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Why is post-pump Verge (xvg) above pre-pump price? Pumping in Crypto (theory)
| vigorous lake skinny woman | 12/27/17 |
| vigorous lake skinny woman | 12/27/17 |
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Date: December 27th, 2017 1:37 PM Author: vigorous lake skinny woman This was my concern, but please consider the following theory about coin pump events: Valuation operates differently for cryptocurrency- think right now of the FUNDAMENTALS or numbers that would anchor a market cap (you have probably already noted this absense). To say prepump price is closer to CORRECT than post-pump price would certainly seem to be the case if this were, say, STOCKS (valuation is much clearer and asset class lends itself)
The added attention and market cap into coin LEGITIMATES and further PROVES the coin. The pump (whatever form the promotion took), added a permanent increase in valuation. Virtuous circle.
The coin has a larger pool of potential investors watching (who can only participate by increasing price and picking up the coin). The coin and MORE knowledge of the potentially valuable features and application of the coin.
(http://www.autoadmit.com/thread.php?thread_id=3840910&forum_id=2#35018463 |
Date: December 27th, 2017 1:44 PM Author: vigorous lake skinny woman That valuation is done in this way raises issues about the market's ability to provide assessments. Market cap itself and coin application/features (which requires technical expertise and knowledge that most investors don't even have) are the two big ones it would seem. Is there BUBBLE money in the example of Verge?
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