The strong Steem price increase is due to 5 factors that I will try to develop in this post, most of them are positive even if I am worried concerning one in particular.
I have been on Steemit since a little bit more than 4 months and the price increase that we have witnessed recently is incredible!
1. Google Trends show massive traffic to Steemit!
What are Google Trends?
Google Trend is an Indice based on 100, which means that 100 represents the week when most people searched for "Coinbase, Bittrex, Kraken..." on Google.
2. Steemit.com Analytics have never been this strong!
Ned tweeted from his phone the current metrics on a 1 month rolling basis.
From Nov, 20 to Dec 19, there has been 6.4 million Users (up 75% month on month)
3. SBD price at $14+
From a financial perspective, I like it VERY MUCH but its has been manipulated...
This could have been manipulated by whales? Traders? Steem development team? We do not know but this is a weakness fo the Steem Ecosystem as the SBD market is lower than $40mn (before it was exploited).
This price increase made Steem price also go up as it is currently an easy way to make profit as the platform did not adjust the SBD given.
I would be very careful from now on as I am quite sure Ned and his team are thinking on how to counter this "anomaly".
4. Steem Price > $4
As you read before I think this is mainly due to the SBD price and the good traffic metrics for the month of December.
5. Ned's Tweet
Conclusion
SBD price went up => Steemians have been making strong profit since then => It triggered interest from investors / Bloggers => High Traffic on Steemit.com and other platforms => Steem Price followed
(You can change the order of these events as they are all kind of directly related).
What are you doing to make Steemit and Steem grow?
Personally, I just managed to convince 3 people to join in the past week, I hope all of you are doing your part to make this community grow.
Sources:
Google, CoinmarketCap, Twitter
Best thing is to do just nothing at all, the price of SBD will reverse to the 1usd peg eventually be cause the Steem blockchain creates more SBD in relation to it's actual price, thus selling pressure is on!
If they de decide to do something, make the post/comment payout 100% SBD option available!
Steemit is mooning because its a revolutionary platform that actually pays its users and creators. Why would anyone waste their time on reddit, facebook, instagram where they get milked for their time, rather than a beautiful place like Steemit where your participation is greatly rewarded? We are only going to scale more, and I truly believe Steemit will be the #1 social media platform in the next 3 years if not sooner.
I know right? We are the early adopters and we have amazing times ahead.
I am just holding... When we get bigger than Facebook we can think about cashing out π
I'll be in Ibiza to party hard if it comes down to it :D
Ibiza could be my choice also... Old school Raving LoL...
Just an amazing post and great perspective shared buddy. Loved reading it. Steem will rise and so will steemits popularity. Matter of time and offcourse patience. Resteemed for more steemitians to read this fabulous analysis.
Regards Nainaz
#thealliance
Always great to read your comments !
Take care @nainaztengra and you see investing in Steem was better than in Bitcoin hΓ©hΓ©
" 6.4 million Users (up 75% month" , wow, that's huge.
Everything is looking sweet , but of course we will take it all in stride, there will always be more bumps.
Nice points, resteeming PEACE !!
Thank you mate !
Take care @clumsysilverdad
Great points on Steem! I'm not sure the SMT factor is reflected in the price yet. I believe SMT's will be very beneficial to Steem in the future!
Très intéressante ton analyse. Tu vas la poster en français ? stp :-)
Allez! Pour toi ! :D
very important post about steem.
thanks for sharing @vlemon
Good job @vlemon verry nice your post
I like it
Up vote me
nice information, and love steem and steemit...
good info
Superbe caricature du steem qui augmente de sa valeur :)
This post has received a 3.13 % upvote from @drotto thanks to: @banjo.
It is a chain reaction as you said with the massive pump of sbd starting it. Hopefully a big correction doesn't crush the dream (fingers crosses!). But I like how this run invited so many new people to the platform since it gained a lot more interest and exposure!
I think the main reason is probably #3, the SBD price. Lots of Steemians spending 14x as much on STEEM as before is probably enough to move the markets. Especially since the value of STEEM should be a lot higher if we can make 14x more value in SBD with it!
Although nobody seems to know why we can make 14x more money with our SBDs.. :-/
yeah man you are right and steemit will be soon gooes up in few years many users are sign up and daily many post are posting ... few months ago there was only members and now they are in thousands .... :)
I am rooting for the steemit uprise. Letβs go Steemit letβs go! π πΌββοΈππΌββοΈπ π½ββοΈππΎββοΈππ»ββοΈπΊπ½π―ββοΈ