, as the evidence presented is not credible. The matter has been brought to the courts, with a US federal judge ordering Wright to disclose the private keys that prove his claim. Wright vowed to deliver them this month, while Twitter began leaking that he would deliver them on Monday.
The role of information
"Confidential" information is not only handled by our peer as it used to be. The figure of the lone investor or trader attending the meeting, awaiting information from his wife's cousin's aunt, is outdated. Has died.
Modern sources are Twitter, Facebook, Telegram and other social media. But the logic remains the same. So the information has to be filtered. They are stormy and often misleading. That is why we have to be strictly selective. But who do you listen to? You can't read, not watch, not talk.
There are 3 types of groups that influence public opinion. One is the advertisers who make money from this activity. It's not their job, that's their job. The problem begins, however, if it does not appear that it is a paid registration. Be it an opinion article or systematically promoted by social media as 'reliable information'. The second category is for those who have a personal interest in getting a cryptocurrency, probably because they hold a significant amount of that digital currency and are trying to influence developments to their advantage.
Finally, there are those who seek to build a good reputation in the long run. Not many in every industry, but they are the most reliable because they have a long-term perspective that they do not want to burn. In addition, remarkable people gather around them. One good reason to be ethical is because you attract ethical people around you. Not how you always do it, of course.
SMEs are good for information, not for investment advice. If we exclude the few (to be precise, the few) who care about their credibility as a pupil, what else do you say to put first? Updating or selling advertising space? Not necessarily that they «get it» from A or B. But they put out bold titles to attract clicks. The choice of articles also needs attention. It is not so rare that financial analysts have the credibility of sports writers when referring to their favorite team.
But readers also behave like followers. Subconsciously or even consciously, they wish to be misled. To match the facts with their beliefs. Whether they are convinced or simply leaning towards a decision, they look for articles and arguments to confirm their opinion. For example, I have Bitcoin, I want it to go up. So whatever I read, I take it for granted. I dismiss negative news as unimportant. If I do not have and expect to retreat to buy, I am attracted to such publications.
Of course this is wrong. And mistakes in investing are paid, usually expensive. Some, even when denied the reality, invent excuses to make their theory beautiful. It is important to prove that they are right, in themselves and in those around them. They look for reasons to confirm that they have made the right decision. There is no better way to destroy yourself.